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401k and profit sharing plans are both forms of retirement plans. They allow employees to make pre-tax contributions to an account where contributions and earnings are not taxed until distributed.
While rolling over a distribution from a tax deferred account to another tax deferred account means no tax on the "distribution" investing in a business venture would not afford the same tax deferring treatment.
Unfortunately, using the money to start your new business would not avoid tax on the distribution for you.
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