Global Equity Management Software Market Size By Type (Basic ($Under 50/Month), Senior (Above $100/Month)), By Application (Start-Ups, Private Corporation), By Geographic Scope And Forecast

Equity Management Software Market Size And Forecast

Equity Management Software Market size was valued at USD 137.46 Million in 2024 and is projected to reach USD 179.61 Million by 2031, growing at a CAGR of 3.40% from 2024 to 2031.

Increasing use of equity management software in medium and large size organization and Growing focus on employee share ownership are factors driving the market. The Global Equity Management Software Market report provides a holistic evaluation of the market. The report offers a comprehensive analysis of key segments, trends, drivers, restraints, competitive landscape, and factors that are playing a substantial role in the market.

Global Equity Management Software Market Definition

Equity management software is designed to help companies manage their equity-related tasks. It’s a tool that automates equity plan administration, cap table management, compliance reporting, electronic securities transactions, tax and accounting integration, and more. It’s a centralized platform that facilitates easier equity management for businesses by offering real-time data and insights into equity-related operations. Equity management software typically includes a cap table or elements of an ESOP (Employee Stock Ownership Plan).

Equity management software is becoming a big deal in administration, and it's really helping the market grow! We've noticed that more and more large companies are getting interested because it makes things so much more efficient. Plus, because EAM software helps save on maintenance and even predicts when assets might fail, the demand is soaring. It's not just companies either; the government sector is also getting on board, giving the market another boost. And with more and more people using smartphones, the sky's the limit! All these tech improvements and companies investing in R&D? That's creating some seriously good opportunities for the market.

Global Equity Management Software Market Overview

The Global Equity Management Software market is driven by increasing globalization, a growing need for automation, a growing focus on employee share ownership, technological advancement, etc. As globalization gains momentum, corporations are expanding internationally. Equity management software is necessary for businesses operating in various jurisdictions to manage complicated regulatory and compliance obligations. The regulatory environments surrounding equities management are constantly changing. Organizations are progressively allocating resources towards software solutions to guarantee adherence to diverse requirements, like the European Market Infrastructure Regulation (EMIR) and Sarbanes-Oxley (SOX) in the United States.

Let's face it, figuring out all the rules for stock compensation is getting harder and harder. Whether you're a huge corporation or a small start-up, you've got to follow the rules, like those from Dodd-Frank, Sarbanes-Oxley (SOX), and all those international accounting standards! That's where equity management software comes in handy – it helps you keep accurate records and automates processes, making compliance much easier. And if your company is expanding globally? Well, then you've got a whole new layer of legal, regulatory, and tax stuff to deal with in other countries. For companies with international operations, a good equity management system that can handle multiple countries is pretty much essential. Think about thisaround 1200 publicly traded companies account for about 40% of India's GDP! Back in 2018, about 160 businesses, including 20 big ones, were listed on the BSE (Bombay Stock Exchange). Technology impacts over half of the nation's 60 million SMBs. Plus, India has a booming start-up scene with over 7,700 companies, making it one of the most active in the world and the third largest in tech. That's a massive number, and it even includes those super-valuable "unicorn" start-ups worth over USD 1 billion! These start-ups collectively employ millions of people across the country. Pretty impressive, right?

What's more, the program could be vulnerable to outside cybersecurity risks, like malware, phishing scams, and good old-fashioned hacking. If you're worried about these threats compromising your data's security, you might think twice about using equity management software. And if you're operating internationally, concerns about where your data lives and which laws apply to it can pop up. Equity management software vendors need to calm these fears by being upfront about data storage locations and putting strong regulatory protections in place. So, all these data security worries? They could slow down the market in the short term.

Global Equity Management Software MarketSegmentation Analysis

The Global Equity Management Software Market is segmented on the basis of Type, Application, and Geography.

Equity Management Software Market, By Type

•  Basic ($Under 50/Month)
•  Standard ($50-100/Month)
•  Senior (Above $100/Month)

When we look at the Type of software, the market really breaks down into three groupsBasic (think under $50 a month), Standard ($50-100 a month), and Senior (anything above $100 a month). And right now, the "Type" segment is looking pretty interesting for the Equity Management Software Market overall! Specifically, the Basic tier (those under $50/month options) grabbed the biggest chunk of the market in 2022, a whopping 42.59%, which translates to about $218.83 million. Plus, it's expected to grow the fastest, with a projected CAGR of 14.20% going forward. Next up, the Standard level (the $50-100/month range) came in second in 2022, ringing in at $169.43 million and expected to grow at a CAGR of 11.61%.

