At Ignite Funding, we understand that every investor's journey is unique. That's why we're dedicated to providing comprehensive guidance on investment account options, empowering you to make informed decisions that align with your financial goals. In today's blog post, we'll delve into the various types of accounts available for investing at Ignite Funding. Whether you're new to investing or looking to diversify your portfolio, this guide will provide valuable insights into cash accounts, business accounts, IRAs, and custodial accounts.
1. Cash Accounts: Cash accounts offer a straightforward way to invest, with three primary options available at Ignite Funding: individual cash accounts, joint accounts, and trust accounts. Individual cash accounts are ideal for single investors and are taxed based on generated income. Joint accounts allow spouses to invest together, sharing ownership and tax responsibilities.
2. Business Accounts: Ignite Funding welcomes various business entities, including LLCs, partnerships, S Corps, and C Corps, to invest. Setting up a business account requires thorough documentation to verify signing authority and ensure compliance. To learn more about investing with a business account, watch this video:
Here's what we require:
- Incorporation Documents: We request documentation pertaining to your business's incorporation to verify its legal status and structure.
- SS4 Form: Providing the SS4 form ensures that the Employer Identification Number (EIN) associated with your company aligns with our tax records.
- Signing Authority Confirmation: Whether delineated in an operating agreement or any other official documentation, we meticulously confirm the individual or individuals vested with signing authority. It's imperative that the data we collect accurately reflects the authorized signatories within your business entity.
3. IRAs (Individual Retirement Accounts): IRAs offer tax-advantaged investment options, including traditional IRAs, Roth IRAs, SEP IRAs, and SIMPLE IRAs.
- Traditional IRAs: Traditional IRAs present investors with tax-deferral benefits, allowing for contributions to grow tax-free until withdrawal during retirement. This setup ensures optimal tax efficiency over the long term.
- Roth IRAs: Roth IRAs stand out for their unique tax-free growth potential. Any income generated from investments within a Roth IRA remains exempt from taxation, offering unparalleled advantages for retirement planning.
- SEP IRAs and SIMPLE IRAs: Tailored to cater to the needs of small business owners and employees, SEP IRAs and SIMPLE IRAs provide accessible avenues for retirement savings. SEP IRAs typically suit businesses with one to two individuals, while SIMPLE IRAs are ideal for larger businesses with up to 100 employees. Both options offer varying contribution limits and tax implications, empowering individuals to align their retirement strategies with their business objectives.
In addition, it's crucial to note that all custodial accounts associated with IRAs entail tax reporting obligations, which are managed by the custodian. This ensures compliance with regulatory standards and maintains transparency in the investment process.
At Ignite Funding we have four approved custodians:
In conclusion, Ignite Funding offers a diverse range of investment account options tailored to individual preferences and financial goals. Whether you prefer the simplicity of cash accounts, the flexibility of business accounts, the tax advantages of IRAs, or the versatility of custodial accounts, Ignite Funding provides the necessary support and expertise to navigate the investment landscape successfully.
For those ready to embark on their investment journey, Ignite Funding offers complimentary investor consultations. Contact us today at 702-761-0000 or schedule a consultation and take the first step towards building a robust investment portfolio with Ignite Funding.
Watch our video "Spread the Wealth: 4 Ways to Invest with Us" to learn more:
