Sounds weird.
Some thing to inquire about:
(a) How long they've been around
(b) *Written* refund policy
(c) Quality of flight instruction
(d) Take a peek at the bathrooms, because dirty bathrooms could mean "dirty laundry". Except, of course, if they're shared with other schools/businesses
(e) Cleanliness of the facilities
(f) Morale of the other students/instructors. Even better, offer to buy one of their instructors lunch and I'm sure he'll tell you all you need to know (good and bad) about the flight school.
(g) Maybe even call the local FSDO in the area and see what they think, if anything, about the school
(h) Call the Better Business Bureau
Bonus:
(i) If they don't have on-site examiners, call a few up and ask them about the quality and preparation of their applicants.
After the "events" over the past few weeks with ATA, I think it's worth doing as much research as possible when it comes to choosing a flight school.