[whack]

"Weller ... and his brother were forced out of the company after investors disagreed with the LeSports deal he brought to the table, opting instead for an inside round. Another source familiar with the matter confirms his story that he brought in the LeSports deal but said Skully was rapidly running out of cash and it was down to the eleventh hour determining if the numbers added up.

Adding to that, we’ve been told the board thought Weller has been so difficult to deal with since leaving, they now don’t see the point in salvaging the company he started.

We’re told by a source inside the company that as of Monday, investors ... determined it was better to just shut the whole company down instead."

In what world is shutting down, a superior alternative to selling the company to LeSports for some cold hard cash?

[bhouston]

The VCs are mad at Weller -- it sounds like a pissing match to teach Weller a lesson to do what the investors wanted or else.

[ivraatiems]

A pissing match costing 50+ people their livelihoods is disgusting to me. The fact that every player in the startup game so readily screws each other over is a big part of why I'm not in it.

[rdtsc]

> In what world is shutting down, a superior alternative to selling the company to LeSports for some cold hard cash?

In a world with lots of cash where a companny like Skully is just pocket change and they'd rather not deal with as they have bigger fish to fry.

So you are in the business of buying and selling houses and you do $1M transactions every month. This is like finding a lawn mower in a garage, and yeah you could sell it for $200 on Cragslist, but in the big scheme of things it is not worth your time.

[bravo22]

Any company IP would be cheaper to pick-up in a post shutdown sale. It isn't the VCs personal money they invested, but they do have a lot of personal relationships which could pay off in the future for strategic reasons. You don't need all the investors on board to pull off such a thing. I've seen it before.