DirectBuy was founded in 1971 by James L. Gagan in Merrillville, Indiana. The club allows consumers to buy direct from the manufacturers at wholesale prices. Joining the club requires a substantial membership fee for a 2-3 year commitment.
In 1996, the first franchise opened in Canada.
In 2004, the company incorporated as DirectBuy, a subsidiary of United Consumers Club.
In 2007, the company was acquired by Trivest and Allied Capital Corporation.
In 2011, the company was sued by the West Virginia Attorney General for deceptive business practices and high pressure sales. The company had been telling people if you did not join on your first visit, you would be banned for life. A threat that was not true.
Today, Direct Buy has over 100 locations in the US and Canada.