I have suggested the online route while working at a regional, but money is an issue. I just finished an online class (working towards getting my CPA certification) and it was very easy to accomplish on off days, only took the lap top with me once on an overnight all semester. So it is very doable.
I'm trying to steer him towards 135 or charter work, better money to start, and time to get his degree.
I worked a job fair booth earlier this year and was surprised at the number of young people (well younger than me, I'm 30) that are CFI's or at regional's without a 4 year degree (by number I mean I talked to 5 or 6 in one day and to me that seems like a lot, especially given the hiring environment that last 4 years)