If you’re thinking of applying for a Paycheck Protection Program (PPP) loan, you might be wondering what kind of documentation you’ll need to provide. In this blog post, we’ll go over some of the key documents you’ll need to have in order to apply for a PPP loan .
Checkout this video:
SBA Form 2483
In order to apply for a Paycheck Protection Program (PPP) loan, you’ll need to fill out and submit the SBA Form 2483. This form is also known as the PPP Loan Application Form.
The SBA Form 2483 is a simple one-page form that asks for basic information about your business, such as your company name, address, and contact information. You’ll also need to provide information about your payroll expenses and your average monthly payroll costs.
Once you’ve completed the SBA Form 2483, you’ll need to submit it along with some supporting documentation to your lender. The supporting documents you’ll need to submit will vary depending on the type of business you have, but they may include tax returns, bank statements, and payroll records.
If you’re applying for a PPP loan through the Small Business Administration (SBA), you can find the SBA Form 2483 on the SBA website.
Payroll Processor Documentation
In order to verify your payroll expenses, you will need to provide documentation from your payroll processor. This could be in the form of invoices, receipts, or account statements. The documentation should show the amount you paid in total payroll expenses for the time period covered by your loan (usually 2 weeks).
The following tax documentation is required for all small business borrowers:
-Your most recent Federal income tax return
-Personal financial statements for all owners of 20% or more of the business
-Evidence of any outstanding federal tax liabilities
-Documentation of any outstanding state tax liabilities
Personal Financial Statements
In order to apply for a PPP loan, you will need to provide personal financial statements for all owners of 20% or more of the business. These statements should include your balance sheet, income statement, and cash flow statement from the most recent year. If you do not have these documents, your accountant or bookkeeper should be able to help you prepare them.
Additional Documentation for Sole Proprietors and Self-Employed Individuals
If you are a self-employed individual or a sole proprietor, you will need to provide additional documentation to prove your eligibility for a PPP loan. In addition to your completed PPP application, you will need to provide:
-Your most recent IRS tax return
-Schedule C from your tax return, showing your business income and expenses
-Your personal 2019 1040 IRS tax return
-Proof of eligible business expenses, such as rent, utilities, payroll, etc.