I am an amateur outdoor photographer. To me, photography is all about capturing the opportunities when they come and before they leave To get the perfect photo, you simply have to be in the right place at the right time Consider the following photos:
I have been to these places many times when the colors weren’t as brilliant, or the water wasn’t flowing, or the light wasn’t just right These photos are as good as they are because I was lucky to be in the right place at the right time.
Business opportunity planning is similar, in that you try to transfer a business to a Dynasty Trust or a Roth IRA at just the right time.
Consider these examples:
1. A young software developer established and funded a Self-Directed Roth IRA when his income was low enough for him to qualify, and at a time when he had an opportunity to purchase stock in his company for a very low price The Roth IRA bought the stock, the value grew exponentially, the company was sold, and the young guy walked away with $700,000 in a Roth IRA, never to be subject to income tax! That is what we call business opportunity planning.
2. One of my clients owned a huge commercial real estate center At a perfect time when values and interest rates were low, he sold the real estate to a Dynasty Trust Now he is 85 years old and he has $200,000,000 in a Dynasty Trust that can pass to future generations without estate tax.
Neither of these examples required a bending of the rules Both were made possible by a convergence of good timing, good thinking, and a quick and decisive response Both are very applicable to current conditions Right now we have historically low market values, historically low interest rates, and the opportunity for people of any income level to convert to a Roth IRA Now all you need is a legitimate and reliable once-in-a-lifetime business opportunity!