In the last few years over 1,100 people have contacted me because they have an interest in how to start a credit repair business. Most of these people are mainly focused on how to do credit repair, meaning the fulfillment of the service. They are less concerned with discussing how to start, build and maintain a credit repair business which is where I direct the conversation because that’s what they should be concerned with and asking questions about.
There are many issues to tackle when starting any business. Yes, you have to understand the fulfillment piece, in this case delivering results to the customer for credit restoration. But there’s much more to it. What about the state and federal laws, the technology used for fulfillment and marketing, the marketing and sales functions, the competition, and the cash flow?
Do you have a plan to start a credit repair business that encompasses all these aspects and more?
Ultimately it comes down to this question. Do you want to be an entrepreneur or a solopreneur? An entrepreneur is going to use their highest and best value to operate and expand a business. They are not going to perform all the functions of the business. They are going to utilize the efforts of other people that are appropriately positioned for the value they bring to the business.
A solopreneur is going to be in business for themselves but also by themselves. They are going to wear all hats. Sales, marketing, technology, fulfillment, customer service… everything. To attempt this in any business is a daunting task. In the credit repair industry it’s a recipe for failure.
Of course, even if your intention is to start a credit repair business and be an entrepreneur, initially you will most likely start it alone. Just know that setting up your credit repair business and then doing the marketing, sales and fulfillment yourself all take a great deal of time. There is typically not enough hours in a day to do all 3 especially if you want to start a credit repair business on a part time basis. And, it takes very different skill sets. That’s why you eventually want to bring on people that have skill sets and hours you don’t have.
Further, you want to understand what functions brings the most value to your client and to your business. In the credit restoration industry the fulfillment (credit report analysis, drafting dispute letters, and customer support) is the least valuable function with regard to what you can pay someone else to do that job. That’s an administrative function that you can pay and train people to do for a reasonable hourly wage. It does not take a college degree or a large amount of previous experience.
The functions that bring the most value to your business are marketing and sales.
To own and operate a successful credit repair business you have to know how to continually get lots of customers and how to sell to those customers. Yes, you can hire people to do this but you’re going to have to pay them far more than a reasonable hourly wage. Marketing and sales skills are honed with years of experience and people want to get paid well for that experience. This is the part you should do, not the fulfillment.
Our business model provides the fulfillment of credit repair services to the client. We have also prepared all the marketing pieces, a website, brochures, business cards, flyers, folder, product videos and more. We have the technology to keep your client, you and any referral source you’re working with updated on the progress for that client. We provide training on how to market and build a credit repair business. And, we show you how to sell credit repair to customers. You get one on one mentoring from someone who is already highly successful in the business.
I have recorded a video describing the 3 options to start a credit repair business. That video is located HERE. By watching this video you will understand what is necessary to work in this industry in each scenario. If ultimately the third option in this video makes the most sense for you watch the next video on that page then give us a call. We’ll discuss the hours and skills you have and design a business plan that makes sense for you.
ERA CREDIT SERVICES IS AN INDEPENDENT AGENT FOR UNITED CREDIT EDUCATION SERVICES, A 501(C)3 NON PROFIT ORGANIZATION HEADQUARTERED IN FARMINGTON HILLS, MI.