Are you ready to turn your Credit Repair skills into a profitable business?
Well, on this week's Podcast, I'm gonna give you the Blueprint to build your Credit empire!
Last year, 42% of Americans were denied financial products like Credit Cards or Personal Loans because their Credit Scores were too low.
Despite what some economists say, most people with low scores aren't bad with money or irresponsible. They're victims of an unfair financial system.
They got caught in a debt trap because of medical bills, predatory lenders, or unexpected job loss. Most only realize the impact bad credit has on their lives after it's too late, but even when they understand how devastating bad credit can be, most don't know how to fix the problem themselves.
That's where you come in. Credit Heroes help clients achieve their financial dreams by cleaning up Credit Reports and raising Credit Scores. They change lives every single day, and they make a great living in the process.
But how do you take your knowledge of Credit Repair and turn it into a thriving business? You follow a business blueprint!
HOW DOES THIS RELATE TO US?
For those still new to the world of Credit Repair, today I'm focusing on how to build a business, so if you need to catch up on some of the basics, Check out my free downloadable guide: 7 Simple Things You Can Do to Increase Your Credit Score Fast!
The guide covers Credit Reports, Credit Scores, your Rights under the Fair Credit Reporting Act, and Seven Things to Improve Credit Scores.
And at the end of today's episode, if you still have Credit Repair Business questions, head to CreditHeroChallenge.com and sign up for our free course.
HERE'S THE THING TO REMEMBER…
In order to run a successful Credit Repair Business, you have to understand the Credit Industry. The Credit Repair Industry has been around since Congress passed the Fair Credit Reporting Act in 1970, which regulates the collection, sharing, and use of consumer credit information.
In 1996, Congress passed the Credit Repair Organizations Act, which regulates Credit Repair Businesses and prohibits them from engaging in fraudulent or deceptive practices.
And In 2011, the Consumer Financial Protection Bureau was established to protect consumers from financial abuse, promote fair and transparent financial markets, and help enforce the FCRA and CROA.
But even with all these laws and regulatory agencies, consumers are still at the mercy of predatory lenders, Big Banks, and for-profit Credit Bureaus. And the need for Credit Repair has never been greater.
HERE'S WHY THIS IS IMPORTANT…
According to recent studies, the average U.S. household carries over $7,000 in Credit Card debt. 14 million Americans owe more than $10,000 in Credit Card debt, and interest rates hit the highest level in 30 years.
But even larger than the debt problem is the problem of errors. 79% of Credit Reports contain errors. These errors can happen to anyone. It doesn't matter how good or bad you are with using credit.
These errors are caused by everything from accidents to incompetence or even Identity Theft. They can result in lower Credit Scores, denied loans, or higher interest rates, which can cost you thousands over time.
This means that millions of Americans need Credit Repair services, whether they know it or not! So if you want to seize the opportunity, change lives, and make a great living, it's time to follow the blueprint.
HERE'S WHAT YOU NEED TO KNOW…
STEP 1: MASTER YOUR CRAFT
This is more than just the first step. This is the forever step.
In many ways, you are the product that you are selling. People are hiring you because they believe you can guide them through personal financial issues and deliver results. So, commit to educating yourself.
With the right training and software, Credit Repair is a relatively simple process. But running a business isn't. There are always new things to learn.
Successful entrepreneurs take courses, read books, and listen to podcasts. They attend conferences, workshops, and training programs to improve their skills and get better client results.
At Credit Repair Cloud, we provide everything I mentioned and more, but even if you find your tools and instruction elsewhere, remember you are the foundation of your business! Master your craft!
STEP 2: REVIEW THE LAWS IN YOUR STATE
Credit Repair businesses are regulated by both Federal and State laws.
The CROA is a Federal law that includes stipulations that will influence how you structure and operate your business. For example, under the CROA, Credit Repair Businesses must provide clients with a written contract that their clients must sign. Also, Credit Repair Businesses can not charge for services in advance. They can only charge for work that's been completed.
In addition to CROA, each State has different laws governing licenses, registration, and surety bond requirements for Credit Repair businesses.
To review the legal requirements in your State, you can go to: Credit Repair Cloud: All-States.
STEP 3: CREATE A BUSINESS PLAN
A Business Plan is a map to success where you strategize, organize, and set measurable goals in Finance, Sales, Marketing, and Operations.
How do you create a Business Plan? You do it by answering every business-related question you can think of. Questions like:
This is a massive research and brainstorming session where you outline your entire vision! So, the more questions you ask yourself, the more prepared and confident you'll be as you run your business.
STEP 4: CHOOSE YOUR NAME
Now that the plan is in place, it's time to take action and choose a name.
