Professional 409A ValuationsFaster, Cheaper, IRS-Compliant
Get your IRC 409A compliant valuation at a fraction of the cost of traditional providers. Our AI-powered platform combined with expert human review delivers accurate fair market value assessments with full safe harbor protection—in days, not weeks.
Trusted by startups and private companies across the United States for reliable, defensible stock option valuations.
What is a 409A Valuation?
A 409A valuation is an independent appraisal of the fair market value (FMV) of a private company's common stock. Named after Section 409A of the Internal Revenue Code, this valuation is essential for any company that issues stock options or other equity compensation to employees, contractors, or advisors.
Without a proper 409A valuation, companies risk issuing stock options below fair market value, which can trigger significant tax penalties for option holders—including immediate income tax on unvested options and a 20% additional tax penalty.
Our 409A valuation service provides the independent, qualified appraisal your company needs to establish safe harbor protection and ensure compliance with IRS regulations.
When You Need a 409A Valuation
- Before granting your first stock options
- Every 12 months to maintain compliance
- After closing a new funding round
- Following a material business event
- Before an M&A transaction or IPO
Why Choose Our 409A Valuation Service?
We're reimagining how startups get their 409A valuations—making the process faster, more affordable, and completely hassle-free.
Fraction of the Cost
Traditional 409A valuation providers charge $2,000-$8,000 or more. Our AI-powered approach dramatically reduces costs while maintaining the quality and compliance you need. Get enterprise-grade startup valuations for just $399!
Much Faster Delivery
Why wait weeks for your 409A valuation report? Our streamlined process delivers completed valuations in a matter of HOURS. Perfect for fast-moving startups that need to issue options quickly after a funding round or before key hires join.
Full Safe Harbor Protection
Every valuation comes with complete IRC 409A compliance and safe harbor protection. Our reports are prepared according to AICPA guidelines and reviewed by qualified valuation experts, giving you confidence that your valuation will withstand IRS scrutiny.
How Our 409A Valuation Platform Works
We combine cutting-edge AI technology with human expertise to deliver accurate, compliant valuations efficiently.
AI-Powered Analysis
Our advanced AI analyzes your financial data, cap table, and market comparables to generate comprehensive valuation models using industry-standard methodologies.
Expert Human Review
Every report is reviewed and validated by qualified valuation professionals before delivery, ensuring accuracy and defensibility.
IRS Compliant Reports
All valuations meet IRC Section 409A requirements and follow AICPA valuation standards, providing safe harbor protection for your company.
Rapid Turnaround
Receive your completed 409A valuation report in days, not weeks. Our efficient process keeps pace with your business needs.
Simple Three-Step Process
Getting your 409A valuation has never been easier. Our streamlined process eliminates the back-and-forth typically associated with traditional valuation providers.
Upload Your Documents
Securely upload your financial statements, cap table, and company information through our encrypted platform. We'll guide you through exactly what's needed for your startup valuation.
AI Analysis & Modeling
Our AI engine analyzes your data using multiple valuation methodologies including market approach, income approach, and asset-based approaches to determine fair market value.
Expert Review & Delivery
A qualified valuation expert reviews your report for accuracy and compliance. Once approved, you receive your complete 409A valuation report with full safe harbor documentation.
"Having overseen global tax and valuation matters for both public and private companies, I value solutions that reduce friction without compromising rigor or compliance. This platform delivers a thoughtful, modern approach to 409A valuations—combining automation, standardized methodology, and expert oversight to produce faster, more efficient, and audit-ready outcomes."
David Whitefield
Former Head of Global Tax, NICE (NASDAQ: NICE)
Former CFO of Gravyty
Who Needs a 409A Valuation?
If your company issues stock options or equity compensation, you likely need a 409A valuation to stay compliant with IRS regulations.
Early-Stage Startups
Pre-seed and seed-stage companies preparing to issue their first stock options to founders, employees, or advisors.
Venture-Backed Companies
Series A through late-stage companies that need updated valuations after each funding round or material business event.
Private Companies
Established private businesses using equity compensation as part of their employee retention and recruitment strategy.
Pre-Exit Companies
Companies preparing for an acquisition, merger, or IPO that need current fair market value documentation.
Frequently Asked Questions About 409A Valuations
Everything you need to know about 409A valuations and our service.
What is a 409A valuation and why do I need one?
A 409A valuation is an independent appraisal of your company's common stock fair market value, required by IRS Section 409A. You need one to issue stock options at fair market value, which protects your employees from significant tax penalties and your company from potential IRS issues. Without a proper 409A valuation, option holders could face immediate taxation on unvested options plus a 20% penalty tax.
How often do I need to update my 409A valuation?
Generally, a 409A valuation is valid for 12 months. However, you'll need a new valuation sooner if a "material event" occurs—such as closing a new funding round, significant changes in revenue or customer base, launching new products, or any event that substantially affects your company's value. Most venture-backed startups get a new 409A valuation after each funding round.
What is safe harbor protection and how do I get it?
Safe harbor protection means the IRS will presume your stock option exercise price is at fair market value if your valuation meets certain requirements. To qualify, your 409A valuation must be performed by a qualified independent appraiser using accepted valuation methods. Our valuations are specifically designed to meet all safe harbor requirements, protecting your company from IRS challenges.
How is fair market value determined in a 409A valuation?
Fair market value is determined using multiple valuation methodologies, typically including the market approach (comparing to similar company transactions), income approach (discounted cash flow analysis), and asset-based approach. For startups, we also consider recent funding rounds, applying appropriate discounts for lack of marketability and comparing common stock to preferred stock terms.
What documents do I need for a 409A valuation?
Typically, you'll need to provide your cap table, recent financial statements (balance sheet and income statement), any recent funding documents or term sheets, board meeting minutes, and information about your business model and projections. Our platform guides you through exactly what's needed and makes uploading documents simple and secure.
How long does it take to get a 409A valuation?
With our AI-powered platform, you can receive your completed 409A valuation report in days rather than the 2-4 weeks typical of traditional 409A valuation providers. The exact timeline depends on how quickly you can provide the required documents and the complexity of your cap table and business structure.
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