Software valuation – determine the value of systems and applications
What does software valuation involve?
Software valuation is the process of determining the market value of an application, IT system or software-as-a-service (SaaS) as an intangible asset. Software – whether sold, licensed or used internally – can constitute a significant part of a company’s value.
Software valuations are essential for contributions in kind, capital transactions, mergers and acquisitions, as well as for tax, accounting and investment purposes.
When is it worth valuing software?
- when contributing software as a contribution in kind to a company,
- when selling or purchasing rights to an application or system,
- in mergers and acquisitions (M&A) where the software is a significant component,
- before securing funding from an investor,
- in financial reporting – as an intangible asset,
- in legal disputes concerning the ownership or value of the software.
Who should commission a software valuation?
- technology startups developing their own tools or platforms,
- IT companies with ERP, CRM, BI, mobile applications or SaaS systems,
- companies undergoing restructuring or making IP contributions,
- investors and venture capital funds,
- finance and accounting departments preparing balance sheets or financial statements,
- law firms and court-appointed experts involved in IP cases.
What does the software valuation process involve?
As part of the service:
- we analyse legal and technical documentation, including source code, licences and copyright,
- we identify the party entitled to be valued, i.e. the rights holder,
- we select the appropriate valuation method:
- income-based (DCF) – if the system generates revenue or impacts profitability,
- cost-based – when the system is at an early stage of development,
- comparative – if it is possible to refer to market transactions,
- we analyse the commercial potential, stage of development and scalability,
- we prepare a professional software valuation report meeting formal requirements.
Why should you use our support in software valuation?
We specialise in professional software and intangible asset valuations, supporting companies from the IT, SaaS, e-commerce and medtech sectors in transactions, contributions in kind and reorganisations. Our valuations comply with recognised accounting standards and provide reliable data required by investors, auditors and tax authorities.
- Specialisation in the valuation of intangible assets (IP) – covering trademarks, brands, licences and know-how
- Industry experience – we carry out valuations for companies in IT, SaaS, e-commerce, medtech and other innovative sectors
- Compliance with IAS/IFRS and the Polish Accounting Act – we use recognised valuation methods, ensuring compliance with accounting regulations
- Transparent and professional reports – documents ready for presentation to auditors, investors and tax authorities
- Support for transactions and reorganisations – we advise on M&A transactions, contributions in kind, restructurings and reorganisation processes
Thanks to our experience, software valuation becomes a tool supporting strategic business and investment decisions.
Benefits of software valuation
- determining the real value of software – e.g. a mobile application or software as a service (SaaS),
- the ability to recognise software as an asset on the balance sheet,
- preparation for discussions with an investor or business partner,
- documentation required for a contribution in kind,
- enhancing credibility with auditors, banks and shareholders.
Our experience
We have carried out valuations, among others, for:
- startups developing B2B and B2C solutions, including applications and SaaS,
- software houses offering ERP systems and bespoke applications,
- companies contributing software as a contribution in kind to a new structure,
- projects involving the acquisition of IT companies with technological assets,
- clients preparing for a sale or VC investment.
Valuations took into account, among other things, the value of source code, user bases, technical documentation, interfaces, APIs and unique solutions.
FAQ
What does software valuation involve?
It is the process of determining the value of a system or application, taking into account its commercial potential and legal protection.
Can software be contributed to a company?
Yes – if the owner holds the copyright to the source code, they may contribute the software as a contribution in kind, which requires a valuation.
Does the valuation only take the source code into account?
No – the valuation also covers documentation, know-how, the business model, integrations, UI/UX and other elements that influence value.
How long does a software valuation take?
Usually between 1 and 3 weeks, depending on the complexity of the solution and the purpose of the valuation, such as a contribution in kind, transaction or balance sheet purpose.
Is the valuation report sufficient for tax or accounting purposes?
Yes – the report is prepared to meet documentation requirements and support discussions with auditors and tax authorities.
Do you need a software valuation?
Contact us – we will prepare a professional valuation of software, including applications, SaaS and IT systems, in accordance with current valuation standards, accounting standards and tax regulations.