Equity compensation is a key tool for motivating talent and driving growth. But managing equity plans can be complex for private and public companies alike. Equity management software provides solutions to simplify administration and reporting.
In this comprehensive guide, we’ll compare two leading options: Equity Edge and Shareworks. Exploring the pros, cons, features, and use cases of each, you’ll learn how to select the right equity management platform for your needs.
A Brief Comparison Table
| Feature | Equity Edge | Shareworks |
| Ideal Company Stage | Early to mid-stage private | Pre-IPO private to public |
| Location Focus | Canada-specific expertise | Global support |
| Pricing Model | Unlimited users, flat fee | Per user monthly fee |
| Support Model | Dedicated account manager | Tiered paid support plans |
| Onboarding | Free white-glove onboarding | Paid onboarding services |
| Integrations | Payroll, HRIS, accounting | 1,200+ via API |
| Reporting Customization | More limited | Highly customizable |
| Cap Table Management | Core strength | Enterprise-scale capabilities |
| Overall Focus | Private company equity management | Private to public equity lifecycle |
Introduction to Equity Edge and Shareworks
First, let’s briefly introduce the two platforms.
Equity Edge is a robust equity management software solution offered by Equicom. It provides cap table management, scenario modeling, equity plan administration, and reporting. Equity Edge aims to handle the full equity lifecycle for private companies.
Shareworks from Carta is another end-to-end equity software designed for both public and private companies. Along with cap table and plan management, Shareworks offers tools for valuation, dilution analysis, real-time reporting, and more.
While both platforms cater to private companies, Shareworks extends capabilities for public firms as well. But Equity Edge provides more localized support in Canada, if that’s a consideration.
Let’s delve into the details of how Equity Edge and Shareworks compare.
Also Read: Comparison Between Everlaw and DISCO
Key Differences Between Equity Edge And Shareworks
Equity management software encompasses a wide range of capabilities. Here are some of the critical features offered by Equity Edge and Shareworks:
1. Cap Table Management
- Equity Edge – Full cap table modeling, scenario analysis, and version control. Automated vesting and exercise scheduling.
- Shareworks – Flexible cap table building with automated equity plan triggers and provisions. Visualization and drill-down.
2. Waterfall Analysis
- Equity Edge – Built-in dilution analysis and waterfall charts. Scenario comparison. Dead pool aggregation.
- Shareworks – Automated waterfall analysis. Embedded charts and employee ownership insights.
3. Equity Administration
- Equity Edge – End-to-end equity plan administration and reporting. Customizable onboarding.
- Shareworks – Streamlined equity award and option issuance. Electronic acceptance and signatures.
4. Reporting and Analytics
- Equity Edge – Standard and custom reports with employee and investor views. Audit trails.
- Shareworks – Real-time reporting with 150+ standard reports. Charts and visual analytics.
5. Integrations and Security
- Equity Edge – SSO, CSV imports, and payroll integrations. Bank-level encryption.
- Shareworks – 1,200+ integrations via API. ISO 27001 and SOC 2 Type 2 certified.
As shown above, Equity Edge and Shareworks have comparable core feature sets with strengths in cap table management, plan administration, analysis, and reporting. But Shareworks extends capabilities for public companies and offers far more integrations.
Next let’s look at some unique pros and cons of each platform.
Pros and Cons Comparison
Beyond the standard features, what are some of the standout pros and cons of Equity Edge and Shareworks?
Equity Edge Pros
- Specialized support and expertise for Canadian companies
- Unlimited and transparent pricing model
- Excellent customer service and support
Equity Edge Cons
- More limited reporting customization compared to Shareworks
- Integrations not as robust as Shareworks
Shareworks Pros
- Leading platform for both private and public companies
- Massive ecosystem of integrations and partners
- Predictable per-user pricing model
Shareworks Cons
- Can be costlier for smaller companies
- Less personalized support and onboarding
Use Cases and Industries
Equity management software serves a variety of use cases across industries. Here are some of the top applications of Equity Edge and Shareworks:
Equity Edge Use Cases
- Early to mid-stage private companies
- Startups planning eventual IPO
- Canadian-based organizations
Equity Edge Industries
- Technology
- Financial services
- Manufacturing
- Professional services
Shareworks Use Cases
- Pre-IPO private companies
- Newly public and established public companies
- Companies undergoing M&A events
- Venture capital and private equity
Shareworks Industries
- Technology and software
- Life sciences
- Financial services
- Manufacturing
- And more
While there is overlap in their applicability, Equity Edge caters more to private company needs, Shareworks to public.
