Why my VM does not start?
In my previous post I talked about the need to keep the template ID and VM names small. If you make them too big, your machine might not start. You can check the Virtual Server Web Administration page to make sure this is the reason (Administration > Launch)
You might also inspect your default VMs folder on vsdm_config.xml file. All those ingridients are mixed together and if one or more are too big, it might overflow the OS limit.
Fix: Try to reduce the template ID, machine names and/or folder locations to smaller lengths.