Congratulations on Taking Control of Your Retirement!
Self-directed IRAs are perfect for private entities! Private placements – such as LLCs, limited partnerships, joint ventures, private stock, etc. – can be very lucrative. Whether you are investing in a private entity that is buying large real estate holdings or the entity is a business start up, there are countless possibilities with self-directed IRAs. Here are the procedures on how to purchase these private alternative assets in your IRA at Quest.
Please see below for information on purchasing a private entity with your IRA.
Funding Private Entities- Purchaser/Subscriber Name: Quest Trust Company FBO (Acct Holders Name) IRA # (Acct #)
- Tax ID # 61-1435085– Which will substitute for your Social Security number
- Address: 17171 Park Row STE 100, Houston, TX 77084
You will also need to submit Quest Trust Company’s internal forms :
- Submit a new Private Entity investment – located in your Client Portal
- Private Placement Instruction Letter -located in your Client Portal
Along with our internal forms for the private placement/private entity, we will need the PPM, Subscription Agreement, Operating Agreement, LLC, LP, JV, etc…, before we can generate a check or wire for the funding of the investment. It is up to the client to determine if the private placement/private entity investment complies with the applicable state & federal laws.
What to know after funding of your private placement/private entity with Quest:
Fair Market Value of your investment will be requested for every calendar year your self-directed IRA owns the asset. We will require a Fair Market Valuation Form. Clients can submit this form in the Client Portal!
Payoffs – When the investment is ready to pay off, the client will need to fill out a Verification of Payoff or Disposition of Asset Form for Quest Trust Company’s records.
Sell Asset – Should the asset be sold to another investors, you will want to fill out the Direction to Sell Form for Quest Trust Company’s records.
Resources:
Here are some additional resources for you as you complete your private entity investment
Submit Investment Documents:
DISCLAIMER: Quest Trust Company does not render tax, legal, accounting, investment, or other professional advice. If tax, legal, accounting, investment, or other similar expert assistance is required, the services of a competent professional should be sought.