409A Valuation Services
Fast, compliant, audit-ready 409A valuations for startups and growth companies. Get your IRS-compliant common stock valuation with comprehensive audit defense included.
409A Valuation Facts
What is a 409A Valuation?
A 409A valuation is an independent appraisal of a company's common stock required by the IRS for companies issuing stock options to employees. It ensures compliance and protects against penalties.
IRS Compliance
Ensures your stock option program meets all IRS requirements under Section 409A, protecting your company and employees from tax penalties.
Fast Turnaround
Guaranteed 14 business days from information receipt to draft report delivery. Most valuations completed even faster with our streamlined process.
Audit Defense
Comprehensive audit defense included at no additional cost. We stand behind our work and support you through any IRS or audit inquiries.
When is a 409A Valuation Required?
Initial Stock Option Grant
First time issuing stock options to employees, contractors, or advisors. Required to establish fair market value for option exercise price.
Annual Refresh
409A valuations are valid for 12 months. Companies typically refresh annually or after material events to maintain compliance.
After Fundraising
New financing rounds, debt arrangements, or other capital events require updated valuations to reflect current fair market value.
Material Events
Significant business changes, new partnerships, major contracts, or market developments may trigger the need for updated valuation.
Our Proven 8-Step Process
Transparent, efficient, and thorough approach ensuring accuracy and compliance
Initial Consultation
Free discussion about your needs, timeline, and specific requirements.
Engagement Letter
Formal agreement outlining scope, timeline, and deliverables.
Kick-off Meeting
Detailed discussion of methodology and data requirements.
Background Research
Market analysis, industry research, and competitive landscape study.
Modeling & Analysis
Financial modeling using industry-standard methodologies.
Draft Report
Comprehensive draft report with detailed analysis and findings.
Management Review
Client review and feedback incorporation.
Final Delivery
Final report and certificate with ongoing support.
Transparent Pricing
No hidden fees. Fair pricing based on company complexity and stage.
Early Stage
- Pre-revenue to $2M ARR
- Simple cap structure
- 14-day turnaround
- Audit defense included
- 12-month validity
Growth Stage
- $2M - $10M ARR
- Multiple funding rounds
- Complex preferences
- 14-day turnaround
- Full audit support
Enterprise
- $10M+ ARR
- Complex structures
- Multiple entities
- Priority support
- Custom reporting
Refresh valuations (within 12 months) receive 25% discount
Our Valuation Methodology
We follow industry-standard approaches recommended by AICPA and accepted by the IRS
Market Approach
Analysis of comparable public companies and recent private transactions to establish market-based valuation multiples.
- Public company comparables
- Private transaction analysis
- Industry-specific multiples
Income Approach
Discounted cash flow analysis based on projected financial performance and risk-adjusted discount rates.
- DCF modeling
- Risk assessment
- Terminal value calculation
Ready for Your 409A Valuation?
Get started today with a free consultation. Most clients receive their draft report within 10 business days.