I'm not predicting the death of Folk Music; by the time 2100 comes around, The Spice Girls will have probably made the Folk genre (.... God forbid...), but "The folk clubs are precisely where people who care about the real tradition are to be found".
'Folky events' may well have evolved into more participatory singaround/music session type gatherings, but that is the kind of decline I'm concerned with...., and indeed, concerned with rectifying.

Festivals are all very well and good, but Clubs keep the grass-roots engaged.

I have talked about 'providing a service' before.
I order to provide a service to the public (in this instance, a Folk Club), it is always advisable to have a little capital in reserve for the nights when the door money isn't great. Having a little in reserve can enable the organiser/committee to be a bit more adventurous when booking acts; keeping the local afficianados on board, and (perhaps, most importantly), keeping them feeling as if they're part of something living, something dynamic.

This would mean involving the Club with the activities of the local community; making the Club 'visible', and putting on whatever kind of fundraisers you would deem appropriate, to help in the maintainance of the Club.

It's a fair enough comment to say that "...the club belongs to the members", but nepotism can be a very unhealthy by-product, if that term gets over-defined, and that does sound the death-knell of any operation, never mind Folk Clubs.
If the calendar looks healthy the members will be satisfied, anyway, and if the organiser has his/her head screwed on, they'll try and compliment the vicissitudes of their local community; putting something special on, perhaps, on the weekend in the month when most people get paid, for instance, local holidays, etc.

If you as a Folk Club would like to do more, but feel constrained due to the finances, explore the possibilities in your area. Village halls are great venues, because as they're 'theme-free', you can create whatever ambience your heart desires.
To be able to afford 'the bigger names' (sometimes at short notice, as extra dates can come up), a little bit of reserve money to make up any shortfall might make your decision to book the artist a little more firm, thereby grabbing a wee exclusive for your Club...., and your community

"The future of folkclubs is down to hardwork and teamwork"

It certainly is

B.