How to Fill Out a Personal Financial Statement in 8 Simple Steps

Wondering how to fill out a personal financial statement? When you're filling out this document, it's crucial to understand how to do it correctly. Filling out the document correctly can keep you from having to go back and do it again.

In this article, we will give you a step-by-step guide to filling it out. By the end of the guide, you'll be able to complete and submit the required paperwork.

1. General Information

Much like other forms that you've ever filled out when beginning an SBA Form 413, you'll need to have all your basic information easily accessible to fill out the application. The information that you'll need is your name, address, and other contact information. If you’ve moved recently, ensure that you provide your current address as SBA places importance on accurate and updated records to streamline the approval process.

You'll also need to note your marital status on the form if you're married. Your spouse's financial information should be listed as well. Ensure that you date your application accurately because the paperwork needs to be filed within 90 days of your loan application.

Before beginning the application, all your information needs to be up to date. If it's not up to date, you may experience some issues with your application.

2. Asset Information

The next piece of information that you need to add to the application is the information that pertains to your assets. In the assets section, you'll detail information about the assets that you own, including:

Real estate properties

Bonds and stocks

IRA accounts

Bank accounts

As of new guidelines, ensure you also include the current market value of each asset, as these figures are crucial for accurate evaluation by lenders.

If you own any stocks or bonds, list the current value of all the accounts combined. If you or your spouse owns real estate, then you'll need to list the value of the properties that you all currently own.

This field asks for the value of all the assets under your or your spouse's name. At the end of this section, you'll provide the total for everything that's listed above.

3. Liability Information

All that's required in this section is to round all your asset information up to the nearest dollar amount. You'll total all the debt that you owe and subtract the amount you've gotten from that total from your assets. Remember to disclose all recent debts, including those incurred due to regulatory changes affecting your financial situation. This keeps your application transparent and up-to-date.

Once you've subtracted this number, you'll have figured out the total of your net worth. From there, you'll combine your total liabilities and net worth.

4. Income Sources

When you arrive at this section, you'll need to give information about the salary earned by you and your spouse if they are currently working. The salary that you list on your paperwork should be the same as the information that you provide on your tax returns for the year.

The next part that you'll list is the income that you achieve from all your investments. This would mean investments that you've made from stocks, bonds, real estate ventures, etc. In terms of real estate income, you'll also need to provide information about the money you earned from your real estate properties after necessary expenses have been spent.

5. Contingent Liabilities

Contingent liabilities involve debts that you've guaranteed for others. If you or your spouse were a co-signer for someone else’s loan, that should be recorded here. If you’ve incurred any legal fees or judgments, include them. Recent regulation changes mean that lenders are paying closer attention to this information to assess overall risk, to ensure accurate reporting.

6. Life Insurance

If you and your spouse have life insurance, include your policy number and details about the policyholder. State the total coverage amount and the insurance company, as well as the names of any beneficiaries. Under the latest guidelines, you may also need to submit proof of your life insurance value as part of your overall financial picture.

7. Read Authorization Statements

You're in the home stretch of the application now. All that's left for you to do is sign all the authorization statements on the form. The certification statement is a short paragraph that needs to be read thoroughly before signing it.

Once you're ready to sign the document, you'll provide your name, today's date, and your social security number. Then after filling in all this information, all that's left to do is sign the form.

8. Review

Now, after all that has taken place, you need to review your documents. You'll need to ensure that all the information you've provided on the application is correct and accurate. Double-check your spouse’s information as well to avoid errors.

If any of the information on the application is false or left out, you could face fines and other penalties. You may also have to complete the entire application again. Therefore, it saves you time and effort, providing all the necessary information the first time.

How to Fill Out a Personal Financial Statement Made Easy

When answering the question of how to fill out a personal financial statement, the guide above is the best way to ensure you get the application done correctly and efficiently. As a small business owner, if you’re looking to resolve your debt post-application, consider hiring an attorney for assistance. If you're looking for SBA services to help achieve the debt relief you need, check out the services on our website. Let us help you without the added hassle.

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