Equity Award Valuation Policy

This sample policy provides an overview of procedures organizations should perform during the equity award valuation process.

Sample procedures in this policy include the senior accountant receiving the grant lists from legal; reviewing the grant lists to determine whether the awards need fair value calculations; emailing the grant details, including the grant agreement, to the third-party valuation company for the grants that require fair value calculations; receiving a draft valuation report and related assumptions from the third-party valuation company; and tying out the assumptions used in the valuation report in accordance with the client policy.