Sofla.
Loan Program

Profit & Loss Loans

Mortgage financing for self-employed borrowers and business owners using P&L statements instead of tax returns

Self-employed borrowers and business owners often show lower net income on tax returns due to legitimate deductions — which can disqualify them from conventional programs even when their business generates strong cash flow. The P&L loan program qualifies borrowers using a CPA-prepared Profit & Loss statement, reflecting actual business performance rather than taxable income.

Who This Is For

Self-employed individuals and independent contractors (1099) with 2+ years in business

Business owners whose tax returns show significant deductions that reduce qualifying income

Entrepreneurs who write off business expenses but have strong actual cash flow

Professionals who recently incorporated or restructured their business income

High-earning self-employed borrowers who do not want to use tax returns for mortgage qualification

Requirements

Employment TypeSelf-employed or business owner
Time in BusinessMinimum 2 years self-employed or in business
Minimum Credit Score620
Down Payment15–20% minimum
Income Documentation12–24 month CPA-prepared Profit & Loss statement
Tax ReturnsNot required
Property TypePrimary, secondary, or investment

How Sofla Helps

Our AI qualification engine handles the heavy lifting so you can focus on closing.

Qualification engine identifies self-employed and 1099 borrowers with 2+ year history and routes them to P&L as a primary program option

Sofla explains the difference between tax-return income and P&L income to borrowers upfront — so they arrive at lender conversations with the right expectations

Document checklist is P&L-specific: CPA letter, business license, 3 months business bank statements — no W2s or personal tax returns

Matches borrowers to lenders with active P&L programs and underwriters experienced with self-employed income analysis

Get Qualified for Profit & Loss Loans

A few questions. A real score. The exact document list for your loan type.

Start Qualification