VALUATIONS & STOCK COMP
409A tracking software for the whole FMV lifecycle
Record every 409A or FMV valuation, recalculate grants when it changes, roll a recalc back, and get alerted before a valuation lapses, with ASC 718 stock-comp expense posted straight to the Vinance general ledger. One thing up front: Vquity does not perform the valuation. You bring the FMV from your valuation provider; Vquity manages everything that happens after.
FMV lifecycle tracking
Every valuation on record, with recalc, rollback, and a full audit trail.
Record each 409A valuation with its FMV, methodology, and effective window, with safe-harbor context alongside. When a new FMV lands, recalculate the option grants it affects; if a recalc turns out to be wrong, roll it back. Nothing is overwritten silently. Every recalculation and rollback is kept in an audit history, so the valuation record can explain itself to an auditor.
- FMV, methodology, and effective dates on every valuation record
- Recalculate affected grants when the FMV changes, and roll the recalc back if needed
- Every recalc and rollback lands in the audit history, next to the record it changed
ASC 718 stock comp
Black-Scholes expense from your actual grants, posted to the ledger.
Stock-comp expense is a real line on the P&L that most startups compute once a year, badly, in a spreadsheet handed to the auditors. Vquity prices your recorded grants with a Black-Scholes model, produces the ASC 718 expense schedule, and exports the journal postings, directly to mapped accounts in the Vinance general ledger if you use it.
- Prices the grants already in your cap table, not a copy you re-key into a model
- Produces the ASC 718 expense schedule your auditors actually ask for
- Posts entries straight to the Vinance general ledger, no CSV re-keying between systems
Beyond the record
Built so a valuation never quietly lapses.
The valuation itself is a point-in-time opinion. The risk lives in the months after, and that is what the software watches.
Expiry alerts
Scheduled sweeps watch every valuation's effective window and flag the ones approaching their end, posting to the notification center before the lapse, so the conversation with your valuation provider starts weeks early, not the morning of a grant.
Region-correct labels
A Delaware C-Corp records a 409A Valuation; a UK Ltd records an FMV Assessment; an Indian Pvt Ltd records a Valuation Report. Pick your region profile and the whole module speaks your market's language: same lifecycle, correct terminology.
Wired to your grants
Each option grant carries its FMV context, so when a valuation changes, the recalculation reaches the exact grants it affects, and the grant lifecycle keeps the before-and-after on record.
You bring the valuation. Vquity runs everything after.
It is worth being precise about the division of labor, because vendors in this category often blur it. A 409A valuation, or its regional equivalent, is a professional opinion produced by a valuation provider at a point in time. Some platforms bundle that service; Vquity deliberately does not. What Vquity provides is the system of record around the opinion: where the FMV lives, which grants it prices, what happened when it changed, and how long it has left.
That split matters because the expensive failures are rarely in the valuation itself. They are in the lifecycle. Options granted three weeks after the valuation lapsed. A recalculation applied to the wrong grants and never documented. A board approving strikes against an FMV nobody can produce the report for. Those are records-and-alerts problems, and records and alerts are what 409A tracking software is for.
The signed valuation report itself belongs in your Data Room, classified with the rest of your diligence documents. The valuation record in this module and the document that supports it stay one product apart, not one vendor apart.
Why the lifecycle is where the risk lives
Granting options against a stale or missing valuation creates real tax exposure for the employees who hold them and for the company that issued them. In the US, the working convention is that a 409A valuation supports safe-harbor reliance for at most twelve months, less if a material event, like a priced round, intervenes. That deadline fails silently: nothing in a spreadsheet turns red at month eleven.
Vquity's expiry sweeps make the deadline loud. Every valuation's effective window is watched, and approaching expiries post to the notification center with time to act. Combined with the recalc-and-rollback history, the result is a record you can hand to counsel: every FMV, its window, every grant priced against it, and every change with its own audit entry. The mechanics of how these valuations work, and why boards care about safe harbor, are covered in the Academy's valuations and 409A lesson.
Worked example: one grant, four quarters of expense
A new hire receives 40,000 options at a $0.42 strike, matching the current FMV. Black-Scholes prices the option at $0.19, so the grant-date fair value is 40,000 × $0.19 = $7,600. Vesting over four years, that is $1,900 of ASC 718 expense per year, $475 per quarter, recognized on a schedule Vquity generates from the grant's actual terms. Each period's entry (debit stock-comp expense, credit additional paid-in capital) posts to the mapped Vinance accounts. When the auditors ask how the number was built, the answer is the schedule, not a spreadsheet reconstruction.
One system from valuation to journal entry
The reason to run this in your cap-table platform rather than a standalone calculator is continuity. The FMV that prices a grant is the same record the expiry sweep watches; the grants the expense model prices are the same grants in the vesting ledger; and the audit history that logs a recalc sits beside the trigger-enforced audit trail on the compliance side of the product. In a standalone tool, each of those handoffs is an export, and every export is a place for the numbers to drift.
The fastest way to see the lifecycle end to end is the seeded sample company in the app: Northwind Robotics ships with a 409A on record and live grants priced against it, with dates anchored to today so the expiry countdown is real.
Frequently asked questions
Does Vquity provide 409A valuations?
No, and we say so deliberately. Vquity is a 409A/FMV tracking tool: it records the valuation you bring from your valuation provider, manages recalculation and rollback with a full audit history, and alerts you before a valuation expires. If you need the valuation itself delivered as a service, that comes from a provider; Vquity is the system of record around it.
What happens when a valuation is about to expire?
Scheduled expiry sweeps watch every valuation's effective window and flag the ones approaching their end, posting alerts to the notification center before the lapse. That gives you weeks to engage your valuation provider, instead of discovering a stale FMV the day you need to price a new grant.
Can I undo a recalculation?
Yes. When an FMV changes you recalculate the affected grants, and if the recalc was wrong (bad input, wrong scope), you roll it back. Every recalculation and rollback is kept in the audit history, so the record shows what changed, when, and what it was before.
What if my company isn't US-based and doesn't use the term 409A?
The module follows your region profile. A US company records a 409A Valuation; a UK/EU company records an FMV Assessment; an Indian company records a Valuation Report, with the same lifecycle mechanics (record, recalc, rollback, expiry alerts) under whichever label your market uses. Vquity ships six region profiles: US, UK/EU, UAE, Saudi Arabia, India, and Singapore/SEA.
How does the ASC 718 expense get into my accounting system?
Vquity prices your recorded grants with a Black-Scholes model and produces the ASC 718 expense schedule, then exports the journal postings. If you use Vinance, Lisan's accounting app, the entries post directly to your mapped general-ledger accounts, so stock-comp expense never ends its life as a CSV someone re-keys.
Move your cap table off the spreadsheet.
Shareholders to SAFEs, option grants to exit modeling. One platform, priced by the company and not the head, on web and desktop.
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