A virtual data room – or VDR – is a secure cloud storage solution that lets companies share sensitive data with third party. They offer a range of advantages to different industries. This includes the ability to collaborate efficiently and access documents at any time and store securely multiple copies of the same document.
Virtual data rooms are beneficial in almost any industry that requires to share confidential documents with third party. Some common use cases include M&A due diligence, fundraising and even initial public offerings. However, the legal industry and healthcare sector benefit the most from the use of a virtual data room since they typically deal with highly confidential information and sensitive business documents.
Due diligence in M&A requires potential buyers to review extensive documentation. A VDR can simplify this process by providing features such as automatic indexing, search full-text and role-based control. The VDR can also help M&A professionals stay within the regulations, due to protocols reporting tools and robust security measures, including watermarking, encryption of information and virus scanning.
A VDR can aid in this collaboration by providing efficient communication tools, such as comment sections and Q&A. Furthermore top-rated VDRs allow you to track every user’s activity with comprehensive logging and reporting features. Pricing is similar to that of cell phone plans and internet with a base cost and optional add-ons that are based on the features or the duration.
