[header] How to account for sweat equity [title] Calculate the value of the business. [step] Before you can determine the value of any sweat equity, you'll first need to determine the value of the business. That's because you'll effectively be compensating somebody with " part " of the business. 
You need to know how big or small a part of the business the person should receive in exchange for services rendered. [substeps] One way to calculate the value of a new business is by simply looking at the startup capital that's been put into it.