Using a Self-directed IRA for Business Investing

A PowerHomeBiz.com reader sent us this question:

Hello. I have a small business that I would like to invest additional monies in. One of the sources is a simple IRA being managed by my financial institution. I was advised that I could set up a self-directed IRA to invest that money in the business. As an S-Corp, would that be possible? And how would I go about doing such a thing through my CPA, attorney, financial institution or all of the above? Also, how long would something like that take? Thank you! - Bryan Stone, TX

Read the response of our incorporation expert Chrissie Mould of MyNewVenture.com