401GO announces nearly $1 million seed investment
West Jordan — 401GO, the first company to offer a fully automated 401(k) plan setup process to help people save for the future with affordable and accessible retirement plans, recently closed a $915K seed round in February 2021. The capital was raised by 401GO founding members, financial advisors, and a syndicate of angel investors. The round was led by Assure Syndicates, a Cottonwood Heights-based VC Structure providing access for individual investors and family offices to co-investment opportunities alongside institutional venture capital firms.
The seed capital will be used to ensure continued growth and product development. 401GO is focusing on building the ideal partner-supported offering and will use a portion of these funds to provide even more partner tools for advisors. In addition to expanding the partner portal, significant investment will be made into establishing a full-featured financial wellness tool for plan participants.
“We have been working very hard to create something amazing for small businesses, and our fundraising partners recognize that and want to further that mission,” said Jared Porter, QKA, QKC of 401GO. “Our technology with relationship approach is expanding and improving the way people save for retirement.”
“401GO is disrupting the FinTech and retirement industries because small businesses and entrepreneurs can now finally afford to offer 401k plans to employees and the setup process only takes about 10 minutes of their time,” said Daniel Beck, CEO of 401GO. “As we usher in new generations of hard-working adults into the workforce we are faced with the reality that we will all want to retire someday. At 401GO, we want to be able to make the American dream come true and help people reach their retirement goals.”
401GO makes 401(k) easy and affordable. Their solution is modeled for small businesses and startups, so business owners can easily implement a 401(k) plan with 401GO in order to attract and retain employees as companies scale. 401GO clients pay $9/employee per month which includes everything. On average, 401GO is 60% less expensive and can get a plan up and running in 10 minutes as opposed to the typical 401k process which takes 8 weeks
Additionally, 401GO partners with advisors and benefits professionals which offers additional support to business owners throughout the process. 401GO platform is an ideal solution for all aspects of a 401(k); however, the co-founders understand that the human component (trust, relationships, coaching) is best provided by a real person and not a robo-advisor. While 401GO does have a portfolio building algorithm (robo-advisor) as a core component of its platform, the company still feels that a human partner approach leads to the best outcomes for its users and that is why 401GO is there to support its customers at all times.
401GO will be announcing new platform updates in the coming months.
401GO’s founders — Jared Porter, Nate Beck and Daniel Beck — are entrepreneurs and business owners that have managed multiple small businesses. The team understands that most employers know very little about 401(k) plans and are simply looking for a quick, easy to use and affordable solution. While focusing on the needs of a small business, the founders had to rethink everything from nonsensical industry jargon to the processes in place for setting up and administering a 401(k) plan. They coupled their fresh approach with automation and built a fully integrated and intuitive system that does the work typically completed by 3-4 providers. Ultimately, through its efficiency and automation, 401GO saves employers and employees money, time and hassle, giving them the opportunity to save for retirement.
To learn more about 401GO, please visit: https://401go.com/.