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409A is a vital financial step adopted by other businesses as well as startups to determine the fair market value of their common stock. This value is required in the IRS Section 409A that governs the taxation of deferred pay. With the help of correct 409a valuation providers, startups can issue stock options at a price that is within reach of validating the price through legal means, and thus prevent fines and give fair equity levels to the workers and the investors.
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