Integrations
No equity management solution exists in a vacuum. Seamless integrations are key to efficiency. Here are some top integrations offered:
Equity Edge Integrations
- Payroll systems like ADP
- Accounting software including QuickBooks
- HRIS platforms such as BambooHR
- Document signing via HelloSign
Shareworks Integrations
- 1,200+ integrations via API
- Top HRIS, payroll, accounting, and signing tools
- Compliance systems like Carta for 409A valuations
- Stock plan analytics and trading platforms
Shareworks clearly dominates when it comes to ecosystem integrations thanks to its API-first approach. Equity Edge still offers broad HR, finance, and signing capabilities.
Pricing Comparison
Let’s break down the pricing models for Equity Edge and Shareworks:
Equity Edge Pricing
- Unlimited user pricing
- Flat annual fee based on cap table size
- Free support and onboarding
- No hidden fees
Shareworks Pricing
- Per user, per month fee
- Four tiered plans from basic to enterprise
- Minimum fee based on plan
- Additional fees for support, integrations, etc.
Equity Edge provides more pricing transparency upfront. Shareworks offers predictable per-user pricing but fees can add up.
Ease of Use
Both Shareworks and Equity Edge aim for an intuitive user experience. Here are some ease of use considerations:
- Equity Edge – Simple, clean interface focused on core cap table management.
- Shareworks – More robust platform can have steeper learning curve, but more guided onboarding.
- Reporting – Shareworks provides more self-serve custom reporting. Equity Edge reporting requires more assistance.
- Administration – Both platforms enable self-guided equity administration after setup.
For core cap table building, modeling, and analysis, Equity Edge may provide faster proficiency. Shareworks gives employees and managers more self-service access but takes time to master.
Support and Implementation
Expert support and implementation services are crucial when rolling out an equity management solution.
Equity Edge Support
- Dedicated account manager
- Unlimited phone and email assistance
- Free onboarding and training
Shareworks Support
- Online knowledge base and documentation
- Email, chat, and phone support
- Paid onboarding and ongoing admin services
Equity Edge provides white-glove, personalized support included in platform fees. Shareworks offers tiered onboarding and support services for additional cost.
Recommendation
Analyzing the pros, cons, features, and applicable use cases makes the better choice clear in many scenarios:
- Earlier stage private companies – Equity Edge provides tailored cap table management and equity administration.
- Mature private or public companies – Shareworks scales to support complex equity plans and reporting.
- Canadian-based organizations – Equity Edge offers localized expertise.
- Budget concerns – Equity Edge has more predictable, transparent pricing.
For more complex equity compensation needs or public companies, Shareworks is likely the better pick. But for private companies, especially in Canada, Equity Edge often provides the ideal combination of features and support.
Frequently Asked Questions (FAQs)
Here are answers to some common questions about Equity Edge and Shareworks:
Equity Edge provides all-in-one equity management software for private companies. It offers cap table building, modeling, equity plan administration, compliance, and reporting in one centralized platform.
Shareworks is owned and offered by Carta, a leading provider of equity management and valuation software for private and public companies. Carta acquired Shareworks in 2021.
Shareworks is a robust end-to-end platform for equity plan administration, cap table management, compliance, valuation, and reporting. It caters to private and public companies of all stages and sizes.
Companies often choose Carta’s Shareworks for its scalability from private to public, massive integrations ecosystem, and predictive modeling capabilities. The Carta brand is also trusted in equity management.
Conclusion
Equity Edge and Shareworks both provide enterprise-grade equity compensation management. Depending on your company stage, location, budget, and feature needs – one may suit your needs better.
Taking a close look at the pros, cons, pricing, and support models of each will ensure you select the right platform.