yes yes, installing a preamp unit with the EQ can be a hard decision because yes you do need to cut a hole in the guitar. The thought of doing this can weaken the knees I know.
I have an alvarez fusion acoustic. It came with a mediocre passive pickup assembly. The hesitation for me was that the guitar is a "thinline" and most of the preamps and the like were far to wide for the guitar. After some searching I found a thin profile assembly.
I removed the old set upand filled the 1/4 inch holes that once were the pots. (I used woodworking plugs and stained them). Found a smooth portion of the side of the guitar to become the new home for my new EQ. Check carefully that there are no body braces or supports at whatever location you choose. I drafted a template to the size of the preamp, glued it to the location with a spray tack glue. this type of glue is good because it is not a permanent super adhesive, but works well to hold the paper template down. Several deep breaths... and I beset the side of the guitar with a dremel tool with a cutting wheel. smoke, screeching.. the whole works. But the new hole was perfect, and once I dropped the assembly into place and screwed it down (do NOT over torque the screws), there was no evidence of any cutting.
I was proud as hell at the fact it was so easy and presented no visible distress. the sound improvement obviously more than compensated for my initial doubts. I will add that if you truely question your craftmanship or just find yourself in tears at the idea of surgery on a decent guitar.... most shops will install this same assembly for a modest fee.