The complex process of valuation — determining the current worth of a private startup or its securities – has been disrupted by a breakthrough cloud-based software platform from Israeli financial-tech startup AlgoValue. Built by former PricewaterhouseCoopers valuation experts Raphael Meyara and Tsachi Hageg, AlgoValue’s SaaS (Software as a Service) platform streamlines valuation assessments (as well as audits and simulations) for the range of professionals who generate these reports: CFOs of private companies, accountants, valuation experts, venture capitalists, angel investors and lawyers.

Standard processes and tools for valuation are expensive, time-consuming and prone to error, Meyara tells ISRAEL21c. “When we worked for PricewaterhouseCoopers, we were struck by the bitter disappointment experienced by both investors and entrepreneurs when they witnessed the painful gap between the sums they thought they would receive from a particular venture, and what they actually obtained,” Meyara says. “As a result, we developed a breakthrough one-stop-shop cloud-based platform, which is going to change the way valuations are performed and set a new standard for valuations and related added-value services.”

Studies by AlgoValue have shown that the software has not only simplified valuations, but improved margins by as much as 80 percent, while avoiding the mistakes that occur in Excel-based valuations, Meyara says. The company has enjoyed a rapid rise in usership. “Today we have more than 100 clients using the platform and we’ve only been marketing it for a year and a half. We have significant market penetration in the US, Israel and other locations including South America,” says Meyara. “We have many of the top 100 CPA firms and accounting firms in the US using our product.” (via Israel21c)

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