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Paycheck Protection Program Loan Applicants: Gather These Important Documents

April 2, 2020

In order for borrowers to be adequately prepared when the application process begins for Paycheck Protection Program (PPP) loans under the CARES Act Friday, April 3 (for small businesses and sole proprietorships), and Friday, April 10 (for independent contractors and self-employed individuals), Local Economic Development organizations have published a list of recommended items to have on hand.

Your lender may not request all of these documents. Required documents will be based on each lender’s own requirements. However, given the high demand for these loans, it will help to be ready for anything your lender may request.

List of Important Items for PPP Loan Applications

  • 2019 IRS Quarterly 940, 941 or 944 payroll tax reports
  • Monthly payroll reports for 2019 (Must show the following:)
    • Gross wages for each employee (including the officer(s) if paid W-2 wages)
    • Paid time off for each employee
    • Vacation pay for each employee
    • Family medical leave pay for each employee
    • State and local taxes assessed on the employee's compensation for each employee
  • 1099s for 2019 if you are applying as an independent contractor
  • Documentation showing total health insurance premiums paid by the company under a group health plan. (Include all employees and the company owners.)
  • Document the sum of all retirement plan funding that was paid by the company. (Do not include funding that came from the employees out of their paycheck deferrals.) Include all employees, including company owners, 401K plans, Simple IRA, SEP IRAs.
  • Business entity documentation (e.g. operating agreement, certificate of organization, bylaws, articles of incorporation)
  • 2017, 2018 and 2019 business tax returns, if applicable, and 2019 internal financial statements if 2019 tax return is not filed
  • 2020 interim financial statements (balance sheet, income statement, accounts receivable aging and accounts payable aging)
  • Debt schedule for operating business
  • List of owners of the business if not included in tax return
  • Copy of driver's license for signers of business. (This is likely for 20%+ owners)