WHY
The SBA wants to see how your business is performing this year—not just last year. Your tax return shows the past; your YTD P&L shows the present.
It helps the lender confirm that your business is still active and has enough cash flow to take on a loan.
WHAT
A P&L shows how much your business has made and spent so far this year. It usually includes:
-
Revenue (sales/income)
-
Expenses (payroll, rent, subscriptions, etc.)
-
Net profit or loss (how much is left after expenses)
It should cover January through the most recent full month.
HOW
-
If you use QuickBooks or Xero: Export your YTD P&L with one click.
-
If you don’t use software: You can create it in Excel or Google Sheets. We have a template if needed.
-
Make sure it includes totals and a clear date range (e.g., Jan 1 – Jun 30).
- Sample:
📣 Pro Tips:
-
Label it with your business name and the date range.
-
If your P&L shows a loss, don’t panic—we may just need a note explaining why (seasonal dip, one-time expense, etc.)
-
Keep a copy—if the loan closes next month, we may need an updated version.
FAQ – Year-to-Date P&L
Q: What if my P&L shows a loss?
A: That’s okay. The bank just needs to understand the “why.” Let us know and we’ll help you explain it clearly.
Q: Can I use last year’s P&L instead?
A: No—this needs to show how your business is doing this year so far. (We already have last year’s numbers from your tax return.)
Q: Do I need to break out every expense?
A: Not in extreme detail—just major categories like rent, payroll, software, marketing, etc.
Q: What if I don’t have one?
A: No problem—we can send you a simple template and walk through it together in 10–15 minutes.