When VC's turn evil
It was very interesting that sometimes VC's can gang up together and force an entrepreneur to accept funding at their terms or valuations. Even the comments section of Bill's post has one about someone who had to seek funding from out-of-area, to get a better deal.
Problem is, that in case initial investors dont invest in the startup, it is a warning flag for other VC's. This way, a group of VC firms can armtwist a small company into giving it all up.
I'm curious as to how the Datapower guys handled it - did they tell Mobius Capital that they were trying to look for a better deal? What was it that they gave as explanation for not accepting the original investors term sheet?