405:, received more than 150 complaints about the company, partnered with Brown's office in his state's investigation of the company. The BBB indicated that 80% of YTB revenue came from new agent recruitment, with agents earning an average of $ 111 per year, almost $ 400 less than the initial $ 499 sign-up price. In May 2011, it was announced that YTB had reached a settlement with the state of Illinois, paying $ 150,000 in restitution. No admission nor denial of guilt was made in the settlement.
328:. An out-of-court settlement required changes to the company's business model and generated a decrease in membership attributed to bad publicity. Later that year, YTB laid off 17 employees. In 2008 the company's revenues were $ 44.8 million. YTB said its independent auditor at the end of 2008 expressed "substantial doubt about our company's ability to continue as a going concern," a sentiment the company later echoed.
36:
386:$ 1 million. As part of the settlement, YTB agreed to restructure, possibly hastening a transition to a franchise system. That same day, Madigan filed a similar suit in Illinois. Brown said the agreement would end the sale of personalized websites that cost $ 450 to purchase and $ 50 per month to maintain.
393:
that alleged the company was an illegal pyramid scheme. The lawsuit says that the company "claims to sell travel services, but said company's main business is inducing others to become travel agents." YTB responded by stating that it intends to "vigorously defend the case," and the case was dismissed
385:
joined Brown in investigating the company. Brown's lawsuit indicates that 45,000 sales reps earned an average of about $ 90 in 2007 and of their 200,000 total agents, some 125,000 earned nothing and 37,000 earned less than $ 39. On May 14, 2009, California authorities settled their suit with YTB for
331:
In 2009 the company operated at a loss of $ 1.9 million for the first three months of the year. Revenue in that quarter dropped 49% to $ 21.8 million and then to $ 18 million in the second quarter. The number of the company's paying members declined from a high in April 2008 of 138,000 to 60,414 in
343:
On
February 1, 2012, founder J. Kim Sorenson died at the age of 62. In March 2012 the YTB announced a plan to merge with LTS Nutraceutical, another MLM firm. In May, the company began a major restructuring and stated that the President and CEO, Robert Van Patton, had submitted his resignation. In
354:
On
October 11, 2013, YTB completed the sale of its assets to Chicago-based businessman Sam Hathi of Jamraval, Inc. Since being acquired YTB has operated as YTB Global Travel. As of March 2, 2015 the company ceased enrolling new agents and representatives but still provides resources for existing
317:
stopped doing business with YTB. They described the company as a "card mill", an industry term for businesses that sell "travel agent identification cards" to customers, promising travel discounts or other perks and a commission on any sales of these kits to other consumers.
339:
In 2011 the company sold its headquarters building and adjoining property for $ 7.6 million. In
October 2011, a newly formed company, Sixth Scott LLC, began purchasing YTB Travel Network from YTB International. The company was relaunched as First Alliance Travel in 2012.
488:"REZconnect Technologies, Inc., into Which YourTravelBiz.com, Inc. Had Previously Been Merged, Has Reincorporated in Delaware, Changed the Name of the Company to YTB International, Inc. and Now Has YTBL as Its New Trading Symbol"
332:
mid-2009. This decline in revenue led the company to sell several commercial properties, including the company's
Learjet. That year YTB also sold RezConnect to company officers. Under the terms of the sale, YTB would
267:
business through owner-affiliated websites offering travels, excursions, and lodgings. The company was funded in 2001 by J. Lloyd Tomer, Scott Tomer, and Kim
Sorensen. The company is currently owned by Sam Hathi.
1263:
Logan, Tim (8 August 2008). "Travel company faces additional investigations
Illinois and the local Better Business Bureau are also looking into YTB, which California is suing as a 'gigantic pyramid scheme.'".
287:
and had used deceptive marketing. A subsequent decline in revenues led to the company's bankruptcy in 2013, after which it was purchased by
Jamraval, Inc. and reorganized under the name YTB Global Travel.
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In 2004, YTB's founders bought interest in a related company, REZconnect
Technologies, and increased their marketing budget. Members were then recruited through videos of successful salespeople.
411:
In defense of YTB, chief executive Scott Tomer said, "We are wholly confident that our business model will withstand scrutiny, and look forward to setting the record straight in court."
351:
in federal court in St. Louis. The company filed its last quarterly earnings report in the third quarter of 2011, although the company later announced that the report contained errors.
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Other YTB subsidiaries include YTB Travel
Network, Inc., Zamzuu, Inc., and REZconnect Technologies, Inc. (2004–2009). YTB is based in
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in July 2009 on the grounds that non-residents of
Illinois could not pursue the matter under Illinois law.
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September, YTB called off the merger and announced that founder and chairman Scott Tomer was resigning.
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295:. International subsidiaries operate in the U.S., Puerto Rico, the Bahamas, Bermuda, and Canada.
