PPP lender document checklist: Everything you need to get approved (Updates for 2021)

In this 3-minute read:

  • The PPP loan program allocates billions to American small businesses impacted by COVID-19
  • Once you apply for a PPP loan, you’ll need to collect certain business, tax, and payroll documents for your lender
  • This article contains a checklist of the documents you’ll most likely need to give your lender

URGENT PPP FORGIVENESS UPDATE: On July 28, 2021, the SBA announced big news (for most PPP borrowers). The SBA has established an online PPP forgiveness platform called the SBA PPP Direct Forgiveness Portal. If your PPP loan was for $150,000 or less, AND if your lender has opted-in to the use of the platform, you will be able to submit your PPP loan forgiveness application online directly to the SBA, using the electronic equivalent of SBA Form 3508S. For full details, read our post about the new SBA PPP Direct Forgiveness Portal and other recent rule changes.

Since March 2020, the federal government has approved over $760 billion (!!) in emergency PPP funding for American small businesses impacted by the COVID-19 outbreak. The small business stimulus program is called the Paycheck Protection Program (PPP), and small businesses nationwide are lining up to apply for the renewed PPP loan program for 2021.

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Once you complete the PPP loan application, you’ll need to collect some documents for your loan officer. This article is a checklist of what your lender will mostly likely ask for. 

Documentation required for non-employer PPP loan applicants (independent contractors, gig workers, self-employed without employees, 1099, etc)

IMPORTANT UPDATE: The SBA has announced updates to the PPP. As of February 2021, borrowers using Schedule C may use their gross income (line 7) instead of net income (line 31) to calculate their maximum loan amounts. 

Independent contractors, gig workers, self-employed persons with no employees, and similar types of applicants don’t have employees on payroll, and thus will need to provide fewer documents to show income and prove business status.

For PPP Fast Lane borrowers submitting applications through Womply

Here are the documents non-employers should expect to provide when applying through Fast Lane:

  • U.S. mobile phone number
  • Your Social Security Number (or ITIN)
  • US-based bank account
  • Access to your tax records from 2019 or 2020. You must upload at least one of the following:
    • IRS Form 1040 Schedule C 2019 (filed)
    • IRS Form 1040 Schedule F 2019 (filed)
    • IRS Form 1040 Schedule C 2020 (filed)
    • IRS Form 1040 Schedule F 2020 (filed)
    • IRS Form 1040 Schedule C 2020 (draft)
    • IRS Form 1040 Schedule F 2020 (draft)
  • Government issued ID, such as:
    • Drivers License
    • State ID
    • Passport
    • Passport Card
    • Permanent Resident Card
    • Work Permit

For non PPP Fast Lane borrowers applying through other application processes/lenders 

Non PPP Fast Lane applicants will most likely need the following documents (required documents may vary by lender, but these are the most commonly requested documents).

Note: we have made an effort to provide accurate information, but SBA has updated requirements several times. Please see SBA’s FAQ here for detailed questions and the latest updates.

Here are the documents non-employers should expect to provide a typical SBA lender:

  • Driver’s license (or other government issued ID)
    • You will need to provide a full color copy/scan/photo of the front and back of your driver’s license (or alternative government issued photo ID)
  • 2019 or 2020 tax return. Note that independent contractors and self-employed individuals can use their 2020 tax filings as evidence even if they haven’t filed yet for 2020. You’ll need to attest to the accuracy of the information)
  • 1099-MISC
  • Blank check, or our bank account info, routing number, and statements
  • IRS Form 1040 and attached Schedule C
    • Note: If line 31 of your Schedule C is below $4,800, you are ineligible for a PPP loan
    • See our other FAQs here for more info about how to find your IRS Form 1040 and attached Schedule C
  • February 2020 bank statement
    • Provide a copy of your statement that covers 2/15/2020 as proof that you were in business as of that date. If available, bank statements that are downloaded from your bank’s website will work better than scanned versions.
  • NAICS code for the business applicant
    • Look up your NAICS code (here)
  • Proof of business activity in 2020 (you must have been in business before February 15, 2020 to qualify for a PPP loan)
  • Legal documents for your business (charter, state licenses)

PPP documents required for employers / businesses with employees

Small businesses with employees are required to account for payroll for their employees, and thus should expect to supply appropriate documentation to do so. Your lender may have additional requirements, but you can use the below as a general guideline.

If your business has employees, you will likely also need to provide:

  • 2019 and/or 2020 IRS Form 940 for unemployment costs (here)
  • 2019 and/or 2020 IRS Form 941 for quarterly salary, wages, commissions, and tips (here)
  • 2019 and/or 2020 IRS Form 944 (here)
  • 2019 and/or 2020 IRS Form 1099-MISC for any independent contractors that your business paid (not to exceed $100,000 for the year) (here
  • 2019 and/or 2020 IRS Form 1040-C if your business is a sole proprietorship (here)
  • 2019 and/or 2020 IRS Form W-3 (not required, but recommended) (here
  • Monthly payroll statements that will provide the following information
    • Salary, wages, commissions, or tips (not exceeding $100,000 annually for each employee)
    • Any costs for the separation or dismissal of employees
    • Any costs for vacation, parental, family, medical or sick leave
    • Any state & local taxes assessed on employee compensation

Additional documentation may be required for certain business types:

If your business pays for health insurance or retirement for employees, you will also likely need to provide the following from 1099 or W2 forms:

  • All health insurance premiums paid by the business owner under a group health plan
  • All retirement plan funding paid for by the business owner

Additional documentation required for second-draw PPP loans

The above is likely required for all PPP loans, including first or second draw loans, but for a second draw loan specifically you will need to provide the PPP first draw SBA Loan number assigned by your first lender to your approved SBA PPP loan. The SBA will not at this point provide this number to you, and there’s no online database for you to look it up. Currently the only way you can find your PPP loan number is by requesting it from your PPP lender, or consulting your signed PPP loan approval documents, if you have them.

The PPP first draw SBA loan number is a 10 digit number in the following configuration: XXXXXXXX-XX. For more info, read our article on PPP first draw SBA loan numbers.

In addition, for your second draw loan you will need to provide documentation that you experienced at least a 25% reduction in revenue in at least one month in 2020 compared to 2019. There are several ways that are approved to prove this, including tax returns and/or quarterly revenue data. If quarterly revenue data isn’t available, you may still be able to demonstrate the required loss in revenue. Please consult our article on second-draw PPP loans for more details.

You may also like: Is there a minimum credit score for PPP loan?

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