6 Best Rollover for Business Startups (ROBS) Providers for 2023

Guidant is our pick as the best overall ROBS provider because of the resources and support it offers throughout the process. The company provides a satisfaction guarantee, audit protection services, ongoing plan management, and internal and external legal counsel.

It also provides a free consultation session to help determine if a ROBS is right for you. If it is, Guidant will not only walk you through the entire process from start to finish but can also provide ongoing support to ensure continued compliance.

Among its ROBS services, Guidant will handle C-corp creation, set up its retirement plan, provide ongoing support to ensure compliance with regulatory requirements, and offer ongoing annual meetings with external legal counsel free of charge. The meetings can be combined with the company’s network of internal legal counsel to assist you in the event of an IRS audit.

However, it’s important to note that contrary to what many believe, IRS audits are rare, even with a ROBS transaction. If they do happen, Guidant Financial will pay for 100% of the costs associated with any audit that the IRS or United States Department of Labor might conduct.

You can begin the application process from Guidant’s website or call its toll-free number with any questions you may have. Visit Guidant Financial’s website to apply.

We chose Benetrends as the best ROBS provider for business owners looking to get access to cash as quickly as possible. It offers access to funds in as soon as 10 days while other providers on our list can take up to three weeks.

It has a strong track record of conducting ROBS transactions that are fully compliant with IRS and Department of Labor requirements—it has never had a plan out of compliance in over 40 years. It also offers audit protection services and uses its own internal team of certified and licensed professionals.

It charges a one-time fee of anywhere from $4,000 to $5,000, depending on your specific business, and works primarily with franchises but can also help other business owners. Once the ROBS transaction is complete, you will have to pay a recurring monthly fee of $145, which covers services, such as the preparation of tax forms, compliance testing, annual business valuations, audit protection, and other items to maintain regulatory compliance.

Check out Benetrends Financial’s website to learn more about the program, schedule a free consultation, or apply.

IRA Financial is our pick as the best ROBS provider for the lowest fees. The company charges the lowest setup fee out of all our providers listed here at just $2,500 and a low $100 monthly maintenance fee, regardless of your company’s size.

To start the process, IRA Financial requires an initial deposit of $500. The final payment of $2,000 is due once the ROBS has been completed. While most other ROBS providers require the setup fee to be paid separately from the ROBS funds, IRA Financial allows the remaining $2,000 balance to be paid using retirement funds from the business as a tax-deductible business expense.

Since the company’s fees are lower, it is willing to work with businesses looking to complete smaller rollover amounts. If a rollover is too small in relation to the fees being charged, IRA Financial could advise you to consider alternative funding sources, such as SBA loans. Depending on your circumstances, you might end up saving money by withdrawing directly from your retirement accounts and paying the taxes and early withdrawal penalties.

You can head to the IRA Financial website to learn more about the program. Online chat is available, and you can also call the company’s toll-free number. Visit IRA Financial’s website to apply.

MySolo401k’s pricing structure makes it very cost-effective when you have fewer than 10 participants in your retirement plan. The annual fee of $899, which is waived your first year, gives you support and services for up to 10 plan participants. Additional participants cost $75 annually.

With an annual fee that comes to slightly less than $75 per month, MySolo401k is one of the least expensive of the providers on our list. In exchange for this fee, you’ll get services that include the preparation of required tax forms, completion of an annual business valuation, and management of the retirement plan.

One possible drawback is the fact that while MySolo401k does offer audit protection services, it is more limited compared to many other providers. Although highly qualified, it only advertises the availability of a single compliance officer and one Harvard law attorney to provide you with audit assistance.

MySolo401k can also help with other types of financing, including SBA loans, equipment financing, and commercial real estate loans.

Applications can be submitted through the lender’s website, where you can also find resources for educational content and access to a daily live video call. Visit MySolo401k for more information.

We chose FranFund as the best ROBS providers for franchises. The company has roots in funding franchises and can provide business owners with access to funds quickly and efficiently.

In more than 16 years of business, it has never had a compliance issue. Business owners that use the company for a ROBS also have less than a 1% audit rate. If you are selected for an audit, you will have the full support of the FranFund team, including its tax attorneys and other in-house staff.

As part of the ROBS process, it offers an unlimited number of consultation sessions with a specialist. In addition to helping you complete the initial rollover, you’ll receive ongoing support to ensure your plan remains compliant each year.

FranFund generally requires you to have at least $50,000 in your retirement accounts. Otherwise, it may recommend other sources of funding, including the possibility of simply paying taxes and early withdrawal penalties on your retirement accounts if it ends up being less expensive.

Other products offered by FranFund include SBA loans, equipment leasing, payroll services, payment processing, and business insurance.

FranFund allows you to schedule a free consultation through its website. You can also begin the process by submitting an application. Visit FranFund’s website for more.

Pango Financial is best for businesses with simple ROBS transactions. Compared to the other providers in this guide, it may not provide as many resources in the event of an audit. However, the comprehensiveness of its other products and services, low fees, and willingness to work with smaller rollover amounts make it a good choice.

If you are audited by the IRS, Pango Financial offers audit support by assisting your certified public accountant (CPA) with any questions. You’ll be expected to take the lead, so while you will have access to its experts, you will need to make sure that your own company’s CPAs have a good understanding of how to navigate an IRS audit. This is especially important if your ROBS was used to fund a business with a complex operating or tax structure.

Pango Financial charges a one-time setup fee of $3,995 with a monthly maintenance fee of $110. This covers the creation of a C-corp, annual required business valuations, registered agent services, retirement plan management, preparation of required tax forms, and more. Veterans receive a discount of 20%.

In addition to a ROBS, you can look into the company’s other products, which include SBA loans, business lines of credit, invoice factoring, and equipment financing.

To learn more or to apply, visit Pango Financial’s website.