It’s crucial that companies have all the information they require to make critical decisions, including M&A deals, tenders or capital raising. This could mean sifting through tens of thousands of highly sensitive documents that are susceptible to hacker attacks, data breaches and other security threats. There’s a solution that provides easy access to secure document storage, and collaboration tools. It’s known as the virtual data room (VDR).
A VDR is a piece of software used in business that enables the easy and secure sharing of information within due diligence procedures. It’s designed specifically for the M&A as well as private equity and investment advisory industries but can be used by any organization seeking to execute an important project or deal. It’s typically a secure cloud repository that stores important documents including financial statements, legal agreements and IP protection documents.
The most effective VDRs have clear folder structures that allow you to navigate and locate what you’re looking for. They come with customizable security features which allow you to limit access to documents project management software for ma by setting timeouts and auto-expiration. You can also limit printing, viewing and downloading of documents and generate reports on document activity.
VDRs are often hosted in industry-grade data centers that have physical security measures like backups of data offsite as well as fire suppression and biometric access control. They are also accessible globally to allow buyers and investors to review important documentation without having to visit your company’s headquarters.