{"ok":true,"canonical_url":"https://dealroom.so/glossary/environmental-standard","api_url":"https://dealroom.so/api/public/glossary/environmental-standard","data_freshness":{"sba_records_through":"2026-05-31","fdic_records_through":"2026-03-31","dealroom_last_updated":"2026-06-15","timezone":"America/Chicago"},"source_summary":["Public SBA 7(a) loan records","FDIC institution data","DealRoom lender and franchise enrichment"],"term":{"slug":"environmental-standard","term":"Environmental standard","group":"Reading the business","definition":"These are rules or requirements designed to protect the environment, often related to waste disposal, emissions, or hazardous materials. Non-compliance can lead to severe fines and liabilities.","what_it_means":"For certain industries or properties, lenders require an Environmental Questionnaire or Phase I Environmental Site Assessment to identify potential environmental risks. If issues arise, further investigation (Phase II) or remediation might be necessary, impacting closing timelines and costs.","url":"https://dealroom.so/glossary/environmental-standard","official_sources":[{"slug":"sop-50-10","title":"SOP 50 10 — Lender and Development Company Loan Programs","official_url":"https://www.sba.gov/document/sop-50-10-lender-development-company-loan-programs","official_label":"View on SBA.gov","authority_tier":2,"publisher":"U.S. Small Business Administration","source_guide_url":"https://dealroom.so/sba-7a/sources/sop-50-10"},{"slug":"13-cfr-part-120","title":"13 CFR Part 120 — Business Loans","official_url":"https://www.ecfr.gov/current/title-13/chapter-I/part-120","official_label":"View on eCFR","authority_tier":1,"publisher":"Office of the Federal Register","source_guide_url":"https://dealroom.so/sba-7a/sources/13-cfr-part-120"}],"related":[{"slug":"environmental-consultant","term":"Environmental consultant","url":"https://dealroom.so/glossary/environmental-consultant"},{"slug":"environmental-questionnaire","term":"Environmental Questionnaire","url":"https://dealroom.so/glossary/environmental-questionnaire"},{"slug":"phase-i-environmental-site-assessment","term":"Phase I Environmental Site Assessment","url":"https://dealroom.so/glossary/phase-i-environmental-site-assessment"}],"related_questions":[{"question":"What constitutes a 'prudent' environmental due diligence standard for a 7(a) loan involving commercial real estate?","url":"https://dealroom.so/for-lenders/questions/what-constitutes-a-prudent-environmental-due-diligence-standard-for-a-7-a-loan-involving-c"},{"question":"How does common management trigger affiliation for size standard purposes?","url":"https://dealroom.so/for-lenders/questions/how-does-common-management-trigger-affiliation-for-size-standard-purposes"},{"question":"How does the SBA define \"small business\" for size standard purposes?","url":"https://dealroom.so/for-lenders/questions/how-does-the-sba-define-small-business-for-size-standard-purposes"},{"question":"How does common management trigger affiliation for SBA size standard purposes?","url":"https://dealroom.so/sba-7a/questions/how-does-common-management-trigger-affiliation-for-sba-size-standard-purposes"},{"question":"Is a blanket lien on all business assets a standard SBA requirement?","url":"https://dealroom.so/sba-7a/questions/is-a-blanket-lien-on-all-business-assets-a-standard-sba-requirement"},{"question":"When a Phase I Environmental Site Assessment (ESA) identifies a Recognized Environmental Condition (REC), what are the lender's subsequent responsibilities?","url":"https://dealroom.so/for-lenders/questions/when-a-phase-i-environmental-site-assessment-esa-identifies-a-recognized-environmental-con"}]},"caveats":["Definitions represent DealRoom's plain-English interpretation for buyers; verify regulatory terms against the official SBA and eCFR sources listed.","Not legal, tax, or financial advice, and not an SBA eligibility determination."],"citation":{"label":"DealRoom.so Glossary — Environmental standard","url":"https://dealroom.so/glossary/environmental-standard","source_type":"DealRoom Data"}}