Reverse logistics (RL) activities carried out by informal businesspeople are growing very fast. Even though improve the welfare, but they are often labeled as reducing environmental quality. For environmental reasons, they often become targets for extortion by irresponsible government officials. This research aims to determine the most possible engagement model for this business group to implement RL activities, so that business performance, especially environmental factor, increases. In this research, the model is divided into three groups, namely involvement, collaboration, and empowerment. Meanwhile, business performance is measured using six dimensions, namely financial, internal business processes, innovation and growth, stakeholders' value, social and environment. Using the structural equation modeling and applying second order confirmatory analysis, this research succeeded in identifying models to engage in green RL activities. The best indicators that describe each dimension are: for involvement model, first, the purpose of doing business is for profit, save the environment, and positive social impact; second, only carry out safe processing methods; third, minimize direct contact to e-waste. The best collaboration that can be implemented between businesspeople and the government or electronics manufacturers is professional business development; provision of affordable simple technology machines; and profit-sharing system in cooperation. All empowerment indicators meet the loading factor requirements, but the best two illustrate this dimension are investing in component shredders and smoke filter machines. By running SmartPLS software, this research has proven that the engagement models in RL activities formulated in this research has a positive effect in improving the performance of e-waste processing businesses.