What this form is for
Banks require this form when you apply for a business loan, line of credit, or personal guarantee. It shows your complete financial picture outside the business, proving you can repay debt if the business cannot.
Before you start
- Recent statements for all bank accounts, investment accounts, retirement accounts, and brokerage accounts showing current balances
- Current mortgage statements, auto loan balances, credit card statements, and any other outstanding loan documents
- Property tax assessments or recent appraisals for real estate you own, including your primary residence
- Titles or recent valuations for vehicles, boats, and other titled personal property
- Life insurance policies showing cash surrender values if applicable
Step-by-step
1. Fill in your personal identification at the top: full legal name, home address, Social Security number, date of birth, and phone number. If you are married and applying jointly or live in Florida as a married couple, your spouse may need to complete a separate statement or co-sign depending on the lender.
2. List all cash and liquid assets with exact current balances: checking accounts, savings accounts, money market accounts, and certificates of deposit. Include the financial institution name and account numbers.
3. Document marketable securities: stocks, bonds, mutual funds, and brokerage account holdings. Use the current market value as of the statement date, not what you originally paid.
4. Itemize real estate you own. For each property, state the address, type (primary residence, rental, vacant land), current market value, the amount owed on mortgages, and the equity. Florida homestead protections do not affect how you report the value here.
5. List all other assets: automobiles with make, model, year, and fair market value; retirement accounts showing vested balances; cash value life insurance; business interests; and personal property of significant value like jewelry, collectibles, or equipment.
6. Total all assets. Most forms auto-calculate this, but verify the sum is accurate.
7. Itemize all liabilities: mortgages, auto loans, student loans, credit card balances, personal loans, business debts you have personally guaranteed, taxes owed, and any other obligations. Include creditor names, account numbers, original amounts, current balances, and monthly payments.
8. Total all liabilities and subtract from total assets to calculate your net worth. Double-check this figure.
9. List your income sources: salary, bonuses, rental income, dividends, interest, and other revenue streams with annual amounts.
10. Sign and date the form. Your signature certifies accuracy and completeness under penalty of law.
What lenders look for
- Banks focus on liquidity and debt-to-asset ratios. They want to see accessible cash reserves, not just equity tied up in homes or retirement accounts that are hard to access quickly.
- Disclose everything, even small debts. Omissions discovered during credit checks destroy credibility and can kill your application. Underwriters verify data against credit reports and public records.
- Update the statement if anything material changes between submission and closing. Stale financials older than 90 days typically require resubmission.