That will always be a concern, even for a nonprofit. You need to keep the lights on, and people need to be paid. However, the trouble with VC funding is the expectation of scale. A VC won't be happy with a small organization that makes enough to pay its employees and sustain a small amount of growth. Unfortunately, that business requires large successes. So the founders and the investors can easily have very different goals.

VC funding is required if you want to build something massive, but isn't a great idea if the founders just want to build a sustainable but small business.