The basic plans for equity management software include the features including unlimited new grants, features of Starter plan, plus, bulk upload from excel, custom grant letter, talk to customer success, online stock option exercise, certificated and uncertificated shares, and reports and analytics.

Equity Management Software Market, By Application

• Private Corporation
• Start-ups
• Listed Company
• Financial Team
• Other

The Global Equity Management Software Market is experiencing a scaled level of attractiveness in the “Application” segment. Start-Ups accounted for the largest market share of 32.00% in 2022, with a market value of USD 164.38 Million and is projected to grow at the highest CAGR of 14.19% during the forecast period. Listed Company was the second-largest market in 2022, valued at USD 132.94 Million in 2022; it is projected to grow at a CAGR of 10.96%.

Equity management software tailored for startups is pivotal in transforming the way these dynamic enterprises manage ownership and equity. The diverse range of applications significantly streamlines processes, enhances transparency, and ensures compliance with regulatory standards. The software becomes a crucial asset for startups navigating the complexities of employee equity plans. It efficiently manages stock option programs by overseeing the grant process, managing vesting schedules, and monitoring exercise activities. This ensures that employee equity programs are executed seamlessly, promoting transparency and aligning employees’ interests with the startup’s success.

Equity Management Software Market, By Geography

• North America
• Europe
• Asia-Pacific
• Latin America
• Middle East & Africa

The Global Equity Management Software Market is experiencing a scaled level of attractiveness in the North America region. North America accounted for the largest market share of 35.67% in 2022, with a market value of USD 183.27 Million and is projected to grow at a CAGR of 12.16% during the forecast period. Europe was the second-largest market in 2022, valued at USD 144.47 Million in 2022; it is projected to grow at a CAGR of 11.02%. However, Asia-Pacific is projected to grow at the highest CAGR of 14.07%.

One of the primary drivers is the increased demand for automation, cost reduction, and improved operational efficiency. Due to the need for companies to track and manage their investments more effectively, this trend is particularly distinct in North America. Additionally, the region is seeing an increase in the number of startups seeking investments, driving the demand for these solutions. For instance, as per data published by Crunchbase, as of 2021, startups in North America raised about USD 329.5 billion, an increase of 92% compared to 2020.

The North American region is also experiencing a rise in mergers and acquisitions, which is driving the need for equity management software. Overall, the North American region is experiencing strong growth in the equity management software market due to the rising awareness of the benefits of using such software.

Key Players

The “Global Equity Management Software Market” study report will provide valuable insight with an emphasis on the global market. The major players in the market are eShares, Inc. DBA Carta, Inc. (Carta), insightsoftware, Imagineer Technology Group, LLC, Computershare Limited, Altvia Solutions, LLC, Preqin Ltd, Gust, Pulley, Ledgy, Cake Equity, Global Shares (J.P. Morgan), Eqvista Inc., EQ Private Company Solutions, Inc., Morgan Stanley (Shareworks/Solium), Fidelity Investments (Shoobx), and others.

Our market analysis also entails a section solely dedicated for such major players wherein our analysts provide an insight to the financial statements of all the major players, along with its product benchmarking and SWOT analysis. The competitive landscape section also includes key development strategies, market share and market ranking analysis of the above-mentioned players globally.

Key Developments

• In July 2023, Morgan Stanley has announced the latest batch of technology enhancements to its stock plan platforms Equity Edge Online and Shareworks, which together serve roughly 40% of the S&P 500 in the US. The updates focus on improved administration, automation, and the private market client liquidity solutions, all to further advance Morgan Stanley at Work’s ongoing integration journey and help deliver a more unified experience for the corporate clients and their workplace participants.
• In August 2022,  eShares, Inc. DBA Carta, Inc. acquired Capdesk, the UK and Europe’s equity management platform. Due to this acquisition, employers can easily onboard and rely on the Capdesk to manage all the specific requirements of several locations.
• In November 2021, Altivia partnered with Preqin Ltd (U.K.) to integrate the data of Preqin with Altivia’s CRM management platform. Through this integration, the mutual clients may now easily improve their Altivia’s CRM with Preqin’s contact data and investor for venture capital and private equity.

Ace Matrix Analysis

The Ace Matrix provided in the report would help to understand how the major key players involved in this industry are performing as we provide a ranking for these companies based on various factors such as service features & innovations, scalability, innovation of services, industry coverage, industry reach, and growth roadmap. Based on these factors, we rank the companies into four categories as Active, Cutting Edge, Emerging, and Innovators.

Market Attractiveness