Top 409A Valuation Providers Compared: Why Pulley Stands Out

CFOs are facing increased scrutiny over private company valuations, as non-compliant valuations can trigger a 20 percent penalty tax on deferred compensation and higher interest on back taxes. As markets remain volatile and fundraising terms shift, choosing the right valuation partner has never been more critical.

Few providers can adapt to the evolving funding-stage requirements of startups or withstand audit scrutiny. We’ll compare leading 409A valuation services according to pricing transparency, audit readiness, and stage-specific experience. We also break down how Pulley supports finance leaders with defensible valuations grounded in deep equity expertise.

What to prioritize in a 409A valuation provider 

Getting your 409A valuation wrong can trigger tax penalties for both your company and employees. Here’s what to look for when evaluating providers:

• IRS compliance: Your provider should follow the safe harbor rules outlined in Section 409A to reduce audit risk and protect your equity grants from penalties.
• Stage-fit expertise: Early- and late-stage startups have very different valuation needs. Choose a firm that understands your stage and future trajectory.
• Speed and cost: Look for fast turnaround times and pricing that reflects the complexity of your business. Some firms offer flat fees, while others charge based on your company's stage or valuation tiers.
• Audit readiness: Ask what their audit support includes and how detailed the 409A report will be for board and IRS scrutiny.
• Industry benchmarking: The best providers use real market data, not one-size-fits-all benchmarks, to align your valuation with your industry, growth, and the broader economy.

Valuation is not just the number, but the process behind it. The best providers make their methods transparent, defensible, and tailored to your stage.

Seven 409A valuation providers to consider

As more firms enter the 409A valuation space, it’s harder to discern the fundamental differences without a closer look. We’ve reviewed seven well-known providers to show what they offer, where they’re a good fit, and what founders and finance teams should consider before making a choice.

Pulley

Pulley offers 409A valuations as part of its Growth plan rather than a standalone service. This integrated approach is a core advantage for CFOs. Since accurate valuations rely on up-to-date cap tables and equity data, managing both in one place reduces errors. It also eliminates duplicate work and streamlines the audit process. 

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Pulley’s sample cap table overview for 409A valuation (Source)

Pricing is transparent and bundled into Pulley’s Growth plan, which starts at $3,500 per year. There are no hidden fees or upcharges for the valuation itself, making it easier for CFOs to plan. Pulley’s bundled model offers predictability while avoiding the à la carte costs often found with traditional providers.

Best for: Startups from Seed to late growth stage that need fast, defensible 409A valuations alongside cap table management

Pros: Fast turnaround, built-in audit support, no added cost for valuations, 100 percent audit pass rate

Cons: Not available as a standalone service, but switching and onboarding to Pulley’s cap table platform can be done quickly

Aranca

Aranca provides in-depth 409A valuations through a traditional consulting model, with a focus on audit defensibility and detailed business valuation. Later-stage startups and companies preparing for M&A or IPO often choose the firm. Its conservative documentation makes it a strong fit for high-stakes financial events.

While their process is thorough, turnaround times can be slower compared to startup-focused platforms. Pricing typically starts around $1,299 and increases based on complexity, number of scenarios, or additional support needs.

Best for: Later-stage startups or companies preparing for M&A, IPO, or external audit

Pros: Strong documentation, conservative approach, well-regarded by auditors

Cons: Slower turnaround, less adaptable for early-stage startups, higher pricing for complex cap tables

Carta

Carta includes 409A valuations as part of its equity management platform, making it a convenient option for early-stage startups already using the tool. Conversely, its reliance on a guideline transaction method means edge-case structures might fall outside its optimized template.

Turnaround is typically fast, but more complex scenarios may require extra time or off-platform support. Because the platform bundles valuations into broader pricing, non-customers often find it hard to determine exact costs.

Best for: Early-stage startups with straightforward cap tables already using Carta

Pros: Fast turnaround, bundled with equity platform, widely adopted

Cons: Less flexibility for complex situations, limited transparency on pricing, support varies by plan

Shareworks (Morgan Stanley)

Shareworks provides 409A valuations as part of its enterprise equity management platform, built with public-company governance, financial reporting, and audit standards in mind. The service is best suited for late-stage or pre-IPO companies with complex ownership structures and formal audit requirements. 

Sharework’s reports are detailed and conservative, and the process emphasizes compliance and documentation over speed. But startups may find the experience slow and less flexible compared to startup-focused platforms. Support can also feel more hands-off unless you’re in a higher pricing tier.

Additionally, Shareworks typically bundles valuation pricing into its contracts, making it harder to isolate or compare costs up front.

Best for: Late-stage startups or companies preparing for IPO and audit scrutiny

Pros: High audit defensibility, detailed reporting, trusted brand

Cons: Slower turnaround, enterprise-focused experience, limited pricing transparency

Kruze Consulting

Kruze Consulting offers 409A valuations as part of its broader accounting and outsourced CFO services for startups. It’s a convenient option for early-stage companies already using Kruze for bookkeeping or fundraising support. Their valuation process is generally fast, and the firm is familiar with startup-specific cap table structures, especially for companies using Pulley or Carta.

But because 409A valuations are part of a larger services bundle, the experience may feel less flexible for companies seeking a standalone or highly tailored process. Some startups report that support is more generalized compared to dedicated valuation firms.

