Program

P&L Loans for Business Owners

Self-Employed

For self-employed borrowers with professionally prepared financials. A profit-and-loss statement can qualify the income — supported by business bank statements or on its own.

Professionally PreparedWith Bank StatementsP&L Only

At a glance

Loan amounts
To $3M
Max LTV
80%
Min FICO
From 600
P&L period
12 months
P&L-only is available, or pair the P&L with two months of business bank statements to support the income reflected on the P&L.

What Is a P&L Loan?

A P&L loan is a Non-QM mortgage that qualifies a self-employed borrower using a professionally prepared profit-and-loss statement instead of tax returns. The P&L can stand alone or be supported by business bank statements, depending on the program.

Who Are P&L Loans For?

Established business owners with professionally prepared financials
Self-employed borrowers whose bank deposits are complex or spread across many accounts
Professionals — medical, legal, consulting practices — with clean P&Ls
Borrowers who prefer not to furnish a full year of statements
“Your CPA already knows what your business makes. Let their P&L do the talking.”
How to pitch it to your borrower

How Does a P&L Loan Work?

What the file needs — and how we get to a number.

01The P&L

A P&L covering the most recent 12 months, completed, reviewed and signed by a CPA, IRS enrolled agent, CTEC or other registered tax preparer.

02Supporting statements (optional)

Two months of business bank statements may be provided to support the income reflected on the P&L.

03Self-employment

Borrower must meet the applicable self-employment and business history requirements.

04Property

Primary and second homes (Sunny) and investment properties (Breezy).

P&L Loan Requirements

P&L covering the most recent 12 months
Reserves and funds to close documented as required by the applicable program
Completed, reviewed and signed by a CPA, IRS enrolled agent, CTEC or other registered tax preparer
FICO from 600, depending on program; loan amounts up to $3M
P&L-only available, with an option to provide two months of business bank statements to support the income

Requirements follow the current Sky TPO matrices and guidelines; see the matrix for each suite below.

Sky TPO P&L Loan Programs

Each suite sets the occupancy, loan amounts, and matrix — pick the one that fits the property.

Sunny

Primary & Second Homes · Full/Alt-DocAlt doc P&L — primary & second homes.
Alternative Documentation — Bank Statement, P&L, 1099, WVOE & Asset UtilizationMatrixGuidelines
ITIN — Full & Alternative DocumentationMatrixGuidelines

Breezy

Investment · DSCR & Full/Alt DocAlt doc P&L for investment properties.
Alternative Documentation — Bank Statement, P&L, 1099, WVOE & Asset UtilizationMatrixGuidelines

Sky Plus

Closed-End SecondsAn extra boost of equity: standalone seconds, first-lien rate untouched.
Full & Alternative Documentation — Closed-End SecondsMatrixGuidelines

Passport

Foreign NationalForeign national alt doc — second homes & investment.
Full & Alternative Documentation — Foreign NationalMatrixGuidelines

Real-World P&L Scenarios

Scenario 01

Dental practice owner

CPA-prepared 12-month P&L showing $42K monthly net, supported by two months of business bank statements. 80% LTV on a $1.4M primary.
Scenario 02

Consultant with multiple accounts

Revenue lands across multiple accounts; a 12-month P&L from her EA provides one clear picture of the business income.

Frequently Asked Questions About P&L Loans

What is a P&L loan?

A mortgage that qualifies self-employed income from a CPA- or EA-prepared profit-and-loss statement instead of tax returns.

Is a P&L loan available with no bank statements?

Yes. P&L-only is available. Depending on the program, two months of business bank statements may also be used to support the income reflected on the P&L.

Who can prepare the P&L?

A CPA, IRS enrolled agent, CTEC or other registered tax preparer.

Why add bank statements if the P&L qualifies alone?

The business bank statements help support the income reflected on the P&L and may provide access to different program terms.

Does the P&L need to tie to tax returns?

No tax returns are requested. The P&L stands on its own with the preparer's attestation.

Have a P&L scenario?

Price it in Sky Port in minutes or send it to the Scenario Desk.