I am being asked by many clients if participants can rollover from either the company's profit sharing plan or the company's 401(K) to an IRA while still employed by the employer.

What are the ramifications here?

Non- if they are eligible. If they manage their own investments they run the risk of losing their investments, unless they are familiar with the rules….but then, a professional can invest in bad assets resulting in losses too- plus, the participant could get lucky

One of the benefits of keeping your money in the plan is that you can take a loan. Assuming of course the plan allows loans.

First and foremost, the Plan must provide for "in-service distributions". Second, some contribution sources - e.g., employee salary deferrals, may not be distributed, even "in-service" before a participant's attaining age 59 1/2.

So, if it's been said once here, it's been said at least 1,000 times - check the Plan document. And also IRS regulations.