Eton has been the gold standard in business valuations since 2010. Our audit-ready 409A valuation services are trusted by 1,000s of fast-growing startups each year—feel confident in yours with decades of experience behind you.
A 409A valuation sets the fair market value (FMV) strike price of your common stock.
Under IRC 409A, all companies that offer stock options to employees and stakeholders have a legal requirement to receive a 409A valuation annually, or upon experiencing a material event.
Since 2010, Eton has delivered thousands of audit-ready 409A valuations to startups like Perplexity, Substack, and Pinterest.
We’re a small team of Stanford Law lawyers and Ex-Big 4 Consultants that provide accurate, compliant 409A reports with excellent customer service.
Eton's sole focus on valuation and valuation advisory ensures impartial, objective judgments, maintaining compliance with IRS regulations and safe harbor protection.
Our team of experienced experts uses a combination of proven methods and proprietary tools to deliver data-driven valuations, considering each company's financial performance, financing history, market trends, and comparable public and private companies.
Since 2010, Eton has performed thousands of independent, audit-defensible valuations, establishing itself as a "go-to" valuation services firm for IRC 409A and ASC 718. Clients include: Perplexity, Pinterest, Substack, and more.
Founded by securities lawyers from top law schools / law firms and staffed with finance professionals trained by the Big Four and other prominent financial services firms, Eton brings intellectual and quantitative rigor unmatched by others.
Eton works with many Attivo Partners clients and we are confident introducing Eton to our clients for their valuation needs. Eton is easy to work with, process oriented and reasonably priced. Eton listens to what our client needs, understands their business model, and provides a level and ease of communication that is rare among valuation firms. Eton’s old-school approach to customer service is refreshing! 
The team at Eton is fantastic! Those guys cut their teeth as securities lawyers at premier firms in Silicon Valley so no matter how complex a situation we have presented to them, they are quick on the uptake, and they quickly produce great work. Plus, I can talk to the founder of the firm by simply picking up the phone. Eton truly exceeds our expectations! 
As a firm, Kruze Consulting is extremely confident in introducing Eton to our clients for valuation work. Eton is super responsive, reasonably priced, and they take customer service to impressive levels. Eton is a great partner for us and the companies we work with! 
Working with Eton has been a fantastic experience, and they have been a great partner of ours. The team provides us with well-priced services, delivers quickly and is very responsive to our requests and questions, whether those communications are from our board of directors, our outside counsel, or from our financial statement auditors. 
Our 409a valuation services take 10 days as standard. However, when needed, we can do it in as little as one day.
There are lots of 409A valuation providers out there, so why choose us? That’s a great question.
Here are a few reasons to choose Eton:
To remain compliant of IRC 409A, you must get a 409A valuation either every 12 months or whenever a material event, like a funding round occurs. Your valuations must also meet safe harbor requirements.
Early-stage startups should perform their first 409A valuation before granting any stock options to employees or other stakeholders.
By obtaining an accurate 409A valuation before issuing stock options, startups can ensure compliance with IRS regulations and minimize the risk of tax penalties.
Startups should also update their 409A valuations at least once every 12 months or more frequently if there are significant changes in the company’s circumstances or market conditions. Read about our 409a valuation process here.
Eton is the top 409A valuation provider in the USA according to G2. We’re a lean team, dedicated to excellent customer service and long-term client relationships.
Other 409A valuation providers:
Kruze Consulting provides audit-ready 409A valuations, starting at $2,000 for seed stage startups. At Eton, we regularly work with Kruze clients and have a good relationship with their team.
Carta is a prominent provider of cap table software, with some of their higher-priced plans including a 409A valuation as part of the package. While these bundles can be costly, they come with a range of additional cap table management features. Typically, the cost increases by about $120 to $130 per stakeholder (such as employees, investors, or any stockholders).
Non-compliance with 409A valuation regulations can result in significant tax penalties for both the company and its employees.
If the IRS determines that the exercise price of stock options is below the fair market value, employees may face immediate taxation on their options, plus a 20% additional tax, and potential interest charges. Companies may also face penalties for not properly withholding taxes and reporting non-compliant options.
Achieving safe harbor by using a legitimate third-partly 409A valuation provider greatly reduces the risk of IRS scrutiny.
Read our 9-point 409A compliance checklist here.
Our 409A valuation services typically cost anywhere from $2500 to $4000.
Where you fall in that range will depend on the complexity of your startup’s funding stage and the turn-around time required.
Read our full article on this topic here.
