How Fun Resorts Reaches Out To Former LUSSO Collection Members

By: Destination Club News
Date: March 1, 2009

In early December, LUSSO Collection announced that they would file a petition for reorganization under Chapter 11. Led by Bruce Howard, a former LUSSO Collection member, How Fun Resorts was created to fill the void left by the club. Today, Howard and How Fun reached out to the LUSSO Collection member base to gauge their interest in the new club and to further outline the details of their offering.

"How Fun Resorts was founded to provide members great travel experiences at low costs per night," the letter says. "The club intends to provide members with a high quality travel experience with a low risk entry program."

The highlights of the 26 page document include:

  • Charter Memberships will be made available to "friends and family" of former LUSSO members as well as former members themselves.
  • The club is asking for a good faith escrow deposit from interested parties of $10,000 by March 15, 2009.
  • Full annual dues payments of $30,000 will be due by April 15, 2009.
  • Members will have unlimited annual usage, subject to the same reservation policies used at LUSSO.
  • How Fun Resorts will "provide all Members with complete transparency regarding the operations and financial dealings of the club."
  • The club will be governed by a five person Board of Directors made up of Charter Members. Howard along with Mark Ness will serve indefinitely while three others will be elected by April 30, 2009. These three positions will be elected every other year.
  • Based on a survey of potential members, the top five destinations are Los Cabos, New York, Naples, Deer Valley, and Kiawah Island.
  • Properties may or may not be former LUSSO Collection properties

How Fun Resorts has also laid out a timeline for the next 60 days, outlining an aggressive launch plan.

  • March 1-5: How Fun Resorts will distribute "draft versions" of club documents to interested parties
  • March 5-15: The club will answer due diligence questions based on the "draft version" of the club documents and receive escrow payments of $10,000 from Charter Members
  • March 15 - April 15: Identify destinations, negotiate leases, Board of Directors created, and bring on concierge staff for properties
  • April 15: Deadline for full funding of annual dues by Charter Members
  • April 15-30: Execute property leases and introduce properties to members

Interested parties who do put down a good faith escrow deposit will be able to get a 100% refund if they elect to not move forward with the club prior to April 15.

Creating and implementing a destination club in 60 days, starting with no members, is a bold task. If you would like to learn more about How Fun Resorts, please access our How Fun Resorts Overview or to view the letter sent to LUSSO Collection members in its entirety, visit our How Fun Resorts Documents.