Last April the Malaysian Ministry of Tourism and Culture declared WorldVentures was operating illegally in the country.

This was based on the fact that, at the time, ‘
the Ministry of Tourism and Culture (had not) issue(d) a license to WorldVentures
‘.

WorldVentures still doesn’t have a license, but has instead convinced the Domestic Trade Cooperation and Consumerism Minister they don’t need one.

Why?

WorldVentures’ business model itself has nothing to do with travel.

Speaking to the Malaysian press after he officiated the opening of WorldVentures first Malaysian office on July 12th, Minister Datuk Seri Hamzah Zainudin stated;

The problem is, is it not so much the business itself.

We in this Ministry, we are actually monitoring all those people who are licensed to do this kind of business.

World Ventures’ business model sees it sell memberships, which offer access to travel discounts.

World Ventures affiliates do earn a small commission if third-party travel is booked through an affiliate’s replicated portal, however the majority of commissions are
paid out on the recruitment of new World Ventures affiliates
.

In Malaysia, WorldVentures have partnered with local company SkyZone Travel Sdn Bhd, who do hold a tourism license.

Reiterating this core business model focus, WorldVentures Global Sales president John McKillip
told
Malaysian media

the company did not sell travel-based products, but sold memberships which had access to travel packages.

“Our product is not travel packages. Our product is merely the (WorldVentures) membership.”

To what extent the Ministry of Tourism and Culture investigated World Ventures’ business model, flow of revenue and core business practices is unclear.

In a 2013-2014 regulatory investigation, the Norwegian Gaming Board
found WorldVentures to be a pyramid scheme
.

The finding was primarily based on the finding that ‘
revenues almost exclusively come from recruiting members and not the sale of travel residence.
‘

Despite the likelihood of similar method of revenue generation in Malaysia, Zainudin and the Ministry of Tourism and Culture don’t seem to be concerned.

In response to the Norway finding, WorldVentures was
banned from operating
in the country. The company
filed an appeal
but was denied.

Zainudin meanwhile contends that, despite having a business model centered on affiliate recruitment, he ‘
see(s) great potential in WorldVentures and also for Malaysians
‘.

🤖 Quick Answer

What legal status does WorldVentures hold in Malaysia regarding tourism licensing?
WorldVentures operates in Malaysia without a tourism license from the Ministry of Tourism and Culture, which declared the company illegal in April. However, the company obtained approval from the Domestic Trade Cooperation and Consumerism Ministry, which determined that licensing requirements did not apply to its business model.

Why did Malaysian authorities determine WorldVentures did not require a tourism license?
Malaysian officials concluded that WorldVentures' business model does not primarily involve travel services. Instead, the company's primary activities fall under different regulatory oversight, making traditional tourism licensing unnecessary despite the company's travel-related branding and operations.

What criticism has been raised regarding WorldVentures' Malaysian operations?
Critics argue that WorldVentures operates as a pyramid scheme, generating revenue primarily through recruitment rather than legitimate travel services. The company's ability to sidestep tourism licensing requirements while

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