oonii

Success depends on who you ask. This is failure for investors, but it might have netted the founders more money than they would have gotten if they exited another way.

Why not just say "we failed, sorry guys, we are going to get job elsewhere". They would have my immense respect had they done that.

Because that is poisonous language in a large segment of the business and investment ecosystem, and the internet is written in stone.

Saying it might earn your respect, but your respect is worthless because you're not writing the checks.