How to Improve Your Chances of Getting a Loan With a Bulletproof P&L Statement
One of the three essential financial statements for your small business – a profit and loss (P&L) statement – is useful for analytical purposes, but it can also tell any possible investors whether you have a strong, viable operation.
If you’re applying for an SBA loan program, a P&L statement with forward projections and historical data is a must-have. Small businesses are inherently a high-risk investment for lenders, so the more you can do to prove the integrity of your business and your data, the greater your chances of securing a loan.
In fact, alongside impeccable credit, a solid business plan, a strong personal resume and a strategic marketing plan, a P&L statement (also known as the income statement) is one of the top five small business loan requirements, according to Kabbage.