Very good point dumpty! It is worth investigating that one. I will share my findings here.
Whirlybird, my position towards risk is that of controled risk. That is why I am considering this un-popular upfront payment. If the only risk involved is the schools going down, I will probably go ahead and try to book as much flying as possible to reduce the risk. However, since I am thinking of doing the professional training with the same school it would be very bad if they went down within the next 1-2 years!
I will also approach the school with these worries and see what do they have to say to me.
Thanks for all the replies!
------------------
TheNavigator