P&L Loans
The simplest income path for the self-employed.
The simplest income-qualification path for self-employed borrowers: a CPA- or tax-preparer-signed profit & loss statement stands in for tax returns, bank statements, and 4506-C transcripts. A licensed tax preparer or CPA prepares (and signs) a profit & loss statement, typically covering 12 or 24 months, which is used directly as the qualifying income — no bank statement analysis, no tax transcripts.
Program Highlights
- Single document (signed P&L) can be the entire income verification
- No tax returns, no bank statement review, no 4506-C
- Available in 1-year and 2-year P&L versions
- LTVs generally up to the low-to-mid 80s depending on credit and loan parameters
- Works well for business owners with complex or seasonal cash flow that bank statements don't represent cleanly
- Purchase, rate-and-term refinance, and cash-out refinance eligible
- Can be paired with asset-based reserves to strengthen the file
Best For
- Self-employed borrowers who want the least documentation possible
- Business owners whose accountant can provide a signed P&L
- Borrowers with complex or seasonal cash flow
What You'll Need to Qualify
- P&L must be prepared and signed by a licensed CPA or tax preparer
- 1-year and 2-year P&L versions available
- LTVs generally up to the low-to-mid 80s
- No tax returns, bank statements, or 4506-C
Guidelines vary by lender and borrower profile. All loans subject to underwriting approval. Not a commitment to lend.
Good to Know
because the entire file leans on one document, the P&L needs to be prepared by a credentialed, verifiable tax professional (not self-prepared) — ask early so your CPA has time to put it together correctly.
Common Questions
Can I prepare my own P&L?
No — it must come from a licensed CPA or tax preparer, not be self-prepared.
Do I still need bank statements?
Typically no — the signed P&L replaces both tax returns and bank statement analysis on this program.
What if my business had a slow year?
The P&L reflects your actual numbers; a strong down payment or reserves can help offset a lighter income year.