Or this: * Startup doesn't outright fail, but gets acquihired... * Founders gets executive positions with bonus on top of bonus. Their resume has taken a hug

Or this: * Startup doesn't outright fail, but gets acquihired... * Founders gets executive positions with bonus on top of bonus. Their resume has taken a huge leap forward, and if they stay at the acquiring company for just one year, they'll amass enough cash to take another couple of years off to try another startup. * Employees get regular salary, and some small bonus to make it "worth it". They may as well have never done the startup, because it's an overall net-negative. Oh, and the employees still have to individually interview at the company, and several won't make the cut.