How to fill out SBA Form 413

Complete section 1 for your source of income and contingent liabilities.

You’ll need to provide a complete list of any income you get as part of the SBA Form 413 application. 

How to complete source of income

To complete source of income, list the following information for you and your spouse, if applicable:

• Salary 
• Net investment income (dividends and interest from investments)
• Real estate income (after expenses) from any rental properties, sales or leases
• Other income, including pension or social security statements (you’ll describe it in the “description of other income” box)

Unless you want them included in total income, you don’t need to include alimony or child support payments here.

How to complete contingent liabilities

Contingent liabilities are any debts you would be responsible for in certain circumstances. Many borrowers won’t have any of these, and if you do, they aren’t included in your regular liabilities section. 

You’ll list these for both you and your spouse, if applicable:

• Any debts you acted as a co-signer or guarantor for (such as buying a child a car)
• Legal claims or judgments
• Any money you’re setting aside to pay for federal taxes
• Any other debt

Complete section 2 with your notes payable.

The next few sections give you an opportunity to explain more information about your assets and liabilities. You may not need to fill them all out, or you might not have much detail to add. 

Section 2 covers any money you owe to banks or other financial institutions. This can include loans, credit card accounts or lines of credit. You’ll need to include the original balance, current balance and your monthly payment or installment plan. 

If you are including a loan, you’ll need to include information on whether or not you used collateral to secure it, and which collateral you provided if so. You’ll also need the bank or financial institution’s name and address. 

Complete section 3 with any stocks and bonds

In section 3, you’ll include more information about your stocks and bonds, including the number of shares you have, the name of the securities, their cost, their market value, the date of quotation and their total value. 

Fill in section 4 with any real estate you own.

In this section, you’ll include greater detail on every property you own, including:

• Type of real estate
• Address
• When you purchased it
• Original cost
• Current market value
• Name and address of the mortgage holder
• Mortgage account number
• Outstanding balance
• Payment amount (monthly or yearly)
• Mortgage status

Again, fill this out for every property you or your spouse own. 

Section 5: personal property and assets

In this section, you’ll describe other personal assets, such as vehicles, jewelry, artwork, etc. Any information you can provide here will be helpful, such as year, make and model of any cars or vehicles and the purchase price or insured value of art or jewelry.

If you’ve used any of the items as collateral, you’ll also need to include:

• Name and address of lien holder
• Terms of payment
• Description of delinquency (if necessary) 

Section 6: declaration of any unpaid taxes

In this section, you’ll give more detail on any unpaid local, state or federal taxes. You may need to provide tax returns or transcripts from the IRS as well. Include the following information:

• Type of tax
• Amount owed
• Due date
• Tax liens on property

Section 7: other liabilities

This is where you’ll give any detail on other personal liabilities that weren’t included in the sections above. It’s rare to have other liabilities, so don’t feel like you have to fill this part out. If you can’t categorize a debt in any of the above categories, this is where it would go. 

Section 8: life insurance

Here is where you’ll provide any additional information about your life insurance. Be sure to include:

• Type of life insurance
• Name of insurance company
• Face amount
• Applicable cash surrender value upon cancellation
• Beneficiaries 

Step 9: review your details on the form

At this point, you should re-read everything you’ve entered on SBA Form 413 to make sure it’s complete, thorough and up-to-date. It’s a good idea to have your lender or accountant take a look to make sure you’re not missing anything. Some small business owners ask an attorney to look over their documents, just to be sure. 

If you’re missing anything or the lender needs more information, they’ll generally ask for it (rather than just canceling your application). But this can slow down the process. SBA loans take longer than other loans to process because they’re so thorough, so it’s in your best interest to submit a complete loan application, including SBA Form 413, the first time .

Step 10: complete, sign and date

At this step, you’ll verify everything is correct by signing and dating the form. You’ll also need to include your social security number. If you are a 20% owner of a business and included your spouse’s assets and liabilities, they’ll also need to sign and provide their social security number. 

Step 11: submit with your SBA application

If you filled out the form as a PDF, you’ll need to print it. Make sure you use a pen to sign in this case, as the SBA won’t accept digital signatures. Once everything is done and you’ve attached any documentation, you’ll give it to your lender along with your application. 

The lender will follow up with you on any questions or points of clarification. Again, getting this form and your whole application right the first time is the best way to make sure the process runs as smoothly as possible.