Sellers · Enterprise Value Index™
Your score,before a buyer's.
The Enterprise Value Index scores your company on the dimensions a buyer's diligence team weights, and shows which ones move the price. Fitted for software, including how the team is structured, classified and paid.
Six desks open, all in healthcare software
How it works
- 01
Share the records.
Financials, customer and contract data, and the team roster, through a confidential request list.
- 02
We score each dimension.
Every score tied to a document, with human review and judgment at every step.
- 03
You see what moves it.
The dimensions that raise or lower the price, in the order worth fixing.
Fitted for software
The points that matter most in a software deal.
The index scores the dimensions a buyer's diligence team weights. For software companies, it adds these.
Recurring revenue and retention
How much revenue renews, how much grows inside existing customers, and what the contracts say.
1099 and W-2 structure
How the development and support team is classified and paid, what they own, and the exposure a buyer will price.
Product and code ownership
Who wrote the code, who owns it, and what depends on outside contractors or licenses.
AI exposure and AI cost
Where AI strengthens the product, where it could substitute for it, and what AI features cost to serve.
Owner dependence
Who runs the company day to day, and what happens to it if the owner steps back.
Customer concentration
How much revenue rides on a few customers, and on what terms.
Not a valuation
A number, and the reasons behind it.
| A valuation | The Enterprise Value Index |
|---|---|
| A number. | A score for each dimension a buyer weights. |
| Based on what you report. | Based on what your documents support. |
| Read once. | Scored again after each fix, so you see what moved. |
What you receive
Every score tied to a document.
- A score for each dimension, with the documents behind it
- The findings a buyer would raise, ranked by what they do to price
- A plan in order: what to fix first
- A second score after the work, so the change is on the record
Questions
What owners ask first.
Is this a valuation?
No. It shows what supports a valuation and what weakens it. For a valuation range, see the Pre-Market Assessment.
Is this an audit or a quality of earnings?
No. It is not an audit or an attest engagement. When a buyer or lender needs a quality of earnings, independent, licensed certified public accountants perform it.
Why 1099 and W-2?
Many software companies rely on contractors for development and support. A buyer will ask how they are classified, what they own, and what happens to them after close.
How is the score built?
From your documents, scored against the dimensions buyers weight, with human review at every step. The scoring method stays with Capital Row.