Your 409A and your cap table are more connected than you think

A quick one for founders who are actively granting options:

Part of your 409A valuation is built from your cap table. If your cap table has errors, your valuation is working from bad inputs. That risk carries through to every option grant you price from it. It’s worth keeping both current.

Here’s how to stay on top of it in Carta:

Review your cap table for accuracy
Before requesting a new valuation, make sure all issued shares, convertible instruments, and option grants are correctly recorded.

Request a 409A refresh
Go to Compliance & Tax to initiate or refresh your 409A. In the US, it’s generally valid for up to 12 months, unless a material event occurs like a new financing round.

Grant options with confidence
Once your 409A is current, any grants you issue in Carta will reflect a defensible fair market value.