Comparison
Business Valuation Software vs. a Written Appraisal
Business valuation software turns a financial input form into a number. BizEquity, Eqvista, ValuAdder, Equidam, and Valutico come up most often, and they differ mainly in who they were built for. Eqvista publishes tiered pricing for 409A valuations bundled with cap table management, starting at $990 per year for its pre-revenue tier (eqvista.com/pricing, checked 2026-08-04). ValuAdder sells a one-time desktop license to owners and advisors. BizEquity does not publish a price list on its public site (checked 2026-08-04). Several tools offer a free business valuation calculator as an entry point.
The distinction that decides this is not software versus people, it is what the output is allowed to be used for. Under the AICPA's Statement on Standards for Valuation Services (VS Section 100), a calculation engagement produces a calculated value using methods agreed in advance, while a valuation engagement produces a conclusion of value with full development and reporting. Filings and lending generally call for the latter from a credentialed appraiser: SBA SOP 50 10 8, effective June 1, 2025, requires an independent business valuation from a qualified source when the amount financed less the appraised value of real estate and equipment exceeds $250,000, or when buyer and seller are related. If you need a number to think with, software is fast and cheap. If someone else has to accept the number, that is a different engagement.
At a glance
| Attribute | Rubric Financial | Business Valuation Software |
|---|---|---|
| What you get | A written report with a stated standard of value, the methods used, and the supporting analysis | A computed value from the inputs you enter, in the vendor's report format |
| Use in IRS filings | Prepared for gift, estate, and related-party transactions | Vendors position these tools for planning and internal use; for filings the AICPA standard points to a valuation engagement (VS Section 100) |
| Use in SBA lending | Prepared to meet the SBA's qualified-source requirement | SBA SOP 50 10 8, effective 2025-06-01, requires an independent valuation from a qualified source above the $250,000 threshold |
| Methods | Income, market, and asset approaches, selected and reconciled for your facts | The platform's built-in methods and multiple sets |
| Normalizing adjustments | Owner compensation, related-party rent, and one-time items reviewed against the books | Whatever you enter on the input form |
| Turnaround | Weeks, depending on scope and how quickly documents arrive | Minutes to hours |
| Pricing model | Fixed engagement cost, quoted after a scoping call | Subscription or one-time license. Eqvista publishes tiers from $990/year for its pre-revenue 409A bundle; ValuAdder sells a one-time license; BizEquity does not publish pricing (all checked 2026-08-04) |
| Best for | Valuations that somebody else has to accept | Internal planning, monitoring, and first-pass estimates |
Who each is best for
Use business valuation software if
- You want a rough number for internal planning and nobody outside the company will rely on it
- You are testing scenarios or tracking value over time and want to move fast at low cost
- You are a venture-backed company whose actual need is a 409A plus cap table management, which several of these platforms are purpose-built for
- You are an advisor who wants a modelling tool in-house rather than an engagement
- You are comparing BizEquity alternatives or Eqvista alternatives for internal use rather than for a filing
- You want a first-pass estimate before deciding whether a full engagement is worth it
Commission a written appraisal if
- The number goes to the IRS: gift, estate, or a transaction between related parties
- The number goes to a lender, including an SBA 7(a) change-of-ownership loan above the SOP threshold
- The number goes into a buy-sell agreement, a partner buyout, a divorce, or a shareholder dispute
- You need a stated standard of value and documented methods, not a black-box output
- You want the analysis built by the firm that keeps your books, so owner compensation and related-party items are adjusted from the actual records
- You need someone who will explain and stand behind the conclusion when the other side questions it
Keep reading
1099-NEC
IRS form used to report payments to non-employee contractors and freelancers.
GlossaryW-2
IRS form reporting wages, tips, and tax withholding for employees.
GlossarySchedule K-1
IRS form reporting a partner's, S-corp shareholder's, or trust beneficiary's share of income, deductions, and credits.
GlossaryPassthrough Entity
A business entity that doesn't pay federal income tax; income passes through to the owners.
GuideS-corp vs. LLC for Small Business Owners
When the S-corp election actually saves money for an LLC owner, and when it costs more in headaches than it pays in taxes.
GuideK-1 Income: What It Is and How to File It
If you're a partner, S-corp shareholder, or LLC member, you'll get a K-1. Here's how to read it and where each number lands on your 1040.
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