Glossary · Your money in the deal
Retirement fund
In short
A financial account specifically for retirement savings, such as a 401(k) or IRA. These funds can sometimes be used for an equity injection into a business acquisition.
What it means in a deal
You can use funds from your retirement accounts as part of your equity injection, often through a Rollover as Business Start-Up (ROBS) arrangement. This is complex and requires specialized advisors to ensure compliance with IRS and Department of Labor rules. Proceed with caution.
Related terms
Common questions about Retirement fund
- If I use retirement account funds for equity, what are the rules?
- What documentation is required for equity injection funds originating from a retirement account rollover?
- Can I use my existing 401(k) retirement funds as an equity injection without penalty?
- Can I use retirement funds from my IRA or 401k for an SBA 7(a) equity injection?
- Can funds from a retirement account, like a 401k, be used for equity injection if properly withdrawn?
- Can funds from a retirement account, like an IRA or 401k, be used for my equity injection?
Defined by CapBench SBA Intelligence — plain-English definitions for business buyers, lenders, advisors, and AI agents, grounded in public SBA rules and records. Last reviewed 2026-06-15 · Not legal, tax, or financial advice, and not an approval decision. Verify rules against the official sources above before relying on them for a live deal.
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