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What’s a Fair 409A Discount?

VC Adventure

Most boards did some level of work to determine the FMV of a company’s stock but generally options were priced between 10% and 15% of a company’s then preferred price (because common equity sits behind preferred equity there is typically a discount applied to the FMV of common stock to account for this “overhang”).

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How Startup Valuations are Driving Company Equity

ReadWriteStart

With the rise of startups and growing businesses , it has become more critical for investors to have a thorough understanding of equity to be aware of all of the advantages they are receiving from the companies they have invested in. What is Company Equity? Types of equity. Common stock. The selection of Senior Officers.

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On Supercities, Economic Growth, and Income Inequality in a Post-COVID World

Ben's Blog

As companies and cities wrestle with the future of work, future of cities, and future of tech made possible in a post-COVID future, the question is whether it also impacts — and presents an opportunity to address — one of the greatest problems of our time: the unequal distribution of economic opportunity across the United States.

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Encouraging the right type of innovation

The Equity Kicker

and of efficiency innovation: [Efficiency innovations] reduce the cost of making and distributing existing products and services. What is needed is a longer term perspective allowing investment in empowering innovations which create jobs. The Ford Model T was an empowering innovation, as was the Sony transistor radio.

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5 Critical Tips to Reduce Your Business Taxes This Year [WEBINAR]

Up and Running

The advantage there is that we can designate part of their net profit that they can distribute to the owner as either tax-free distributions, or as owner salary. Well, then you could probably look at me and say, “Hey, Ryan, why don’t we send it all through distributions? Then we don’t have to pay payroll tax.”

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