The name should reflect your personality and convey confidence. It should be clear, memorable, and professional. People shouldn't have to guess what you do.
When you have one you like, visit the US Patent and Trademark Office website at USPTO.gov to make sure it's available for registration and check the availability of related domain names.
STEP 5: CHOOSE A BUSINESS STRUCTURE
Some of the most common forms of Credit Repair businesses are Sole Proprietorships, General Partnerships, Limited Liability Companys (LLCs), and S-Corporations. Each type has pros and cons.
Sole Proprietorships and General Partnerships don't have limited liability protection, but they're the simplest to set up and the least expensive to run.
An S-Corp is the most complicated and expensive to set up and run, but they have limited liability protection.
So, review each business type, and select the one that makes the most sense for your circumstances.
STEP 6: REGISTER YOUR BUSINESS
After you decide on the name and structure of your business, it's time to register it. Check with your State and county government for local regulations for operating a Credit Repair Business.
Register for any licenses and permits that they require, and secure liability insurance if necessary. The fees associated with these licenses and permits are generally reasonable.
When this step is complete, you will officially own a business—well done!
STEP 7: SIGN UP FOR AN EIN
An Employer Identification Number (EIN) is considered the Social Security number for your business. It's free to apply for, and it never expires.
If you're a Sole Proprietorship or a single member of an LLC with no employees, you're not required to have an EIN. You can just use your Social Security number in place of the EIN.
But if you hope to hire employees one day, an EIN will allow you to do it. It also separates your identity from your business, which helps separate your personal and business finances.
You can apply for an EIN at the IRS Website using Form SS-4. The form can be mailed or submitted electronically.
Once your application is validated, your EIN is assigned immediately. When you get your EIN, you'll need to choose your tax year. This determines your tax cycle. Your business structure determines the taxes you pay.
STEP 8: OPEN A BUSINESS ACCOUNT
Opening a business bank account is pretty simple and similar to opening a personal account. Most banks offer business accounts, so shop around to find the best rates and terms that work for your needs.
After you choose a bank, bring in your EIN (or Social Security number), your articles of incorporation, and legal documents, and open the account. This is another way to keep your business and personal finances separate.
STEP 9: DEVELOP YOUR MARKETING STRATEGY
Before you market your Business, you need to develop a strategy. This strategy should be flexible. It should include a plan for a strong online presence, networking opportunities, and Free, near-free, or paid ads.
There are plenty of free or near-free marketing options you can use to reach potential clients. Prepare to use social media a lot. Facebook, Instagram, Google, Yelp, and others can help you in different ways.
You can also make fliers, host promotional giveaways, and request testimonials from satisfied clients. You can network with professionals in related fields, build relationships with affiliates, and collect referrals.
STEP 10: CREATE THOUGHTFUL OPERATION & PRICING SYSTEMS
This is the point where you map out the services you offer, determine how much you'll charge, and develop Standard Operating Procedures for processing clients.
Your operation and pricing systems will be based on your unique strengths, organizational style, and business plan. Just remember to keep your clients in mind when creating these systems. What's easiest for you might be different from what's best for them.
STEP 11: MAXIMIZE EFFICIENCY WITH SOFTWARE
Credit Repair takes time, patience, and persistence. If you want to speed up the process and avoid being buried in paperwork, you should incorporate tools for processing Payments, Billing, and Invoicing.
Now, I'm biased, but Credit Repair Cloud is the number one Credit Repair Software in America. It provides an all-in-one business platform with automated disputing and recurring billing solutions.
It includes a massive Dispute Letter Library, around-the-clock customer support, and additional integrated features that make scaling your Credit Repair as fast as possible. If you're interested in checking it out, you can sign up for a 30-Day Free Trial.
STEP 12: GET TO WORK!
At this point, you should be organized and prepared. You have the blueprint. It's time to execute your plan and turn your vision into a reality!
Of course, there's always more to learn and additional steps as you grow. But that's why step 1 is step 1.
MY FINAL POINT…
Credit Repair requires almost no startup costs. It's an easy-to-scale, remote-friendly business that's recession-proof and helps a lot of people in need! So, if you want to change lives and make a great living in the process, follow the blueprint and build your Credit Repair empire.
I'll end by saying…
If you don't already have a Credit Repair Cloud account, check it out. It's the software that most Credit Repair businesses in America run on. Just sign up for a 30-Day Free Trial at CreditRepairCloud.com/freetrial
And if you'd like to change lives and grow your own credit repair business, check out our Credit Hero Challenge!
It's an amazing program, and we've got another challenge starting in a few days, so grab your spot right now at CreditHeroChallenge.com!
And remember...
So take care, Credit Hero!
And Keep Changing Lives!