Entrepreneurs can now finance Cash Now license purchases and other business ventures with 401(k) or IRA rollover assets
Ft. Lauderdale, Fla.--(BUSINESS WIRE)--April 21, 2005-- Cash Now Corporation, a pioneer and continuing leader in the payday loan industry, is now offering a way for investors to use their 401(k) or IRA rollover assets to finance new Cash Now licenses and expansions and as capital for other new businesses.
Cash Now can make this offer now because it has established an exclusive agreement with a U.S. tax consulting firm specializing in 401(k), 403 (b), Pension, Profit Sharing, IRA rollover or other types of retirement plans.
The result is that Cash Now can help entrepreneurs and investors use their 401(k), 403 (b), pension, profit sharing, IRA rollovers or other retirement plans to finance the purchase of a franchise. Cash Now can also advise entrepreneurs and investors on how to use these assets as startup capital for other businesses or to purchase business property with no taxes, no penalties and no loan repayment. This can be done without distributions, taxes, penalties, or the use of loans. In many cases the money can be used as venture capital to avoid loans, fees and interest. Following is what the IRS said about these matters in a favorable Letter of Determination it sent to a Cash Now client:
"These transactions are clearly within the letter of the law as spelled out in the Employee Retirement Income Security Act of 1974 (ERISA)."
"Our tax consultant has more than 12 years experience setting up Rainmaker Plans and has never had a problem with the IRS," said Andrea Zecevic, Cash Now's president. "What we're doing here is providing a proven road map for unlocking tremendous assets and capital, while avoiding future problems. This plan is laid out in the law and our tax consultant will obtain a letter approving the use of these funds in this way."
The IRS has established numerous rules to keep future retirees from spending the funds held in trust and awaiting them at retirement. Distributions are taxed as ordinary income--upwards of 50%. However, Cash Now advisor Leonard Fischer, using some of the provisions of ERISA, has developed a way to legally move money locked in 401(k) or other IRA rollover accounts directly into a new or established business without distributions, taxes, penalties or the use of loans.
The money may be used for franchises, property, equipment or working capital. The Cash Now tax consultant charges a flat fee for these services and does not sell investments.
CASH NOW BACKGROUND
Cash Now Corporation, a pioneer in the payday loan industry, is developing the most comprehensive menu of services in the cash advance industry, all centered on the Cash Now brand. The company's proven business model includes licensing to corporately operate joint venture locations across the U.S. and Canada. Additionally, Cash Now's Web site is the most advanced payday-lending portal, offering key insight clients and potential clients alike.
Cash Now offers a payday loan license program, Payday Express; and a payday loan and check-cashing license known as Check Express. Profit Guide magazine recently ranked the Cash Now Group 10th in its list of the 50 fastest growing and most promising emerging companies.
Information in this press release contains "forward-looking statements." Statements describing objectives or goals or the Company's future plans are also forward-looking statements and are subject to risks and uncertainties, including the financial performance of the Company and market valuations of its stock, which could cause actual results to differ materially from those anticipated.
Forward-looking statements in this news release are made pursuant to the "Safe Harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties, including, without limitation, risks relating to the ability to close transactions being contemplated, risks related to sales, continued acceptance of Cash Now's products, increased levels of competition, technological changes, dependence on intellectual property rights and other risks detailed from time to time in Cash Now's periodic reports filed with the United States Securities and Exchange Commission and other regulatory authorities.
For more information about CASH NOW CORPORATION and opportunities associated with Cash Now see http://www.cashnow.com
------------------------------------------------------------------------
Contact:
Cash Now Corporation
Andrea Zecevic, Toll Free: 1-866-778-2996
a.zecevic@cashnow.com