# Startup 409A Valuation Estimator AI Agent Connect

> Estimates 409A Fair Market Value (FMV) for early-stage companies using revenue multiples and DLOM analysis.

## Overview
- **Category:** finance
- **Price:** Free
- **Endpoint:** https://edge.vinkius.com/vk_preview_15dV1Cz0wU9SuccLt3IaXV1JGt8NgV8RH8euJjFS/ai-agent-connect
- **Tags:** 409a, fmv, valuation, finance, startup

## Description

This MCP server provides specialized tools for determining the Fair Market Value (FMV) of common stock for private companies. It helps founders and financial analysts navigate the complexities of 409A valuations by calculating enterprise value based on revenue and growth, applying a Discount for Lack of Marketability (DLOM), and adjusting for business milestones. Use `calculate_fmv_estimate` to establish a baseline, `analyze_dlom` to determine liquidity discounts, and `get_valuation_summary` to compile final reports for stakeholders.

## Tools

### analyze_dlom
Investigates and suggests a Discount for Lack of Marketability (DLOM) based on company maturity and liquidity profile

### apply_milestone_adjustments
Adjusts the enterprise value based on qualitative business achievements or setbacks

### calculate_fmv_estimate
Provides the primary estimate of the common stock Fair Market Value per share

### get_valuation_summary
Compiles the final high-level results for reporting to stakeholders or auditors

## Prompt Examples

**Prompt:** 
```
Calculate the FMV for a seed stage company with $2M revenue, 50% growth, and a 5x multiple, with 10M shares outstanding.
```

**Response:** 
```
The estimated Fair Market Value per share is $1.00, assuming a standard DLOM application for seed stage companies.
```

**Prompt:** 
```
What is the suggested DLOM for a growth stage company that had its last funding round 24 months ago?
```

**Response:** 
```
The suggested Discount for Lack of Marketability (DLOM) is 25% based on the growth stage maturity and the 24-month liquidity gap.
```

**Prompt:** 
```
Summarize a valuation where the FMV estimate is $5.00, the DLOM is 20%, and there was a positive milestone adjustment of 10%.
```

**Response:** 
```
The final adjusted Fair Market Value per share is $4.40 after applying the 20% DLOM and the 10% milestone increase.
```

## Frequently Asked Questions

**What is a 409A valuation?**
A 409A valuation is a process used to determine the Fair Market Value of a company's common stock, which is essential for issuing employee stock options in compliance with US tax regulations.

**How does this tool handle the Discount for Lack of Marketability (DLOM)?**
The tool uses `analyze_dlom` to suggest a discount based on the company's maturity stage and the time elapsed since its last liquidity event.

**Can I adjust the valuation based on company milestones?**
Yes, you can use `apply_milestone_adjustments` to increase or decrease the enterprise value based on specific business achievements or setbacks.