Search
 

SBA Crash Course: The Transaction Screen

The Transaction Screen is another component of SBA's environmental policy, and can be a useful tool for non-SBA lenders as well.

By Gary Reynolds | Updated on September 13, 2012

One of the tools utilized by the Small Business Administration’s environmental policy is the Transaction Screen Assessment, which is essentially a scaled down version of the Phase 1 Environmental Site Assessment.  The Transaction Screen includes a site visit, regulatory records review, key personnel interviews and limited environmental research. 

The only place in the SBA Policy that specifically states when you can use a Transaction Screen as a minimum starting point for environmental due diligence, is when you are financing a car wash only facility (as long as the property doesn’t also have a gas station, automotive servicing, etc).  This is because car wash facilities are relatively low-risk operations when it comes to potential environmental contamination.  For all other higher risk operations, including auto repair and maintenance, the due diligence must start with a Phase 1 Environmental Site Assessment.  (To clear up any confusion: If you are using the NAICS code list to determine if your property operation is “environmentally sensitive,” the code for car wash only facilities is 8111 Automotive Repair & Maintenance, which is technically an environmentally sensitive industry; however, the subtext reads except for “car wash only” facilities which can start with a Transaction Screen.)

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.