In this article, we’ll share a few resources and tips to grow your credit repair business.
In this article, you will learn about:
- How do successful credit repair companies make millions?
- What is the business model for credit repair?
- How do you get so many clients?
- Monitoring the health of your business
- The “Flow”
- Credit Repair Business Flow Chart
- The Bottom Line
How do successful credit repair companies make millions?
The secret is simple:
Keep your existing clients happy
Add a few more clients each month
And your revenue will grow larger every month!
The subscription business model has been around for years. We've just made it easier to be profitable. Our software is so unique it’s patented.
You can check out our ROI Calculator to see how you can grow your business. This calculator will show you the potential of this low-cost startup. Scaling is made possible because our software minimizes the work to a few minutes each month.
Minimize your workflow to handle more clients in less time. This is where our software is key.
Focus on increasing client satisfaction to extend the average client lifetime value.
Increase your flow of leads (from affiliates, your website, word of mouth, or paid ads).
Monitor KPIs (Key Performance Indicators). When lifetime value exceeds the cost-to-acquire a client, you have a scalable business!
Increasing your flow of leads is important, but always remember that the most valuable clients are the ones you already have. Keep them happy. Happy clients have the longest lifecycle and highest lifetime value (and they're your best advertising).
What is the business model for credit repair?
Traditionally, credit repair follows a subscription business model, where clients pay you a monthly fee for "document processing" and "credit education." The subscription model follows a simple proven recipe: If you can keep happy clients paying you monthly and a cost-effective way to attract more clients, your recurring revenue will quickly multiply.
How do you get so many clients?
One of the best ways to get leads (and clients!) is through affiliates. Affiliates can be Mortgage Brokers, Realtors, Auto Dealers, CPAs, and attorneys who refer clients to you.
Monitoring the health of your business
If you're a Credit Repair Cloud user, use your Business Dashboard to monitor conversion rate, churn rate, and average revenue per client, as these are the KPIs (key performance indicators) for the health and profitability of your business. Understanding Average revenue helps you determine a budget for customer acquisition. Spikes in cancelations or high churn rate are indicators of unhappy clients or a problem on your team.
After entering a client into Credit Repair Cloud, the work is minimal. The software automates and simplifies the work, keeps it organized, reminds you of follow-ups, and the Business Dashboard monitors your clients, your affiliates, your team, and your business’s overall health and profitability.
A new lead appears in your account (from your website or your affiliate) or leads call you, and you add them manually.
Your sales team converts that Lead to Prospect and then finally to Client.
You create their client profile and assign the onboarding tasks and enable portal access.
Collect necessary documents from the clients through their secure portal.
Order all three reports and score. Usually, the client does this through an online service like IdentityIQ or SmartCredit and shares the login details with you.
Examine the reports for errors. If you're using our Import tool, tag and save all the items you wish to dispute.
Use the Dispute Wizard to create dispute letters to send to credit bureaus. Never dispute more than five items in a 30 day period.
Wait for 30-45 days while the bureaus investigate and respond. Items will be either removed or verified.
If bureaus respond that the item is verified, challenge the verification. Lather, rinse, repeat.
Occasionally communicate with creditors directly. The same rules apply.
Keep clients happy so they will continue their monthly service, and they will tell others how awesome you are.
Add more affiliates who refer clients and add more team members if needed.
Monitor the business dashboard for trends such as unusual drop-offs of active clients or high churn rate as these are strong indicators of unhappy clients or a problem on your team.
Credit Repair Business Flow Chart
Many companies that use our software use this same workflow. Try it yourself!
Click on the image below to download a PDF that will give you a visual look at the Flow of each client as you start to build your business.
The Bottom Line
Building a successful business does take work and testing. Credit Repair Cloud has all the tools to manage your business to help minimize your workflow and maximize your profits and scalability.
What you can do now: