Get a 409A valuation
If you're a UK company issuing options to US taxpayers, you need 409A valuations. Get your 409A valuation from Vestd for a small fee.
Trusted by thousands of founders
Keep your grantees protected against tax penalties, with an expert-determined fair market value (FMV).
Become eligible for the IRS’ ‘safe harbour’ status that presumes your FMV was set reasonably.
Manage all your equity and shareholders digitally, so that your cap table is always accurate.
Don’t worry about missing important deadlines. You will be notified if something is due.
Features
Issue shares digitally
100% accurate digital cap table
Shareholder dashboards
Subdivide shares
Generate & submit confirmation statements
Shareholder register
Company secretarial tools
Secure digital data room
The platform itself allows you to manage all aspects of share and option management concisely in one place. The automations and integrations save you time. But while the platform is great, it is the team that makes Vestd stand out. From pre-sales to onboarding and the ever-helpful support team - not only do they support on the platform but provide excellent knowledge in this area.
Great platform. The team always provide brilliant support. I would definitely recommend using Vestd to anyone who needs to set up and administer an EMI scheme.
Straight forward and structured approach - so good for founders and also FD/CFO/advisor who is looking to get share capital and share option schemes in place.
A fantastic platform. The price is fixed. The customer support is fantastic and readily available. They have held our hand right through the whole process.
I love Vestd and I wish I had found it sooner. It makes the whole process of issuing shares whether they're growth shares or ordinary shares incredibly simple.
Amazing shift from Excel to Vestd. The support team were amazing and did a great job of completing our setup and we have been very pleased at being able to better manage our governance over time.
Let's talk...
Tell us about your company structure and goals so we can help you explore:
- If the 409A valuation is necessary for your company
- The best scheme type/s for US taxpayers
- The kinds of conditions you can set
- How to digitise existing share schemes
- Costs and tax efficiency
Calls are totally free last for 30 minutes. There's no obligation to use Vestd afterwards.
Choose a good time to chat and let's lock something in.
Frequently asked questions
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What is a 409A valuation?
A 409A valuation is a type of valuation that determines the fair market value (FMV) of a company’s share price. It is the USA equivalent that’s needed when a company grants share options to US taxpayers.
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What is a 409A valuation for?
Much like how an HMRC-approved valuation is needed when granting EMI options to UK employees, a 409A valuation is needed when granting any type of stock option to US taxpayers.
You will need a valid 409A valuation if you are:
- a UK company granting options to US employees: When a UK company is issuing any type of stock option to their US-based employees.
- UK company granting options to any US taxpayer: This includes companies, contractors, consultants and subsidiaries.
- a UK parent company with US subsidiaries (or vice-versa): it’s likely that a 409A valuation will be completed every 12 months as standard practice.
We go into more detail in our blog.
Need help figuring it out? Talk to us.
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When should I get a 409A valuation?
Before you offer stock options to US employees or any US taxpayer, you'll need a 409a valuation approved by the Internal Revenue Service (IRS).
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How often do I need one?
The validity of the 409A valuation is 12 months unless there’s a material change to the company’s fair market value (FMV) in that time – such as a funding round. In case of any changes, we can take care of notifying you of upcoming deadlines.
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Why would I want a low 409A valuation?
You may want a low 409a valuation, so you can offer employees stock options at a lower exercise price.
If the value of the business grows, those options will, in theory, become more valuable. We talk a little more about low business valuations here.
However, it's important to prepare a realistic valuation. If your 409a valuation is too low, that might raise alarm bells with the IRS.
Our experience of valuing companies for share schemes means we can readily produce what you need to gain an IRS-approved valuation.
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What’s the cost of a 409A valuation?
We charge a small, yearly fee to give you an expert-determined 409A valuation.