Kruze starts pricing around $2,000, but it adjusts the final cost based on your company's status and the services included.

Best for: Early-stage startups already using Kruze for accounting or finance

Pros: Fast process, startup expertise, bundled support

Cons: Less flexible as a standalone option, pricing depends on broader engagement

Andersen

Andersen is a national tax and advisory firm that provides 409A valuations with a focus on audit defensibility and regulatory compliance. Its process is conservative and documentation-heavy, which may appeal to late-stage companies, especially those preparing for IPO or M&A—or facing board or audit scrutiny.

The trade-off is speed and flexibility. Andersen follows a traditional consulting model, which often means longer timelines, more overhead, and less responsiveness to startup-specific cap table nuances. Its services are built for audit defensibility and board-level scrutiny, which often align with higher-end pricing of $5,000+, especially for complex or pre‑IPO companies.

As a result, Andersen’s service may not be ideal for companies operating on aggressive fundraising timelines.

Best for: Late-stage companies with formal audit requirements or upcoming exits

Pros: Strong audit defensibility, conservative approach, established brand

Cons: Slower process, likely higher cost, less flexible for startups

Scalar

Scalar is an independent valuation firm known for handling complex 409A cases, particularly for growth- and late-stage startups. The company focuses on tailored valuation solutions, providing expertise for companies navigating complex equity structures.

While Scalar excels at complex, one-off valuations, its model may be less suitable for founders who prioritize a proactive, software-driven approach to cap table management.

Best for: Growth- and late-stage startups requiring deep expertise for complex valuations

Pros: Deep experience with complex scenarios, trusted legacy brand

Cons: Service quality and responsiveness may vary based on engagement scope

No single provider is right for everyone. But by understanding how these firms compare, you can choose one that matches your stage, timeline, and audit needs.

How 409A needs differ by company stage 

409A valuation needs can vary widely depending on where a company is in its journey. A seed-stage startup, for example, has very different priorities than one preparing for an IPO. Your valuation strategy should evolve accordingly.

Early on, speed and cost are often the most significant concerns. Founders are navigating changing cap tables, SAFEs, or convertible notes, and they need a defensible number to move forward. If the valuation meets a basic level of scrutiny, lightweight or bundled services can be a practical fit.

As companies move into Series A and beyond, the process becomes more demanding. New funding rounds reshape the equity story, and audit expectations start to rise. Finance teams at this stage should focus on accurate inputs, clear documentation, and a responsive valuation partner.

Not surprisingly, late-stage companies face the highest scrutiny. IPOs, M&A deals, or large secondary events bring added pressure from legal, audit, and tax teams. These valuations often require longer lead times and more extensive documentation.

Choosing the right provider for your stage is critical. A fast, bundled solution may be ideal at Seed, but as complexity grows, so does the need for defensibility and depth. This table shows how each stage differs.

409A valuation FAQs 

Here’s what founders and finance teams most often want to know about 409A valuations.

How often should you refresh your 409A valuation?

Most companies refresh their financial statements every 12 months or after a material event, such as a fundraising round, a major acquisition, signing a strategic customer, establishing a stock plan to issue new equity, or shifting market conditions. Staying current protects safe harbor status and keeps grants defensible. Fast-growing startups may need more frequent updates to reflect shifting valuations.

How long do 409A valuations take?

Simple cases can wrap in five to seven days; complex valuations may take up to three weeks. Concerns like new funding or multiple share classes add time. Some providers offer rush options, but teams should never compromise audit quality or adherence to IRS regulations.

How much do 409A valuations cost?

Prices range from $2,000 to $5,000+, depending on complexity. Some platforms bundle valuations with cap table tools. Providers usually scale costs based on stage, documentation needs, and number of share classes, so clarify what they include before you choose.

Can you switch 409A providers mid-year?

Yes, but mid-cycle switches are rare unless issues arise. They can introduce inconsistencies in valuation methods or timing. When changing providers, ensure the new firm can review prior reports and align with your current documentation standards.

Why do finance teams choose Pulley, from seed to growth?

409A valuations are the foundation for issuing stock options or other equity. They help you set fair strike prices, maintain safe harbor, and stay audit-ready as your company grows. For finance leaders, getting them right means smoother audits and greater confidence when raising or hiring.

Pulley stands out by integrating 409A valuations into its broader equity management platform. That means fewer vendors to manage, less manual back-and-forth, and more time for strategic finance work. From fundraising prep to untangling legacy SAFEs, Pulley gives you the tools to stay accurate, efficient, and audit-ready.

Pulley’s 409A advantages:

• Fast turnaround: Most valuations complete in three business days, even for complex cap tables
• Audit-ready reports: Fully annotated, with examinable formulas, supporting auditors and IRS reviews—100 percent audit pass rate
• Transparent pricing: Growth plan bundles valuations with no hidden fees
• Migration support: Dedicated help moving off spreadsheets or legacy platforms
• Cap table integration: Valuation inputs stay up to date automatically, reducing errors
• Responsive support: Real experts, not just templates or chatbots
• Built for startups: Designed for fast-moving teams with evolving equity structures

If you're ready to simplify your next valuation and stay confident through audits, Pulley can help. Book a demo to see how Pulley makes 409A valuations painless.

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