Mayor Gordon Lewis formally presented the cheque to Bundanoon Club chairman Ralph Clark in front of a packed auditorium on Saturday afternoon.

The former Bundanoon Bowling Club was forced to appoint a voluntary administrator in 2000 and entered into a deed of company arrangement in 2001.

Further losses led to a liquidation meeting in April 2003, at which members personally guaranteed the administrator against further losses, allowing a review of the club's operation.

Mr Clark said the club, now renamed The Bundanoon Club, was now trading viably and in two years had more than doubled its membership to 400.

The club has also been substantially renovated and has become a focus for town activities, as one of the only major venues for social events in the town.

"This very generous loan from council will allow all of the old remaining debts to be settled," said Mr Clark, thanking Mr Lewis on Saturday evening.

"The club has traded at increasingly profitable levels for the past two and a half years and was now confident of its future. It is the only licensed club between Moss Vale and Goulburn, serving a rapidly growing area in Bundanoon and the surrounding villages."

Mr Lewis said the re-naming of the Bundanoon Club reflected its new whole-of community focus.