Err on the side of over-communicating with investors. Many have been through these situations and can help.

Either scenario suffers when the start up raised a “party round.” In each case, the bystander effect kicks in and investors either aren’t incentivized to help or think the other guy is doing it.

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This. Once you've raised a party round...

If party rounds are so unhelpful, why are they so popular?

Herd mentality and necessity. AngelList creates this sense of "the next big thing is around the corner," which means folks want enough to invest in that next big thing. One AngelList startup today I saw had 25 angel investors... mother of god...

And also first-time entrepreneurs. We don't know any better. :) And when everything is going great, everyone seems helpful.

Socialscam had 46 investors.

Sometimes I think investors deserve what they get.

Anyone who rides with the herd has no right to complain when they get stampeded.

Viddy...

I like this line: "Even if you have a white-hot disdain for them, these folks gave you money and (at some point) believed in you."