A blog from CREtelligent SBA Expert Stephen Reynolds

No one has more inhouse knowledge of the SBA environmental investigation process and requirements than CREtelligent! And we want to share it with you. If you’re an SBA lender or Certified Development Corporation (CDC), bookmark this page and visit often as we’ll keep you up-to-date on SBA matters.

Five Tips to Avoiding Delays in your SBA Loans

by Stephen Reynolds

September 16, 2021

Keeping your SBA deals moving is important to both you and your customers. The last thing you need is for your environmental due diligence to get kicked back because you didn’t “dot that “i” or cross that T.” In all seriousness, it is a bit more complicated than that, and loans do get delayed when a detail gets overlooked. And we all know there are plenty of details to underwriting an SBA loan.

We’ve put together a few tips to help you avoid screen out and delays and keep your SBA originations and underwriting moving along.

  • Always state the past and current use of the property and the adjoining properties in the Environmental Questionnaire (EQ).
  • The EQ must be signed by the owner or operator of the site and the CDC/Lender.
  • If the owner is unable or unwilling to sign the EQ and the property is not in an environmentally sensitive industry, then a Transaction Screen Analysis is the minimum requirement for submission.
  • As of April 1, 2021, the SBA requires the statement (below) in your environmental questionnaire:
    “The undersigned owner(s) and/or operator(s) acknowledge(s) and agree(s) that intentionally falsifying or concealing any material fact with regard to the subject matter of this Environmental Questionnaire may, in addition to other penalties, result in prosecution under applicable law including 18 U.S.C. section 1001.”
  • If a property is a daycare center, childcare center, nursery school or a residential care facility occupied by children, state the construction date of the building. If the date of construction is prior to 1980, a lead risk assessment (for lead based paint) and testing for lead in drinking water is required.

The last tip, concerning childcare centers has not fallen on many radars as daycare center activity has slowed with the pandemic. Be mindful as things return to normal.

Also, be sure you’re using the latest Environmental Questionnaire. You can download the latest here on the CREtelligent SBA Resource page.

We hope these tips prove useful. Check back often as we’ll continue to share more tips, updates, news, and all things SBA!

About CREtelligent.com. Commercial Real Estate. Simplified.

CREtelligent opened its doors more than six years ago as eScreenLogic, a Commercial Real Estate (CRE) environmental due diligence firm focused on desktop, RSRA, Phase I, and Phase II site assessments and reporting for commercial lenders, insurance companies, and brokers. The company has grown quickly and market demand for a “one-stop” CRE due diligence platform that offers more than environmental expertise for lenders and corporate entities has become clear. As a result, we’ve expanded to offer not only our full-service Environmental reporting but Valuation, Flood, Full Portfolio Asset Risk Monitoring, and a number of other “Platform-as-a-Service” offerings too.

Commercial Real Estate Due Diligence, Simplified isn’t just a tagline, it’s become our product development mantra. We are building the tools that you need to face the new markets we all find ourselves in today. This unique innovation-based approach enables our clients to make fast, accurate, and intelligent commercial real estate transaction decisions faster and simpler than ever before.

Media Contact: Jim Bonfield, CMO CREtelligent.com | 916.332.7801 ext. 705 | 309620@email4pr.com