[anurag]

As someone who chose to raise only 40% of what was available at the same terms, the decision seems even better in hindsight.

VC funding comes with expectations for how new capital will be deployed until the next round, and if you raise a lot in the A but don't have enough progress to show for it before the B, you're going to be in a tough spot.

So it's not just about dilution; you're reducing your risk for the next round if you raise less because it's much harder to deploy large amounts of capital without lowering returns (in this case revenue, customers, and hiring).

[gnicholas]

Did you take less from each investor, or cut out some of the interested investors?

[anurag]

Just less money from the lead investor.