Strike Price

An essential overview of 409A valuations, explaining how they set stock option prices and protect startups and employees from IRS tax penalties.

This article defines exercise price in startup equity, explaining how it functions within stock option grants and its relationship to fair market value and potential profit.

Fair Market Value determines the price of your common stock for tax purposes. It is critical for issuing options and differs significantly from your venture capital valuation.

Warrant coverage is the percentage of a loan value issued as options to a lender. It acts as an equity sweetener in venture debt deals to lower immediate interest rates.