530:
Logan, Tim (August 31, 2008). "YTB sells dream of prosperity, but some say it is a nightmare".
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Between 2006 and 2009 the company was the subject of several lawsuits and investigations in
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754:"California settles with Internet travel business it accused of running pyramid scheme"
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J. Lloyd "Coach" Tomer, his son Scott Tomer, and Kim Sorensen launched YTB in 2001 in
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698:"YTB International Announces Financial Results for the Second Quarter of Fiscal 2008"
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506:"REZCONNECT TECHNOLOGIES, Inc. MERGES WITH YTB TO CREATE MEGA TRAVEL ORGANIZATION"
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In 2007, YTB was also investigated for similar allegations in Rhode Island.
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UPDATED: BBB received 90 complaints about YTB, Ill. AG received 70
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SEC Info - YTB International/Inc - 8-K - For 1/12/08 - EX-99.1
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1007:"YTB calls off LTS merger, Chairman Scott Tomer resigns"
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Around the same time, several former YTB agents filed a
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sued the company for $ 25 million, alleging it to be a
547:
Jainchill, Johanna; Godwin, Nadine (15 October 2007).
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1250:"YTB settles deceptive marketing charges by Illinois"
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654:"YTB International files for Chapter 11 bankruptcy"
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60:. Unsourced material may be challenged and removed.
1161:YTB settles with California, promises big changes
549:"Royal Caribbean throws 3 'card mills' overboard"
336:the new owners for any YTB-related liabilities.
1115:"YTB targeted in federal class action lawsuit"
956:"Company launches host agency with YTB assets"
904:"Travel veteran Jeff Scott is YTB's new owner"
878:"YTB to sell Wood River headquarters for $ 7M"
347:On March 1, 2013, YTB International filed for
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1735:European Grouping of Marketing Professionals
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1861:Companies based in Madison County, Illinois
459:"RI Agency Investigates YTB Business Model"
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1031:SEC filing w.r.t. to Chapter 11 protection
807:Logan, Tim (August 11, 2009). "Earnings".
623:"Long slide lands YTB in bankruptcy court"
138:
131:
1515:Juice Plus AKA National Safety Associates
1213:"Judge throws YTB complaint out of court"
120:Learn how and when to remove this message
1134:"Brown sues over alleged pyramid scheme"
1044:"Chicago investor acquires YTB business"
981:"YTB Travel executive Kim Sorensen dies"
696:PRNewswire-FirstCall (August 15, 2008).
616:
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826:"YTB growth stalls in Q3, sells assets"
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928:Jainchill, Johanna (27 October 2011).
902:Jainchill, Johanna (2 November 2011).
782:Tritto, Christopher (August 7, 2009).
27:American multi-level marketing company
1138:L.A. Biz (St. Louis Business Journal)
597:Biesiada, Jamie (February 10, 2016).
7:
853:"YTB sells RezConnect to executives"
574:"YTB defends its business practices"
452:
450:
401:, after her office and the Illinois
58:adding citations to reliable sources
1193:Former agents sue YTB International
1191:Kelsey Volkmann (August 11, 2008).
930:"YTB's travel operations purchased"
374:, among other claims. The Illinois
1132:Volkmann, Kelsey (5 August 2008).
876:Volkmann, Kelsey (25 March 2011).
25:
1229:Kelsey Volkman (August 8, 2008).
1090:"YTB: What's true and what isn't"
1005:Barr, Diana (5 September 2012).
784:"YTB loss widens, sales plummet"
321:In 2008 the company was sued by
34:
1871:Multi-level marketing companies
1211:Nadine Godwin (July 21, 2009).
1042:Brown, Lisa (11 October 2013).
851:Godwin, Nadine (July 9, 2009).
429:"YTB sales rep meeting is here"
283:that alleged the company was a
45:needs additional citations for
752:Lifsher, Marc (May 15, 2009).
1:
954:Rice, Kate (8 October 2012).
1420:Discount Home Shoppers' Club
1410:Crowd Sourcing International
1252:. StlToday.com. May 4, 2011.
813:. pp. Business, p. A10.
652:Barr, Diana (5 March 2013).
427:Logan, Tim (July 31, 2009).
1760:International Heritage Inc.
1158:Logan, Tim (May 15, 2009),
621:Logan, Tim (1 March 2013).
365:California Attorney General
323:California Attorney General
172:; 23 years ago
1887:
1820:United Sciences of America
1664:Nature's Sunshine Products
1440:Fuel Freedom International
1236:St. Louis Business Journal
1198:St. Louis Business Journal
1011:St. Louis Business Journal
882:St. Louis Business Journal
788:St. Louis Business Journal
683:St. Louis Business Journal
658:St. Louis Business Journal
1750:Fortune Hi-Tech Marketing
1329:
985:Travel Weekly publication
824:Logan, Tim (2008-11-17),
727:"SEC Info: Annual Report"
396:Illinois Attorney General
380:Illinois Attorney General
137:
1654:LifeVantage Corporation
1470:The Longaberger Company
1430:Forever Living Products
1266:St. Louis Post-Dispatch
1166:St. Louis Post-Dispatch
1046:. St Louis Biz Journals
834:St. Louis Post-Dispatch
810:St. Louis Post-Dispatch
679:"YTB cuts 17 positions"
627:St. Louis Post-Dispatch
533:St. Louis Post-Dispatch
434:St. Louis Post-Dispatch
197:J. Lloyd “Coach” Tomer,
1866:Online travel agencies
1580:Southwestern Advantage
1066:"Ghosts of card mills"
599:"Ghosts of card mills"
403:Better Business Bureau
376:Better Business Bureau
1770:Koscot Interplanetary
1720:Black Oxygen Organics
1684:Usana Health Sciences
1620:World Financial Group
1385:Arbonne International
1322:Multi-level marketing
1119:Madison County Record
516:on December 15, 2004.
349:Chapter 11 protection
265:multi-level marketing
1745:Excel Communications
1740:European Home Retail
1525:North American Power
1520:Neal's Yard Remedies
1094:www.travelweekly.com
1070:www.travelweekly.com
578:www.travelweekly.com
391:class-action lawsuit
293:Wood River, Illinois
211:Wood River, Illinois
54:improve this article
1669:Nu Skin Enterprises
219:Number of employees
134:
69:"YTB International"
1710:Aman Futures Group
1605:Usborne Publishing
1590:Success University
685:. August 29, 2008.
494:. January 5, 2005.
1848:
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1815:The Trump Network
1795:Royal Tongan Limu
1625:YTB International
759:Los Angeles Times
253:YTB Global Travel
249:YTB International
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133:YTB International
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18:YourTravelBiz.com
16:(Redirected from
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1610:Vector Marketing
1505:Modi Enterprises
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1284:Official website
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363:In August 2008
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315:Royal Caribbean
305:Alton, Illinois
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257:Your Travel Biz
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1555:Rodan + Fields
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1495:Market America
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1445:Grupo Omnilife
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1276:External links
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465:on 2008-05-14.
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372:pyramid scheme
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43:This article
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1689:Young Living
1624:
1595:Telecom Plus
1370:Ambit Energy
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206:Headquarters
201:Kim Sorensen
147:Company type
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52:Please help
47:verification
44:
1830:Vie at Home
1600:Tiens Group
1465:LegalShield
1400:Blyth, Inc.
1050:11 February
368:Jerry Brown
326:Jerry Brown
251:, known as
1855:Categories
1775:Metabolife
1725:BurnLounge
1176:2009-05-15
1099:2023-03-16
1075:2023-06-06
991:2012-02-02
862:2009-07-18
793:2009-08-12
765:2009-05-15
712:2009-07-18
583:2023-03-01
440:2009-08-12
415:References
273:California
80:newspapers
1835:WakeUpNow
1810:Telexfree
1674:Protandim
1570:SeneGence
1545:Primerica
1490:Mannatech
1450:Herbalife
1324:companies
965:10 August
939:10 August
913:10 August
830:Blog Zone
558:10 August
355:members.
334:indemnify
110:June 2023
1765:Kleeneze
1694:Younique
1679:Sunrider
1565:Scentura
1535:Oriflame
1500:Medifast
1475:Longrich
1460:Mary Kay
1455:Isagenix
1435:FreeLife
1360:ACN Inc.
359:Lawsuits
313:In 2007
277:Illinois
157:Industry
1800:Solavei
1780:MonaVie
1730:Equinox
1703:Defunct
1649:doTerra
1615:ViSalus
1575:Shaklee
1560:Scentsy
1485:Lyoness
1480:LuLaRoe
1425:Eqology
1365:Alticor
702:Reuters
299:History
263:, is a
231:Website
194:Founder
175: (
167:Founded
151:Private
94:scholar
1375:Amsoil
1348:Active
1143:28 May
1016:29 May
887:29 May
732:1 June
663:29 May
632:28 May
279:, and
225:(2010)
161:Travel
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1840:XanGo
1825:Vemma
1785:NXIVM
1510:Monat
1415:Cutco
1380:Amway
1355:5Linx
510:PRWeb
101:JSTOR
87:books
1644:ASEA
1636:Utah
1550:Qnet
1334:List
1145:2014
1052:2014
1018:2014
967:2014
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634:2014
560:2014
378:and
240:.com
238:.ytb
223:120
187:U.S.
177:2001
170:2001
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1634:In
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236:www
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