Using IBC for Business, with Marcus Toal

Ever wondered how the Infinite Banking Concept (IBC) can protect your family and boost your business? That's exactly what our client, Marcus, shares in this enlightening episode about using IBC for business. Since 2017, Marcus has leveraged the IBC to support his ventures, from real estate and flipping properties to running two unique franchises - HOTWORX and Destination Athlete. Get inspired as he lays bare his journey from the Navy to becoming a successful entrepreneur. https://www.youtube.com/watch?v=gCU8diqIspU While we navigate Marcus's intriguing IBC journey, we'll also dive headfirst into the world of franchise ownership. Marcus gives us a front-row seat to the realities of owning two franchises, the challenges he faced, and how IBC has been an invaluable tool in his business arsenal. He shares insights about thinking long-term when using IBC and the significance of Key Performance Indicators (KPIs) in pinpointing growth areas. An intriguing highlight is how he cleverly utilized the death benefit as collateral for an SBA loan! Wrapping up our conversation, we explore the nitty-gritty of insurance policies. Marcus weighs in on the age-old debate between whole life and term policies, stressing the importance of understanding the risks and benefits of each. He also shares his experience with buying additional PUAs and how these steps have maximized his benefits. Listening to this episode will equip you with a wealth of knowledge, not just about the IBC and its potential, but also about the ins and outs of entrepreneurship, business growth, and smart financial planning. Tune in to find out how IBC for business works! Getting Started Using IBC for BusinessMaking Your Own Terms with IBCThe Death Benefit is CriticalWhole Life vs. Term InsuranceOne Multi-Purpose AssetBook A Strategy Call Getting Started Using IBC for Business Many roads lead Marcus to where he is today, though most notably, his IBC journey began when he decided to look beyond the insurance offered to him through the Navy. He wanted something more than term, and maybe even something that would be advantageous on his wealth-building journey as a real estate investor as well.  He stumbled across IBC and some podcasts on the matter, and began to research what a whole life insurance policy could do for his family. In 2017, he began his first policy and has used it many times since then. So even in the early accumulation phase, his policy has created value for his family.  While he hasn’t yet used his policy for long-term rentals, the first two moves he made were fix-and-flips. He’s also used the cash value as collateral for an SBA loan to franchise a HOTWORX, a vehicle for his wife, and even funds for a Destination Athlete franchise, demonstrating the breadth of options cash value can provide.  [05:37] “I’ve always paid it back as soon as that equity comes back in. So pay it back, then reuse it again. But if any bit is deployed, I like to pay it back down to zero before I use it for anything else again.”  Making Your Own Terms with IBC What makes IBC function well, and what Marcus demonstrates so avidly, is being an “honest banker.” In the same vein, you might hear us say, “Don’t steal the peas.” The sentiment behind both phrases is that you’ve got to be responsible with your money. And when you take a policy loan, you want to repay it. This is the best way to replenish your capital and use it again.  While you certainly don’t have to, it’s this mindset of good stewardship that prevents problems down the road and ensures that your policy keeps running smoothly. Marcus’ own family uses their cash flow from the assets that they purchase in order to replenish their capital first, then they experience the benefits of that cash flow second. This allows them to accelerate their asset base early on because they’ve got the cash value free to re-invest.  [08:33] “That’s one of the things I love: you can make your own terms.