Charles River Ventures QuickStart seed-level funding program FAQ - Very Interesting

What if their terms of that Series A funding are not favorable? You <i>have</i> to take their financing, so you won't have much leverage for negotiations. The only thing you can do is get funded by a larger number of VC firms, so that you dilute their share (since they ask for 1/Nth where N is the number of VC firms).

<a href="http://buzzboston.wordpress.com/2007/04/27/i-know-y-combinator-and-crv-quickstart-you-are-no-y-combinator-it%e2%80%99s-hard-to-change-your-stripes/">http://buzzboston.wordpress.com/2007/04/27/i-know-y-combinator-and-crv-quickstart-you-are-no-y-combinator-it%e2%80%99s-hard-to-change-your-stripes/</a><p>

It's another option, but my personal feeling is to stay far, far away from anything called a loan.

It's certainly worth sending your summary to CRV to see what they have to say.