409A Valuation Services for
Privately Held Startups & Growing Companies
IRS-Compliant 409A Valuations Delivered in 9-12 Days by Expert CPAs & Chartered Accountants
What is a 409A Valuation and Why Do You Need One?
A 409A valuation determines the fair market value (FMV) of your company’s common stock, which is required by the IRS under Section 409A of the Internal Revenue Code. If your company issues stock options to employees, directors, or consultants, you must have a current 409A valuation to set compliant exercise prices.
Without a proper 409A valuation, your employees face immediate taxation on their stock options, a 20% additional penalty tax, plus interest charges. In Addition, The company will not be allowed to take deduction of compensation expense.
The good news? A professionally prepared 409A valuation provides “safe harbor” protection. When performed by qualified independent appraisers like CountSure’s team of CPAs and Chartered Accountants, the IRS presumes your valuation is correct, shifting the burden of proof away from your company in case of an audit.
Cost of IRS Non-Compliance not getting a 409A Valuation:
- Immediate taxation for employees on option value
- 20% penalty tax on employees
- Interest charges accumulating from grant date
- Loss of company’s tax deduction
- Potential legal liability and employee relations damage
- Cost can easily reach hundreds of thousands or millions
Cost of a Defensible 409A Valuation:
- One-time investment of $2,500 - $10,000
- Complete IRS safe harbor protection
- Peace of mind for you and your team
- Foundation for compliant equity compensation
Who Needs 409A Valuation ?
Is Your Private Company Required to Get a 409A Valuation?
If any of the following apply to your private company, you need a 409A valuation:
Seed to Series C Startups
Planning to grant stock options needs regular 409A valuations before each grant date.
Pre-IPO Companies
Require current valuations to ensure option grants remain compliant through the IPO process.
Entity Issuing Options
If you’re using equity compensation to attract and retain talent, 409A valuations are mandatory to avoid IRS penalties.
Companies Raising New Funding
New financing rounds constitute “material events” that require updated 409A valuations before granting options.
Companies Planning M&A Transactions
Mergers, acquisitions, or significant corporate events trigger the need for fresh valuations to maintain compliance.
PE-Backed Companies
With employee equity programs need defensible valuations that satisfy both investors and auditors.
Countsure’s 409A Valuation Process
CountSure follows a rigorous, methodical approach to deliver defensible 409A valuations that stand up to IRS and auditor scrutiny. Here’s exactly what to expect when you work with us:
Initial Consultation (Free)
We start with a comprehensive discussion to understand your business, capital structure, and funding history. During this 30-minute consultation, we’ll:
• Review your company’s background and industry
• Discuss your financing rounds and cap table complexity
• Understand your timeline and any urgent deadlines
• Answer all your questions about the 409A process
• Provide a transparent, fixed-fee quote
• Explain deliverables and next steps
No pressure. No obligations. Just honest guidance from experienced professionals.Data Collection & Engagement
Once you decide to proceed, we’ll send you a detailed checklist of required documents. You’ll sign our engagement letter and provide 50% payment to officially kick off the process. Our team immediately begins the comprehensive analysis.
Comprehensive Valuation Analysis
This is where CountSure’s expertise truly shines. Our team of CPAs, Chartered Accountants, and CMAs conducts a thorough, multi-faceted analysis.
Draft Report Review
Within 9-12 working days, we deliver a draft of your comprehensive 409A valuation report. You’ll have the opportunity to review the draft, ask questions, and request clarifications. Our experts remain available throughout this review period.
Finalization & Delivery
After addressing any questions or feedback, we finalize your 409A valuation report. The final version is delivered electronically, signed by our qualified valuation professionals.
Ongoing Support
Our relationship doesn’t end at delivery. CountSure provides:
• Auditor Defense Support,
• Grant Date Consultation,
• Annual Refresh Reminders,
• Future Planning: Advice on when material events require new valuations
You’re not just getting a report you’re getting a trusted valuation partner.
Why Private Companies Choose
CountSure for their 409A Valuation Needs?
When your company’s IRS compliance and talent retention are on the line, you need a valuation partner you can trust. Here’s why CFOs, CEOs, and General Counsels choose CountSure:
The Only Firm You Need to Know
We’re not a software platform churning out automated reports. We’re not a Big 4 firm charging premium rates for junior associate work. CountSure delivers personalized, expert-led 409A valuations that combine:
Proven Track Record
100% Big 4 auditor acceptance rate across 65+ valuations
Deep Expertise
40-year legacy firm with 20 CPA/CA/CMA professionals
Real Access
Work directly with senior valuation experts, not account managers
IRS Safe Harbor Compliance
Maximum legal protection, designed to withstand rigorous audits
Speed + Certainty
9-12 day delivery with transparent, fixed-fee pricing
Whether you’re a pre-revenue startup or a late-stage growth company, our cross-industry experience (tech, healthcare, financial services, manufacturing) ensures accurate, defensible valuations.
Download the 409A Valuations Client Onboarding Checklist
What’s Included in Your 409A Valuation Report issued by CountSure ?
Executive Summary
Company Overview & Background
Economic & Industry Analysis
Financial Analysis
Valuation Methodology
Enterprise Value Determination
Allocation Analysis
Marketability Discount Analysis
Appendices
What Makes CountSure’s 409A Valuation Services Cost-Competitive?
01
Efficient Global Operations
02
Streamlined Process
03
Value-Driven
Pricing
04
No Sales Commission Structure
Hire Countsure For Your 409A Valuation Needs
Ready to Get Your IRS-Compliant 409A Valuation?
Schedule a free consultation with CountSure’s valuation experts. We’ll discuss your company’s specific needs, answer all your questions, and provide a transparent quote zero pressure, zero obligations.
What to Expect in Your Consultation:
- 30-Minute Expert Discussion
- Custom Timeline & Pricing
- All Questions Answered
- No Pressure Approach
- Zero Commitment Required
Book Your Free 30-Minute Consultation
FREQUENTLY ASKED QUESTIONS about 409A Valuation Service
A: Generally every 12 months, or sooner if there’s a material event. Material events include new funding rounds, significant revenue changes, acquisitions, major product launches, or changes in your capital structure. Most startups update at fundraising and annually in between.
A: Without a compliant 409A valuation, you risk severe IRS penalties including immediate income tax for option holders, 20% penalty tax, and interest charges. Additionally, you’ll face challenges with auditors and potential shareholder lawsuits. It’s not worth the risk.
A: Yes. CountSure maintains a 100% Big 4 auditor acceptance rate. We strictly follow IRS safe harbor provisions, use defensible methodologies, and provide comprehensive documentation designed to withstand rigorous scrutiny from auditors and the IRS.
A: Our standard turnaround is 9-12 working days from receiving all necessary information. We can accommodate rush requests for urgent needs. The timeline depends on your responsiveness in providing data and the complexity of your capital structure.
A: We’ll need your cap table, financial statements (income statement, balance sheet, cash flow), latest funding documents (if applicable), financial projections, and details about your business model. We provide a complete checklist during onboarding to make the process smooth.
A: Yes. We’ve valued companies across technology, SaaS, healthcare, biotech, fintech, consumer products, manufacturing, and professional services. While we have particular strength in tech and IT sectors, our methodology adapts to any industry’s unique dynamics.
A: Absolutely. Through our parent firm My Valuation, we handle ESOP valuations, purchase price allocations, gift and estate tax valuations, financial reporting valuations (ASC 820), and M&A advisory work. Contact us to discuss your specific valuation needs.
