Do I need a 409A right now?

Answer 5 quick questions. We'll tell you whether you need a 409A valuation — and how urgently.

Question 1 of 5

Has your company ever had a 409A valuation?

A 409A is the IRS-required independent valuation that sets your option strike price.

• No — we've never had one
• Yes — and it's less than 12 months old
• Yes — but it's more than 12 months old
• I'm not sure

Question 2 of 5

Are you planning to grant stock options in the next 90 days?

Includes new hire grants, refresh grants, or any new option awards.

• Yes — actively planning grants
• Maybe — hiring but equity not confirmed yet
• No — not in the next 90 days

Question 3 of 5

Have you closed a new funding round in the last 12 months?

Includes SAFE notes, convertible notes, and priced equity rounds.

• Yes — a priced equity round (Seed, Series A, etc.)
• Yes — SAFE notes or convertible notes
• No new funding in the last 12 months

Question 4 of 5

Has any of this happened in the last 6 months?

Select the most significant one if multiple apply.

• Received an acquisition offer or term sheet
• Significant revenue change (up or down 25%+)
• Hired or about to hire a key executive with equity
• None of these

Question 5 of 5

What stage is your company at?

Helps tailor the next steps and pricing context.

• Pre-seed (first angel / friends & family round)
• Seed ($2M–$10M raised)
• Series A ($10M+ raised)

Why this result

Educational guidance only — not legal or tax advice. Talk to your attorney or a qualified 409A provider before making grant decisions.

Disclaimer

This tool is for informational purposes only. Results are based on estimations and publicly available data and do not constitute legal, tax, or financial advice. For guidance specific to your situation, consult a qualified professional.

Why missing a 409A trigger is a bigger deal than most founders think

Issuing options with a stale or non-existent 409A valuation can expose your employees to unexpected tax liabilities under Section 409A of the IRS code. Companies commonly obtain a fresh 409A after a funding round, material event, or 12 months from their last valuation, but the specific triggers can be easy to miss in the rush of building a company. This tool helps you quickly check whether any of those triggers apply to your situation.