Tag: 409A Valuation

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The Founder Guide to 409a Valuations in 2024

The 409A Valuation Services market was valued at USD 10 billion in 2023 and is projected to grow to USD 40.5 billion by 2031, with a compound annual growth rate (CAGR) of 12.9% from 2024 to 2031. A 409A valuation has been an indispensable and crucial assessment for a startup when issuing stock options or … Continued

Why is Eqvista 409a valuation expertise the best in the market?

A 409A valuation is crucial for private companies as it determines the fair market value of their common stock. It’s a mandatory process that any private company should undergo to comply with IRS regulations.  As ESOP becomes the popular employee compensation means, the need for a 409a valuation has become more pressing. Finding a reliable … Continued

Who conducts a 409A Valuation?

In every startup operation, a moment arrives when a founder must secure a 409A valuation, a crucial step that seems daunting. This valuation is pivotal, as it determines the fair market value of a startup’s common stock, directly influencing stock option grants, potential funding rounds, and tax implications. It raises a pressing question: Who has … Continued

409a Valuations and Non-US Companies

Companies outside the U.S. may require a 409A valuation for various reasons when entering the U.S. market. This situation often occurs when providing stock options or other equity-based compensation to employees in the United States, a popular strategy to attract and retain skilled professionals.  Startups and established companies must determine these valuations to motivate their … Continued

Is 409A Valuation Mandatory?

A 409A valuation is crucial for private companies in 2024 to ensure fair practices, comply with tax laws, and foster sustainable growth by accurately valuing their common stock. Many founders question the need for a 409A valuation, weighing its importance against startup costs and efforts.  However, opting for a valuation more than once a year … Continued

Get Two Free 409a Valuations and Experience Our Outstanding Valuation Process

Since 2018, Eqvista has strived to bring sophistication and technology to equity management. We wanted to provide access, affordability, and benefits to companies of all sizes. Fast forward to 2023, we are now trusted by over 15,000 businesses for cap table management, 409a valuation services, and IRS filings, and now emerging as leaders in the … Continued

409A Valuation at $89 a month for Startups Affected by SVB Failure

The SVB fiasco is the talk of the business town now. Silicon Valley Bank financed startups beyond the Bay Area. It supported half of all US venture-backed firms and 44% of US venture-backed healthcare and technology companies that went public in 2022. SVB may reveal its risk management and other procedures, which have caused many … Continued

Stripe 409A Valuation Cut: What it Means for the Tech Industry?

Stripe Inc. headquartered at San Francisco is a financial services and software as a service (SaaS) company founded by John and Patrick Collison in 2009. It provides payment software services to US Customers. According to a report, Stripe reduced the “internal value” of its shares by nearly 11% in the most recent revision, dropping it … Continued

When do South Korean companies need a 409A valuation?

Section 409A is a valuation that determines the fair market value of a private company’s common share. A South Korean company may need a 409A valuation if they are going public, establishing stock-based compensation, or are planning a merger, acquisition or other significant transaction. 409A valuation in South Korea is done by independent third-party valuation … Continued

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