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How do you set up the valuation of the company re:option agreements with employees/advisers to get exercise price per share?

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Written by Jasmine Sunga

A SAFE cap is not really a valuation, to get that you need to do a 409A. You want to get the assessor to give you a low valuation for your current state to minimize the option price.  This is unrelated to your current cap.

You can give advisors options at the founder price.....$0.00001 or some such number. We do this so that the advisor doesn't actually have to pay us to buy options. This does not involve reducing the Valuation Cap of your company. 

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