409A Valuation

Independent 409A Valuation Services for Startups, Backed by CFA-Signed Reports

Every 409A valuation we deliver is CFA-signed and built to hold up with the auditors who'll actually review it. We've worked alongside 15+ audit firms, so nothing about your report is a surprise to them. No black-box models, no hidden fees. Just a 409A valuation provider, founders and finance teams trust to get it right the first time. 500+ signed reports delivered yearly.

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Trusted by 3,000+ companies across 60+ countries

Signed reports yearly

500+

Client market cap

US $100B+

Countries served

30+

Auditors worked with

15+

Why Choose Qapita for 409A Valuation Services

Built to Hold Up, Not Just Ship Fast

A 409A valuation delivered in minutes is a 409A valuation that hasn't looked closely at your stage, funding history, or cap table and that's the version that gets questioned in an audit. We study each company on its own terms and structure every report to withstand investor and auditor scrutiny, not just to clear a deadline.

A Real Analyst, Not a Black Box

Your dedicated analyst can walk you or your auditor through the exact methodology behind your valuation, no hidden logic, no generic PDF output. Every number comes with reasoning you can actually defend, because "the software said so" isn't an answer that holds up in an audit.

Standalone Today, Platform-Ready Whenever You Are

Need only a 409A valuation right now? That's the whole engagement, no upsell required. Want to add equity management, stock plan administration, or ASC 718 reporting later? It's already built to connect. You get exactly what you need at your stage, not what gets you into a bigger plan.

What's Included?

How our 409A valuation Service works for you

Questions? Let's talk

What We Do

409A Valuation Based on Your Startup Stage

You'll return to your 409A again and again, before issuing options, after material events, and every 12 months to stay compliant. Whether you raise multiple rounds or grow more quietly, Qapita is built for that full journey, tuning each valuation to your stage so you can grant equity with confidence from seed to pre-IPO.

Early-Stage Startups

Pre-Seed to Series A

A 409A valuation for startups should set a clear, defensible FMV baseline for your first option grants, not bury you in complexity you don't have yet. We use market benchmarks and straightforward, transparent models built for lean, often pre-revenue cap tables, and deliver IRS-compliant reports you can confidently share with employees and advisors.

Growth‑Stage Scale-Ups

Series A to Series B+

As you raise new rounds, your cap table gets complicated fast with different instruments i.e preferred shares, option pools, SAFEs, convertibles. Our 409A valuation applies recognized methods like OPM backsolve and produces documentation your board and auditors can rely on through every new funding round.

Late‑Stage

Unicorns / Listed Companies

Late-stage companies face real uncertainty around IPO, acquisition, and other liquidity paths. For complex cap tables, we use advanced methods like PWERM and hybrid models built for late-stage scenario planning, giving your board and auditors confidence in the fair value of common stock.

Qapita Vs Other 409A Valuation Providers

How Qapita Stacks Up Against Other 409A Valuation Providers

Analyst sign-off

1:1 access to your analyst

Support for auditor questions

Standalone or bundled

Methodology fit

Platform lock-in

Qapita

CFA charter holder, in-house, on every single report

Yes, before, during, and after report delivery

Your analyst engages directly with your auditors

Your choice, no cap table platform required

Tailored per stage: OPM backsolve, PWERM, or hybrid

None, switch or bundle anytime

Other Providers

Often outsourced to a third-party valuation partner

Typically, limited or unavailable once the report ships

Frequently left to you to explain or escalate

Usually requires onboarding onto their platform first

Often a single default model applied across stages

Common, especially once your cap table lives there

Get Transparent, Audit-Ready 409A Valuations

Ensure compliance and investor confidence with precise, audit-ready 409A reports.

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Testimonial

Words from our valued customers

Simple product and Supportive team

"Simple product and Supportive team Qapita is an easy to use product, the team completed the onboarding with very little of my time spent on the actual setup. Their support team went above and beyond to answer all my questions on the 409A and some scenarios I wanted to run on the captable.
Qapita simplifies management of captables. I need to manage investors, employees and also run scenarios. Qapita simplifies all of this, while creating a simple view for each of the stakeholders."

Anuraag N.

Small-Business (50 or fewer emp.)

