Common Stock / Equity Compensation (FASB 718)

Companies that grant stock options or other equity-based compensation to employees are required under FASB ASC 718 to measure and report the fair value of those awards. Cogent Valuation has performed hundreds of common stock and equity compensation valuations for private companies across virtually every industry, including complex capital structures involving multiple share classes, warrants, and convertible instruments. Our analyses utilize the appropriate valuation methodologies — including option pricing models, probability-weighted expected return methods, and current value methods — and are prepared in accordance with the AICPA's guidance on valuation of privately held company equity securities. Our work has been reviewed and accepted by all major audit firms.