<aside> 💡 RATING SYSTEM ⭐️ - Recommended based on work / No personal contact or experience ⭐️⭐️ - Recommended based on work / Discovered through intro call/outreach but no actual use of the firm ⭐️⭐️⭐️ - Recommended based on work AND Personal recommendation after Founder or Team Member experience 🔥 - Discount offered

</aside>

What is a 409A?

A 409A is used to determine the fair market value of your company’s common stock and usually is determined by a third-party valuation provider. The 409A will set the strike price for options issued to employees, contractors, advisors, and anyone else who gets common stock. If you want to understand the 409A further, Carta wrote this helpful blog post.

All private companies must complete a 409A annually OR anytime a material event occurs i.e. a round of financing.

Any 409A negotiations should be done over the phone!

409A Valuation Providers

• Have heard of multiple occasions where companies have negotiated the FMV down from the original price. | | ⭐️⭐️ | Alvarez and Marsal (AM) | https://www.alvarezandmarsal.com/ | [email protected] and [email protected] come recommended | | ⭐️ | Granite Valuations | https://www.granitevaluations.com/ | | | ⭐️ | Redwood Valuations | https://www.redwoodvaluation.com/ | | | ⭐️ | Scalar Analytics | https://www.scalar.io/ | | | ⭐️ | Teknos | https://www.teknosassociates.com/ | Neil Thakur comes recommended | | ⭐️ | Aranca | https://www.aranca.com/ | | | ⭐️ | Cabrillo Advisors | https://cabrilloadvisors.com/ | |