As part of our ongoing efforts to improve the quality, transparency, and relevance of startup valuations, Equidam has introduced a new question in the valuation questionnaire: "Which category best describes your product or service?"
This article explains what this question is, how it differs from the existing industry question, and how to select the most appropriate category for your company.
What is the Company Category Question?
The new company category question allows you to describe your company based on the technology, business model, or structural approach you're using to build your product or deliver your service.
You’ll now see a dropdown menu on the platform asking you to select the category that best describes your company. These categories include things like AI, Developer Tools, Fintech, Biotech, Enterprise Software, and more.
Important: This input is currently used for data collection only. It has no impact on your valuation for now.
How is This Different from Industry?
Equidam already asks for your industry, which refers to your target market—the customers you serve and the problem you’re solving from a consumption standpoint.
Industry (Existing) | Company Category (New) |
Based on the market you operate in | Based on how your company operates |
Determines risk profile and growth potential | Provides context about technology or business model |
Directly influences valuation | Currently does not influence valuation |
Examples: Healthcare, Logistics, Retail | Examples: AI, Blockchain, SaaS, Robotics |
Why Does This Matter?
Valuation is primarily affected by the industry you serve. This is because risk and potential are shaped by your market environment. For instance:
An AI startup for logistics is exposed to logistics risks (e.g. shipping disruptions), not AI risks.
A blockchain solution for asset management still faces asset management compliance and market cycles.
The company category, on the other hand, might affect your financials (e.g. lower costs, faster growth), but these effects are already reflected in your projections, not in a standalone multiplier or risk premium.
Where Do the Categories Come From?
The list of categories was adapted from the Y Combinator startup categories, with a few edits to suit Equidam’s valuation framework.
We removed some categories that were:
Redundant (e.g. "Artificial Intelligence" — already covered by "AI")
Ambiguous (e.g. "Video", "Security", "Sales")
Outdated or Overly Broad/Narrow (e.g. "DevSecOps", "E-learning", "India")
The goal is to maintain a clean, relevant, and structured list that enables us to collect valuable data without duplication or confusion.
Full List of Categories
Below is the full list of current categories, which may be updated over time based on feedback and observed patterns.
Category | Description |
AI | Startups applying artificial intelligence to solve problems |
Biotech | Companies involved in biological sciences and biotech innovation |
Fintech | Innovations in finance, payments, banking, or investment |
Developer Tools | Products built for software engineers and dev teams |
Enterprise Software | Software designed for corporate/large-scale use |
Generative AI | AI models that produce content (text, visuals, code, etc.) |
Health Tech | Technologies enhancing healthcare delivery or outcomes |
Robotics | Companies building or programming robots |
Marketplaces | Platforms connecting supply and demand in two-sided models |
Blockchain / Crypto / Web3 | Startups using decentralized technologies |
ClimateTech | Startups focused on climate adaptation or sustainability |
SaaS | Software-as-a-service platforms |
Hardware | Companies creating physical or connected devices |
API | Products offering API-first experiences |
Open Source | Projects or companies with open codebase models |
Food Tech | Innovations in food production, logistics, or consumption |
No-code | Tools allowing users to build without traditional coding |
Genomics | Startups working with gene sequencing or analysis |
Synthetic Biology | Companies engineering biological systems |
AI Assistant | AI-powered tools designed to perform assistant-like tasks |
Design Tools | Software for UI/UX, graphics, or creative workflows |
Workflow Automation | Tools that streamline or automate business processes |
VR | Virtual Reality experiences and platforms |
AR | Augmented Reality interfaces and devices |
Ed Tech | Educational platforms and tools |
Smart Cities | Technology infrastructure for urban optimization |
Mobility | Transport and urban movement technologies |
Space | Companies operating in aerospace or orbital tech |
Quantum Tech | Businesses leveraging quantum computing or sensors |
Messaging | Communication-focused platforms |
Creator Economy | Tools empowering individual content creators |
DevOps / AIOps | Tools for deployment, operations, and monitoring |
Infrastructure | Foundational digital technologies and services |
Compliance | RegTech, legal compliance, and governance software |
Social | Platforms focused on social interaction or networking |
Community | Community-building platforms and engagement tools |
Recruiting | Hiring platforms and job market innovations |
Subscriptions | Companies built on recurring revenue models |
Manufacturing | Tech for improving industrial or product manufacturing |
Proptech | Innovation in property management or real estate |
LegalTech | Technology for legal services or access to justice |
Mental Health Tech | Startups focused on mental health care and support |
Therapeutics | Companies developing medical therapies or drugs |
AI-powered Drug Discovery | AI applied to pharmaceutical R&D |
Deep Learning | Startups using deep neural networks |
Cloud Computing | Businesses offering cloud infrastructure or services |
Analytics | Platforms for data analysis and business intelligence |
Ecommerce | Online selling platforms and services |
Consumer | B2C product companies or marketplaces |
Neobank | Digital-only financial institutions |
Retail | Tech in brick-and-mortar or omnichannel retail |
Automation | Startups that automate physical or digital tasks |
Enterprise | Broad B2B service providers or infrastructure tools |
Note: This list may evolve over time. We will publish updates when any categories are added, removed, or renamed.
How to Use This in the Platform
Go to the questionnaire section on the platform.
Locate question 19: “Which category best describes your product or service?”
Select the option that most closely matches your company’s core focus.
If your company spans multiple categories, choose the one that best captures your product’s identity or innovation type.
You can always revisit and update this field as your business evolves.
Still Have Questions?
If you’re unsure which category to choose, or if you believe your company doesn’t fit into any of the listed options, feel free to send us a message through Intercom! We’re happy to guide you.