This is a sober reminder for those raising money. Even if you go with the "friendly" VCs, they will be happy to screw you over the moment you show weakness. (no

This is a sober reminder for those raising money. Even if you go with the "friendly" VCs, they will be happy to screw you over the moment you show weakness. (not that Benefits doesn't deserve it) No doubt during Zenefits' Series A/B/C they had the upper hand in negotiations, and now the tables have turned. Would a16z really sue one of their portfolio companies? I guess Sacks doesn't want to find out, and is eager not to piss these guys off, since he will no doubt need more money sooner rather than later. Of course, the saddest line is this: "Common stock owned by Zenefits employees will be diluted by 20% in the deal" As is all too common, common shareholders pay for the sins of a few.