“Qapita has helped us in drastically improving our employee engagement. Equity payslips and valuation slider are really useful…”

Prashant Kumar

Co‑founder, Zingbus

Working with Qapita was a truly positive experience. The reports they provided for our PPA and valuations were thorough, accurate, and audit-ready, making our compliance work much smoother. We genuinely appreciate their professionalism and dedication and would gladly recommend their services to others seeking reliable valuation expertise

Mayank Aggarwal

Analyst – Financial Reporting, Manifest Global Pte. Ltd.

"Qapita was a valuable partner throughout our audit process. They demonstrated a strong understanding of the intricacies around our convertible instruments and employee equity plans, stayed aligned with our deadlines, and worked seamlessly with our auditors to help us navigate the process efficiently.

CHIN Poh Huat

Vice President of Finance, Campana

Having Qapita by our side during the audit made a real difference; they brought deep expertise in navigating the complexities of our financial instruments and equity programs, kept pace with our timelines, and worked hand-in-hand with our auditors to ensure the entire process was smooth and stress-free.”

Ankur Aggarwal

Executive Director- Finance, Strategy & Planning (Regional), Docquity

How it works

From first ask to signed report, handled end to end

A structured 409A valuation workflow that keeps your valuation moving, no chasing, no guesswork, no surprises at the finish line.

1

Kick-off

We send a clear information request list up front, so you know exactly what to gather and why. No back-and-forth guessing what we need.

2

Data review

You get a dedicated analyst who reviews and confirms your cap table, funding history, and financials before any modeling begins, catching gaps early instead of after the fact.

3

Prepare report

We build your valuation model and report workings using the methodology that fits your stage (OPM backsolve, PWERM, or hybrid) grounded in your actual cap table, not a template.

4

Draft report

You and your auditor review the draft together, with your analyst available to walk through assumptions and answer questions before anything is finalized.

5

Signed report

Once everyone's aligned, your report is finalized and signed by a CFA charterholder, audit-ready and yours to keep.

FAQs

Frequently asked questions

What is a 409A valuation?

A 409A valuation determines the fair market value (FMV) of your company's common stock, which sets the strike price for employee stock options. It's required under IRS Section 409A before you issue any stock options to US-based employees or contractors.

How much does a 409A valuation cost?

Costs typically range from $1,500 to $5,000+, depending on your company's stage and cap table complexity. Qapita includes 409A valuations in Growth and Enterprise plans, or as add-on on Basic and Starter plans. [See pricing →]

Why do startups need a 409A valuation?

A 409A valuation sets a defensible FMV so stock options aren't treated as discounted compensation, which can trigger tax penalties for employees. It also gives you IRS safe harbor protection, which matters during audits, funding rounds, and exits.

Who performs a 409A valuation?

A qualified, independent third-party appraiser, not your founders, employees, or investors. At Qapita, 409A valuations are prepared by experienced analysts and signed by a CFA charterholder using recognized methods like OPM backsolve and PWERM.

When should a startup get a 409A valuation?

Before issuing stock options for the first time to any US taxpayer. After that, you need a new valuation every 12 months, or sooner after a material event like a funding round or acquisition offer.

How often should I get a 409A valuation?

At least once every 12 months to maintain safe harbor protection. Get a fresh valuation sooner if you close a funding round, complete a secondary sale, or see a significant change in financial performance.

What happens if I don't get a 409A valuation?

If the IRS finds your options were priced below fair market value, employees can owe immediate income tax on the "discount," plus a 20% penalty and interest. It can also raise red flags during audits, funding rounds, or an exit.

How long does a 409A valuation take?

Most providers take 1–2 weeks. Qapita delivers signed, audit-ready reports in about 7–10 business days, with expedited turnaround available when a grant date or funding round is approaching.

Will my Big Four auditor accept a Qapita 409A report?

Yes. Qapita has worked directly with Big Four audit firms, and our reports are built to be defensible, CFA-signed, backed by a clear audit trail, with documented assumptions and methodology at every step. Your analyst is also available to work through any auditor queries directly.

What is the difference between a 409A valuation and ASC 718?

A 409A valuation sets the fair market value of your common stock for tax compliance and option pricing. ASC 718 uses that FMV (along with other inputs) to calculate the stock compensation expense your company reports on its financial statements.

What are the consequences of inaccurate 409A valuation?

An inaccurate valuation can expose employees to immediate taxation plus a 20% IRS penalty on underpriced options. It can also delay funding rounds or exits if investors or acquirers flag the valuation history during diligence.

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