It doesn't rule it out in any particular case.
It just makes it rarer in the population, so to speak. Sure, people can make whatever choices they want and wants vary. However, people make the economic choices on average. If these are individual people making choices, then we get a distribution of choices.
Mostly these are companies though, collections of people making a common choice. Shareholders are not going to divide up their $1.5m dividend and chill when there's a $150m offer on the table. We barely even have the financial institutions to do that.
"Lifestyle Businesses" are also not always peaches and cream.
Say meetup is resold cheap because no-one can meet up irl anymore. You buy it and you are now the "Lifestyle CEO" of meetup. You have the inglorious & immediate task of downsizing all the VC/WeWork fat the company is carrying. Or, you could raise money and "grow into" your expenses. So, either you are raising money again and not a lifestyle company anymore or you are making deep cuts.
Walking back to a "lifestyle Businesses" from this position is not a choice that gets made often, unless there's no choice.
Finally, startups exist within startup business culture... meetup certainly. Giving up an growth is equivalent to failure. Successful companies grow fast, everyone gets promoted. Options convert. That's the culture.