Question – How many bids do we need for a business loan?

Our Answer – The bank does not usually require the business owner to get multiple bids to get a business loan.  They assume you are taking precautions to get the best vendor for your business and they aren’t really interested in managing the loan.

That being said, especially when doing any construction or renovation to a building, I would typically recommend getting 3 quotes to make sure you are getting the best price and contractor.  Depending on the extent of renovations or construction, it can be a bit of a pain to coordinate contractors and this threshold will vary depending on how much the project is going to cost as you won’t want to spend as much time vetting vendors for a $5,000 project as you would a $500,000 project.