Private Capital Engine
Web-based solution for rapid valuationof complex capital structures
- Instant Option Pricing Model (OPM) Backsolve evaluations according to International Private Equity and Venture Capital Valuation (IPEV)/American Institute of Certified Public Accountants (AICPA) guidelines
- Real-time scenarios & exit waterfall simulations
- Automated, audit-proof reports at the touch of a button
Fast and accurate evaluation of complex capital structures
The valuation of complex capital structures and individual share classes poses considerable challenges for companies. Traditional spreadsheet models are time-consuming, error-prone and require in-depth expertise in option pricing theory. Conventional methods reach their limits, especially in the case of start-ups with multi-level shareholding structures.This is where our web-based valuation solution comes in: The Private Capital Engine shows how much a company is worth and who would receive how much under different scenarios. Our valuation tool replaces error-prone spreadsheets with reliable results and generates professional reports that are immediately available for download. The PwC solution was developed specifically for start-ups and complex ownership structures, providing users with fair and consistent results for all types of investor shares.
Benefits
10x
Faster evaluations
Get instant results instead of weeks of Excel work. The Private Capital Engine delivers accurate valuation results in seconds. With the clear OPM Backsolve valuation approach, all share classes are valued simultaneously in our easy-to-use web app. Scenarios update in real time and immediately reflect your changes, allowing you to make informed decisions quickly.
0%
Error rate
With its automated processing of complex capital structures and intuitive user interface, Private Capital Engine replaces slow, error-prone spreadsheets and delivers accurate results when evaluating your capital structure. This completely eliminates calculation errors.
360°
cap table coverage
All equity instruments and share classes are valued simultaneously. Our web-based valuation software simulates payout waterfalls for full transparency regarding distribution in the event of exits and financing events. The Private Capital Engine is modularly expandable – for example, to include accounting workflows (e.g. IFRS 2/ASC 718), tax processes and transaction-based fair value analyses. In addition, further capital instruments such as SHLs, convertible bonds and SAFEs will be available in the future.
100%
Compliance
The solution follows market-driven valuation parameters and the recognised International Private Equity and Venture Capital Valuation (IPEV) and American Institute of Certified Public Accountants (AICPA) guidelines – for audit-proof and transparent valuations and maximum audit security. The automatically generated reports are immediately available for download and distribution to those responsible for audit, tax and transaction processes.
Precise capital evaluations in four steps
Private Capital Engine combines OPM Backsolve with state-of-the-art technology for instant, methodologically sound start-up valuation. From waterfall modelling to exit simulation, evaluate your risk capital and private equity within an intuitive web app.
01
Capturing complex capital structures and cap table modelling
Record your capital structure with all share classes, preferential rights and financing rounds in the intuitive user interface of our start-up valuation tool. The Private Capital Engine even processes multi-level waterfall models and automatically allocates equity to the various instruments – without error-prone Excel spreadsheets.
02
OPM Backsolve evaluation
Our web-based valuation software applies the two-stage OPM Backsolve methodology: first, the company's total capital is allocated to all equity instruments. Backsolve then makes adjustments so that the current share price corresponds to the price paid and thus also to the IPEV and AICPA guidelines.
03
Simulation and analysis of exit scenarios
The cap table waterfall model makes payout structures transparent and comprehensible. Simulate exit waterfalls in real time and immediately see how proceeds are distributed across different instruments and who receives what share under different exit values. You can change your assumptions at any time and simulate new scenarios in a matter of seconds.
04
Automatic generation of compliant reports
Export automatically generated, professional reports for documentation and stakeholder communication. The results are auditable and support your compliance requirements for IFRS 2, ASC 718, tax cascades and transaction analyses.
