Businesses like that have been around for a long time. Their customers are people who don't want to take the time to find out how to do it themselves for less money. Some companies who offer this service have been known to take the money and not do anything, or fail at the task and not give a refund.
Here's a good post on how to do the same thing yourself, for a lot less money:
http://www.2strokeworld.com/forum/index.php?topic=10002.msg75903#msg75903Many (most? all?) states have a way to title an untitled vehicle without making you go the Vermont route. I titled an untitled motorcycle in NC by going through the procedure to get a bonded title. The title bond comes from a bond company, and cost me $100. I had the bike registered and on the road in a couple days.