Option Administration (outsourcing):

Option123 administration services provide complete solutions
to streamline everything from tracking equity plans to
preparing reports in compliance with regulators, allowing you
to concentrate on the business you know the best.

  • Manage stock option plan;
  • Prepare valuation and expense allocation reports
    using Binomial Model or Black-Scholes Option Pricing
    Model, in compliance with SEC and FASB rules and
  • Create data/reports required for SEC filings - annual
    report, 10K, 10Q and proxy;
  • Generate general and customized reports and
  • Provide assistance in answering questions from your
    independent auditors;
  • Save your time and money:
  • Help you manage your equity plan more
    efficiently and accurately;
  • Save your money - $200 per optionee with
    $3,000 minimum per annum (discount on large
    number of optionees).

For more information, please Contact us at
Option Valuation Services:

Don't want to compute EPS, calculate fair values, or
prepare disclosure report yourself? No problem! Simply fax
us the Service Request Form, and we will do all for you
within 24-48 hours with the following report:.

  • Diluted EPS calculations (following FAS 128),
  • The fair values of options,
  • Volatility calculation for public companies, and
    volatility estimation for private firms using proper
    industry indices (totalling 234 indices) or other
    methods per FAS 123 (superseded by FASB ASC
    Topic 718 - Stock Compensation);
  • Expense allocation,
  • Disclosure information for 10K and 10Q (following
    FAS 148)

Six inputs required from you (per
FAS 123 (superseded by
Topic 718 - Stock Compensation)):

  1. Exercise Price of Option
  2. Expected Life of Option
  3. Expected Annual Dividend Yield Rate (if you are
    paying dividend)
  4. Stock Price on the Option's Grant Date (optional for
    a public company)
  5. Risk-Free Rate (optional)- we will find it for you from
    reliable sources unless you want it differently
  6. Expected Volatility of Stock (optional) - we will
    generate the required volatility based on proper
    factors specified in the guidelines of FAS 123
    (superseded by FASB ASC Topic 718 ) unless you
    want us to use your own estimations.

If you request us to compute diluted EPS and prepare
disclosure report, please provide full activities of
cancellation/forfeiture and exercise for all periods.
Option123 TM  

Simple solutions for financial professionals on
complicated option valuations and beyond...
Consulting Services
Terms are subject to change without prior written notices.  Contact us via Email: service@option123.com

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license/service agreement.