Interview

“I am forced to defend myself, my actions, and the way I conduct my business to some potential clients.”

Q: Welcome to the Board of Advisors Magazine! It’s truly a pleasure to have you join us today. As every entrepreneur’s journey is unique, we’re eager to learn about yours. Could you take us through the story of how you launched your career, from the initial spark of inspiration to where you are today?

Rhonda Klch: I believe I am a serial entrepreneur. I am in love with risk and the reward that follows. I started my first company at 18 and by the time I was 23 years old, I had purchased 3 homes. I put myself through college and just loved to make money and find new challenges. It is there that I found my path – at 23 my attorney referred me to a local mortgage lender, he thought I would make a good loan officer since I was outspoken and was already in the real estate market. I gave it a go but people did not want to work with me because I was young, a female, I was 100 pounds and looked 12! I made my mark by identifying purchasers with bad credit and I became their resource and hope – a second look opportunity in my first year, I worked to help those clients raise their scores, pay down or off debt and I made more money than the seasoned men! This was in 1996.

Q: Rhonda, for you, what does success mean? How do you define it in the context of your entrepreneurial journey?

Rhonda Klch: Success can be defined in various ways. I find it in the small achievements, setting goals, and persistently pushing towards them. Additionally, reflecting on life’s accomplishments, the ventures embarked upon, and the journey itself, all contribute to my sense of success. Money, for me, isn’t the defining factor. Instead, it’s about the experiences and outcomes achieved. Money may come and go, but it’s the hard work, determination, and accomplishments that truly define my success.

Q: Going through a career where problem-solving is central can indeed be demanding. How do you manage the stress that comes with addressing clients’ challenges and being seen as the primary problem solver in your field?

Rhonda Klch: I will admit that initially, I listened to everyone’s problems and often found myself staying awake at night, pondering solutions. I was deeply emotionally involved and treated each client like a friend. However, after a few years of this taxing dynamic, I realized the importance of maintaining professional boundaries. I recognized the need to approach my clients as clients, striving for neutrality, strength, and clarity in delivering opinions and news with confidence. Working with families grappling with various challenges—from health issues to credit problems, divorces, disabilities, and the threat of foreclosure or bankruptcy—I observed their overwhelming fear and realized they required a leader, someone who could provide guidance. It became evident that playing the “friend” role was ineffective. Taking small steps, like refraining from discussing clients at home and establishing structured communication methods—such as requiring clients to schedule calls with an agenda—proved invaluable, saving me both time and energy.

Q: With the rising prevalence of “pop-up” businesses that mimic our services, educating the public becomes paramount. How do you effectively convey your expertise and differentiate yourself from these inexperienced “pop-up” gurus to potential clients who may have been misinformed?

Rhonda Klch: There are days when I want to reach through my phone and scream at the “influencer” who is giving bad information. I am still so shocked at how many people want to believe the one success story that someone teaches. I have been in the credit game for over 20 years (28 actually), and the last few years have been agonizing. 

I am forced to defend myself, my actions, and the way I conduct my business to some potential clients. I will say, that I do not promote on social media; my business has been all relationship-driven and word-of-mouth. I have become a local authority in my space, and because of that, needing to defend myself has been less often than others I know. I often have to remind people, especially when I am teaching or lecturing around the US, to listen to what people are saying. Does it sound like a fraud? Do the stories seem real? Does the response seem accurate? Do they speak about more than one experience or just their own?

Q: What challenges do you encounter in your business, and how do you envision addressing them?

Rhonda Klch:  In my industry, constant changes and the emergence of new individuals aiming to become overnight gurus, coupled with an unpredictable economy, instill fear in clients. However, I adhere to the fundamental principle of integrity. Operating with integrity benefits both myself and my clients. 

While I may not be able to assist everyone, all my clients understand that my team strives to achieve the best possible outcome. Not every story concludes with a happy ending; we encounter challenging cases. However, it all begins with setting the correct expectations. Continuously seeking updated education and methods, staying informed about changes in laws, and leveraging available information are strategies my team and I employ to pursue optimal outcomes for our clients.

Q: We understand that you manage multiple businesses. Could you please share what they are, and how you maintain a healthy work-life balance while juggling these ventures?

Rhonda Klch: I am the managing partner of Equity First (consumer and business credit and coaching). Additionally, I host a radio show called The Credit Authority, own a few vacation rentals, and have recently finalized plans to open our first Bed and Breakfast with a full-scale restaurant for the public in May 2024.

My family is accustomed to the hustle and grind of my life, and they understand my dedication to my ventures. My husband played a crucial role in maintaining balance; he supported me by staying home to raise our kids while I pursued my goals. We function as a team, and I involve my children in all aspects of my endeavors. They accompany me to events, join me on trips, and we have regular check-ins throughout the day. Through this, I’ve raised independent children, and we share a strong bond. Their closeness allows my husband and me to remain flexible with travel, especially since the new B&B is five hours from home!

Q: As a mother to 5 boys, have any of your children expressed interest in pursuing the path of entrepreneurship or self-employment? If so, what lessons do you aim to instill in them regarding business and life?

Rhonda Klch: I have 5 boys, each unique yet remarkably independent. Among them, 2 share my approach to action and decision-making. I teach them that it’s alright to take risks and immerse themselves in their passions. I emphasize the importance of giving their all to achieve their aspirations, advocating for structure, organization, and goal-oriented focus. I encourage them to embrace mistakes as valuable learning opportunities, particularly while I’m available to guide them. Lastly, I stress the significance of seeking out mentors to aid them in their journey.

Q: Do you believe that experiencing failure is necessary for success? If so, why? Additionally, could you share any stories of failure from your journey?

Rhonda Klch: I appreciate this question because failure is such an integral part of the journey to success. It’s not about trying something once and getting it right immediately; it’s about facing hard lessons that shape you in profound ways. These real-life experiences, which can’t be gleaned from books, serve as invaluable preparation for future challenges. Throughout my journey, I’ve encountered setbacks such as financial losses, poor decisions, and misplaced trust in partnerships. However, each misstep has been a valuable learning opportunity. 

I’ve gained insights into what went wrong and how to prevent similar pitfalls in the future. These experiences have made me more discerning and strategic in my approach. Additionally, I always advocate for seeking mentors, especially within the same field. While their experiences may differ, learning from their mistakes can provide valuable insights and help individuals better prepare for what lies ahead.

Q: Could you share the story of how you started your radio show, and what important lessons have you learned from that experience?

Rhonda Klch: I’ve always had a passion for public speaking and frequently hosted events within the business community. Through networking groups and local chambers of commerce, I gradually became known as a person of interest in my field. A friend of mine, John, who happens to own 22 radio stations, had persistently suggested that I host my own show. Initially, I wasn’t keen on the idea—I had a full plate with raising my kids, working, and building my real estate portfolio. However, when the pandemic hit and I found myself with more free time and a need to stay relevant, I finally decided to give it a try. Thus, “The Credit Authority” was born.

On the show, I interview local business owners, and professionals in real estate, law, mortgages, and more, discussing market trends, current events, and challenges, and extracting lessons from each episode. It’s been rewarding to spotlight the professionals I collaborate with and, four years later, the show is still going strong. I’ve expanded its reach and continue to film weekly. I cherish the opportunity to amplify people’s stories, brands, and beliefs through the power of radio.