I don't think the small group concept is a big concern, rather I think it is the funding model.

If a small team were to design, play and test a game in their spare time, have a thorough manufacturing strategy plan, a BOM, all quotes in for manufacturing and sourcing of parts and not ask for a cent ready to hit the manufacturing GO button things would be safer for the people ordering games, yes may take a little longer for the team to bring their machine to the public but less risk for everyone including the team members. The team could also then take out a loan to cover the parts / manufacturing for the first 10-20 games so when games are purchased they are delivered quickly and the income earned pays back a good portion of the loan as well as re-invested into the next batch of 10-20 games - similar to how spooky are doing it. This approach keeps the team motivated and driven to finish. I think (speculation) that Jpop got a $1 million and just designed away perfecting the look and function and ran out of funds to build the games but he owes $1 million to his customers and lots of money owed to suppliers etc as it is obvious that he lacks skills in project management, and budgeting.