401K/IRA Funding allows you to convert (rollover) your retirement funds into a self-directed IRA, whereby you can purchase a franchise business without early withdrawal tax penalties. By investing your own money into your business, you avoid debt, allowing your business to quickly achieve positive cash-flows.
To be eligible, you would need to have left the original employer who sponsored your 401K. It is also recommended you have a minimum of $25,000 in your account. Also, you are not required to rollover the entire balance, partial rollovers are acceptable. Additionally, traditional IRA's are also eligible, but as of this time, Roth IRA's are not allowed.
In addition to starting your business debt-free, there are other advantages: