iBuumerang Scam: Pyramid Scheme or MLM? [Review]

If you love traveling and want to save up to 70% on air travel, accommodations, and other travel-related services, then iBuumerang might have caught your attention. You may have heard about it from a friend or family member who is an independent distributor for the company. But, is it worth your time and effort to join as well?

As an online entrepreneur, I have reviewed many similar online opportunities over the years. So I can tell you what you need to know.

As an independent reviewer, I’m not affiliated with iBuumerang and not paid to write this review. So, you can trust me to give you an unbiased opinion.

If you’re still keen on exploring other options, I can recommend an alternative program that has worked for me in making a full-time passive income online.

Let’s dive in.

What Is IBuumerang?

iBuumerang is a Houston-based multi-level marketing (MLM) company that offers a travel booking platform to help members save money on their trips and even generate income. And the best part? It’s free to join!

Founded in March 2019 by CEO Holton Buggs, President David Manning of XStream Travel, and VP of business development Terrance Gray, iBuumerang is similar to other travel companies facing challenges, but on a smaller scale.

But let’s focus on the good stuff – the benefits of becoming an iBuumerang member. By signing up for a “boomerang” invitation and inviting your friends to the website, you can save up to 70% on your next trip. And if your friends make a reservation through your website, you’ll receive compensation.

Of course, there’s always a catch. The reason why iBuumerang can offer such fantastic discounts is due to their partnership with Xstream, a travel provider with experience in the MLM business structure. CEO David Manning has extensive knowledge with other travel MLMs like Paycation, Traverus Global, and The Vacation Network, which he leverages in his current role at Xstream.

But don’t let that deter you – iBuumerang has worked with major companies like Royal Caribbean, Carnival, Delta Airlines, and Funjet to provide group travel services ranging from hotel blocks to cruises. And it seems like others are excited about this opportunity too. On their first day, iBuumerang had thousands of sign-ups, and the company made over $20 million in sales in just under six months!

Recommendation: Here’s The Best Alternative

Who Is Holton Buggs?

Holton Buggs is the president and CEO of iBuumerang, a multi-level marketing company. Buggs has been around the MLM block for a while and is known for his work with Organo Gold coffee MLM. While we can’t provide much info on iBuumerang, we do have a list of some of their corporate staff members. Holton Buggs

Buggs’ life story is quite inspiring. He grew up in a poor family and started selling candy at the age of 14 to make some money. He eventually discovered the power of leverage and started his MLM career when he was quite young. Despite facing setbacks and difficulties, he persisted and became the highest-paid MLM professional ever with Organo Gold.

However, Buggs’ MLM ties are not the only red flag. He was accused of stealing distributors and trade secrets from another MLM company and was let go from Organo Gold. Buggs also briefly worked with a fraudulent MLM scheme involving cryptocurrency.

Despite all this, Buggs continues to work hard and launched iBuumerang in 2019. While it’s worth taking a closer look at the company before putting all your faith in it, Buggs’ resilience and persistence are admirable.

Recommendation: Here’s The Best Alternative

Is iBuumerang An MLM?

Yes, iBuumerang is an MLM, which means it’s a type of direct sales or network marketing business.

When you become an iBuumerang member, you won’t receive a regular salary. Instead, you’ll work as an independent distributor of their products and run your own business. However, it’s important to note that making a good income by selling iBuumerang products alone is unlikely.

Like most MLM programs, your success in iBuumerang depends on recruiting new members to work under you. You’ll earn commissions based on the sales and new recruits generated by the people you hire once they start producing results. This system is complex, which is why it’s called multi-level marketing.

Here’s a simple way to think about it: imagine a triangle. As everyone in the triangle is in your direct downline, you’ll earn commissions from everyone in the triangle if the person at the top recruits ten people, and each of these ten recruits ten more. If you can bring in just 10 people, you’ll make $1100.

In most cases, people in MLMs prefer to earn a lifetime passive income from recruiting others rather than a one-time commission from selling products, even if the MLM offers a wide range of products. However, keep in mind that those at the top of the triangle tend to have the most financial success, while those at the base have the least.

In summary, having a large number of people in your downline is essential for success in iBuumerang and other multi-level marketing companies.

You may also want to read our article on the top MLM companies.

Recommendation: Here’s The Best Alternative

Is iBuumerang A Pyramid Scheme?

No, iBuumerang is not a pyramid scheme. It is a legitimate multi-level marketing (MLM) company that allows members to earn money by selling their products. Unlike a pyramid scheme, iBuumerang members don’t have to rely solely on recruitment to make money.

Pyramid schemes, on the other hand, promise money or services in exchange for recruiting others. They are often scams and unsustainable because those at the bottom end up losing money. To join a pyramid scheme, you must pay a membership fee to the company, which rewards you with a portion of the funds raised from each additional member you recruit. In contrast, iBuumerang distributors are not paid to recruit new members, and there are no direct financial incentives for doing so.

The directors of a pyramid scheme are the only ones who profit since they receive a portion of the payments from every newly recruited member. Pyramid schemes typically don’t sell valuable goods or services and rely solely on recruiting new members to funnel money to the top. Because of this, they are unsustainable and almost never last.

Vemma is an example of a pyramid scheme. In August 2015, the FTC accused Vemma of operating a pyramid scheme that paid more to recruit new members than to sell products. New members were required to pay $600 for starter packages and hundreds more for monthly products. According to the FTC, the majority of participants lost money.

In summary, iBuumerang is not a pyramid scheme. As a member, you can earn money by selling their products without relying solely on recruitment. Pyramid schemes are scams that rely on recruiting new members and are unsustainable in the long run.

You may read our article on the difference between MLM and pyramid schemes here.

Is IBuumerang A Scam?

No, iBuumerang is not a scam. It’s a legit MLM company. According to the Oxford Living Dictionary, a scam is defined as “a dishonest scheme; a fraud,” and that’s not what iBuumerang is.

But let’s be real, making money through iBuumerang can be challenging. In fact, most reps don’t earn any money, and those who do usually have to put in a lot of effort. One way that some people make a lot of money with iBuumerang is by recruiting aggressively, which isn’t everyone’s cup of tea.

However, some folks feel that iBuumerang’s marketing claims are disingenuous and irresponsible, and that’s why they consider it a scam. It’s important to do your research and decide for yourself if this is a company you want to get involved with.

Recommendation: Here’s The Best Alternative

How Can You Save and Make Money With iBuumerang?

If you’re looking for a way to save money on travel, you might want to check out iBuumerang. This travel MLM has been around for a while, but if you’re not familiar with it, here’s how it works.

iBuumerang is partnered with a travel agency called Xstream Travel, which operates iGo, a booking engine for flights, hotels, vacation packages, and more. The goal of iBuumerang is to refer friends and family to iGo so they can take advantage of special offers on travel.

The best part about iGo is that it offers discounts that can save you hundreds of dollars compared to popular booking sites like Kayak and Expedia. And if you’re not satisfied with your savings, iGo promises to refund your money (excluding air travel).

The catch is that you can only access these discounts if you receive a “boomerang” from a Travel Savings Ambassador (TSA), who is an independent distributor for iBuumerang. If you use someone’s boomerang to book a trip on iGo, they’ll earn a commission.

To become a TSA and start earning commissions, you’ll need to join iBuumerang and subscribe to a plan that allows you to send a certain number of boomerangs per month. Depending on your plan, you may be able to purchase additional boomerangs or recruit new members to earn more.

While iBuumerang is an MLM, they offer a helpful tool called the iDecide Presentation, which simplifies the recruitment process. You can send this video to potential recruits via SMS or email, making it much less daunting than traditional MLM tactics like going door-to-door or hosting parties.

Overall, iBuumerang can be a great way to save money on travel and earn some extra cash. However, as with any MLM, there may be skeptics who aren’t convinced. But for now, iBuumerang’s popularity is soaring, so it’s worth considering if you’re in the market for affordable travel options.

Recommendation: Here’s The Best Alternative

Joining IBuumerang: Costs and Membership Options

Looking to join IBuumerang but wondering how much it will cost you? Well, the good news is that a single payment of $250-$1,000 is all it takes to get started. And if you prefer to spread out your payments, there are payment plans available too. These plans offer monthly rates ranging from $49.95 to $99.95.

In my opinion, these prices seem pretty fair. But the real question is, will joining IBuumerang be worth it for you?

Once you sign up, you’ll receive a “standby” set each month, which includes the iDecide Tool and five boomerangs. After the initial period, you’ll have the option to choose from one of three membership tiers. These tiers are all named after travel concepts, which is fitting since IBuumerang is all about helping people save money on travel.

Here are the three membership tiers:

  • Coach Class: One-time fee of $250 or $49.95 per month for 5 boomerangs
  • Business Class: One-time fee of $500 or $99.95 per month for 25 boomerangs
  • First Class: One-time fee of $1,000 or $99.95 per month for 50 boomerangs

By becoming an ambassador member, you’ll have the opportunity to earn more money through bigger travel discount bonuses. So, if you’re someone who loves to travel and is interested in making some extra cash, joining IBuumerang might be a great fit for you.

Overall, the cost of joining IBuumerang seems reasonable, and the potential benefits of becoming a member are definitely worth considering.

IBuumerang Membership Fee

Recommendation: Here’s The Best Alternative

iBuumerang Compensation Plan

iBuumerang offers several ways to earn money through their compensation plan. Here are the six ways you can make some extra cash:

  1. Referred Travel Bonus – You get a 25% commission when you introduce someone directly to Xstream Travel.
  2. Travel Savings Bonus (TSB) – You receive a 50-100% cash incentive when someone books a trip on your iGo travel portal through your boomerang.
  3. Fast Start Bonus – If you bring in a new member, you’ll both benefit monetarily. Fares range from $20 for economy class to $80 for first class.
  4. Dual Team Bonus – Based on the size of your downline, you receive recurring commissions of 10-20%.
  5. Unveiled Commissions – You receive a commission based on the number of recruits you enrolled up to seven levels below you. Depending on your status and the number of monthly subscriptions and travel discounts your boomerang customers provide, you could earn anywhere from 5% to 10%.
  6. Leadership Development Bonus – You get this bonus when you assist one of your recruits in reaching sapphire or higher. Up to four generations of sapphire in your company can earn you 2-5%.

To make the most out of this compensation plan, you need to recruit as many people as possible to join your team. However, keep in mind that becoming successful as a new business owner is a challenging feat, and you may not always have a steady stream of people to persuade.

iBuumerang uses a complex binary system to compensate for this challenge. Your team will be divided into two groups – one on the left, the other on the right. Your commission will be a percentage of your team’s total travel bookings and distribution fees, which will be determined by your group’s overall performance.

The higher you are in iBuumerang, the higher your weekly residual commission will be. But don’t be fooled by the impressive numbers – it’s important to note that iBuumerang is just like any other multi-level marketing company that relies heavily on its sales force rather than its customers.

iBuumerang: Available in 180 Countries Worldwide!

Wondering how many countries iBuumerang is available in? Good news – you can purchase iBuumerang and partner up with them as a brand ambassador or distributor in a whopping 180 countries across the globe! That means you have access to a virtually endless customer base.

Recommendation: Here’s The Best Alternative

The Pros and Cons

Are you thinking of joining IBuumerang, but not sure if it’s the right fit for you? Here are some pros and cons to consider:


  • IBuumerang offers some of the most popular travel perks, including discounts on hotels, flights, and more. This can save you money on your next vacation.
  • As a well-known brand, IBuumerang has built a reputation for providing quality travel services.
  • Who doesn’t love to travel? IBuumerang provides an opportunity for people to turn their passion for travel into a business.


  • The founder’s background is not clear and may be a concern for some people.
  • Although travel is enjoyable, it may not be for everyone. Some people may prefer other types of businesses.
  • IBuumerang uses a multi-level marketing (MLM) business model, which some people may not feel comfortable with.

Remember to do your own research and weigh the pros and cons carefully before making any decisions. Ultimately, it’s important to choose a business that aligns with your values and goals.

Recommendation: Here’s The Best Alternative

Why I Don’t Recommend iBuumerang MLM Program

If you’re considering joining iBuumerang, an MLM company, you should know that there are several drawbacks to this business model that you need to consider.

Difficulty in Making Money with iBuumerang

According to statistics, the majority of MLM members, ranging from 72.5 to 99.9 percent, lose money. This is because members need to meet sales quotas to remain active and earn commissions. If they don’t meet the quota, they won’t be paid, resulting in many members losing money before even recruiting anyone into the company.

Losses are Not Investments

iBuumerang MLM uplines often reframe their financial losses as investments to keep their reps in the MLM scheme, but the truth is that you are unlikely to get your money back. Referring to it as an investment is dishonest.

iBuumerang MLM is a Cult

MLMs have a cult-like company culture, and iBuumerang is no exception. MLM representatives are discouraged from critical thinking, and those who ask questions that deviate from the company’s narrative are chastised and even isolated. Representatives are also expected to prioritize their events and business over their personal lives, which can lead to them becoming isolated from family and friends.

Bad Reputation

Unfortunately, MLM companies like iBuumerang often have a bad reputation. While some people have found success with MLMs, many others have been left with unsold products and a lot of regret. One issue with iBuumerang specifically is that the distribution of commissions is heavily skewed towards the top, meaning that those at the bottom are unlikely to make any significant income.

Exaggerated Income Claims

Like many MLMs, iBuumerang makes exaggerated income claims. However, in reality, very few people make a good living from promoting the company. Additionally, the low retention rate of iBuumerang distributors can be discouraging, as less than half of them are active.

Recruiting is Required

If you want to succeed with iBuumerang, you’ll need to be prepared to recruit others. In fact, eight out of ten ways to earn money with iBuumerang require recruiting. This can be a turnoff for many people who prefer to make money by promoting and selling products they genuinely like, rather than relying on recruitment.

Recommendation: Here’s The Best Alternative

Final Verdict

To be honest, I don’t think it’s worth joining iBuumerang if you’re looking to make money.

The whole prospecting and recruiting thing can be pretty tough in the beginning, and let’s be real – it’s not exactly fun to ask your friends and family to join your iBuumerang business opportunity.

Plus, your upline will keep encouraging you to buy more Business Support Material even if you’re struggling to get people to sign up.

The stats speak for themselves too. According to a case study on the FTC’s website, 99% of people who join MLM programs break even or lose money. Yikes!

On top of that, the pressure to succeed in these types of businesses can be overwhelming, and that’s a big reason why people end up leaving.

Instead, why not start your own online business? You get to choose what you want to promote and have a flexible schedule.

In fact, let me share how you can build a legit online business and make passive income in the next section. I’ve been doing this for a year now, and it’s allowed me to make a full-time income without all the hassle of MLM models. Best of all, it’s sustainable and 100% legit.

Recommendation: Here’s The Best Alternative

Is There a Better Way to Make Money Online?

If you’re just starting out with your online business, you want to make sure you’re using the right platform. That’s why I want to recommend Wealthy Affiliate to you – it’s the best option out there.

Wealthy Affiliate is an all-in-one platform that helps you build your affiliate marketing business from scratch. When you sign up, you get access to first-class web hosting, keyword research tools, community support, comprehensive training, writing tools, and other software to guide you step-by-step.

The best part is, you can sign up for a free account and start affiliate marketing right away without spending a dime. And if you love the platform, you can upgrade to premium membership to access everything on the platform. No upsells or hidden fees.

You may read our article about the difference between MLM and affiliate marketing.

You’re probably wondering how much you can earn with Wealthy Affiliate. Well, let me tell you about a 21-year-old student who made $7,395 in just one week by using the platform. That’s over $1,000 a day – all by following the training provided by Wealthy Affiliate.

You can read our full review of Wealthy Affiliate here.

Wealthy Affiliate Testimonial

Wealthy Affiliate has been around for 15 years and has over a million members, so you know it’s a popular and trusted platform. There are plenty of inspiring success stories from Wealthy Affiliate members, so you can be sure you’re in good hands.

If you’re interested in trying Wealthy Affiliate, you’ll be pleased to know that the pricing scheme is simple. There’s a free starter membership, which gives you access to the community, live chat, over 500 training modules, 2 classrooms, networking, commenting, 1 free website, and access to the keyword tool. And if you want to upgrade to premium membership, it’s only $49/month or $395/year – a great value for all the features you get.

So why not sign up for a free account today? You can explore all the features without any obligation, and see for yourself why Wealthy Affiliate is the best platform for your online business.

Recommendation: Here’s The Best Alternative

Leave a Comment