Option 3 is to become very profitable and give big dividends back to those VC's... Few take that route though...
Option 3 is to become very profitable and then have Facebook create its own competitor and integrate it into their own apps, killing your business overnight.
I think you'll find that VCs aren't in it for dividends. If they were content with 10% per annum they'd play the S&P 500...
You can certainly build a long-term profitable business, but you wont find VC funding for that.
But some businesses that take VC funding could pay out 1000% dividends every year, especially businesses that don't take much initial funding and manage to become a monopoly in some small niche market and decide not to expand further.
It's certainly possible in niche cases, but if you tell a VC that is your plan, I thin you are likely to find a luke-warm response. Aiming at an acquisition is in many ways a surer bet that aiming for niche market dominance with outlandish returns