The story posted on their website is long and ends with "Chapter 11 will allow us to reorganize, get our funding problems worked out, and continue to provide courses to all students."
Sounds like someone offered them financing to finish the FS property with all the amenities being promised forever, and then filed a foreclosure after providing a fraction of the funding. Everyone involved was aware FS could not pay back the loans unless the funding was provided -- necessary to increase memberships, hold more classes and draw more people in to use the new facilities.
No funding = no revenue = no way to pay the small 6M+ loan initially dispersed. With the foreclosure notice filed, they couldn't seek alternative funding sources to continue site development or repay the "predatory" lender and get him off their back.
Seems like a bad business decision on FS's part. They should have had protections in place to prevent the situation that happened -- assuming the situation was as they detailed.
Anyway, Chapter 11 is not a guarantee they are going out of business. Only that they have time and options to get back on track.
I liked the class I took there. I know there are other training companies on the mainland, but each one that folds is one less available for gun owners to get trained.
https://www.frontsight.com/reorganization/