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How about 409A valuations for those who've bootstrapped?

(You probably know what it is, but for non-founders or others who haven't been through it - https://carta.com/blog/what-is-a-409a-valuation/)

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Aren't 409A valuations significantly lower than VC valuations for the same company? So wouldn't bootstrapped companies be at a disadvantage by having to use a lower 409A while VC companies get to use the higher VC valuation?

edit: I see, bootstrapped is their own pool so the two valuations never get compered against each other.

Does mean there's potentially more unforeseen upside from an acquisition exit though. I wonder if that might make the bootstrapped pool a more attractive pool to be a part of.

It is the only way to go for bootstrapped companies. There is a pool for bootstrapped companies

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