Georgetown Country Club: Bankruptcy Filing Indicates Problems with Economy as a Whole

Georgetown Country Club filed for bankruptcy. According to the Boston Golf Examiner at Examiner.com, Georgetown Country Club is closed, leaving those who have made plans to use the facilities shocked.

Furthermore, the Boston Golf Examiner's report indicated just how significant the Georgetown Country Club's financial situation is. According to his report, Georgetown Country Club owes "some $6 million in debt to Sovereign Bank and $2 million in arrears to a second party, Wojtkun hopes to reorganize his three holding companies -- Georgetown Golf Club Inc., New England Golf Club Inc., and Georgetown Links LLC -- according to North Shore Golf."

Georgetown Country Club started allowing public play at their golf courses in order to boost revenues. This idea didn't work out as well as planned, leaving the owner of Georgetown Country Club no choice but to file for bankruptcy.

Georgetown Country Club is closed, pending bankruptcy proceedings. Those who try to call Georgetown Country Club will be greeted with an automated voice.

Is Georgetown Country Club's bankruptcy filing the result of bad management, or is it indicative of our economy's weak state in general.

A featured article on Yahoo!'s front page indicates that 10 big well-known companies are in danger of bankruptcy. Among these companies are Macy's department stores, Hertz car rental facilities, Sprint Nextel, and even CBS.

This information in conjunction with the news about Georgetown Country Club points to the fact that while bad management and money decisions may have played a role, our economy is sour.

Think about it. When people loose their jobs or are scared of losing their jobs - do you honestly think they will be frolicking around on the golf course like nothing is happening?

Of course, there are the super-wealthy individuals that don't have to ever worry about money. These individuals can't sustain an entire country club on their own. If they could, Georgetown Country Club would not be facing its current dilemma.

In the past, Georgetown Country Club would have most likely been able to increase their revenue through allowing the public to play on its course. With shrinking incomes, the first thing to go is leisure spending.

It's time to be very careful with what you spend. Although officials may state on TV that we are coming out of the recession, looming bankruptcies suggest otherwise. If you feel better saving your money - by all means, do so. We typically get in to trouble when we don't follow our gut.

Sources:

Examiner.com

Yahoo Finance