It can be difficult to share sensitive data with outside individuals, whether for due diligence or collaboration, or to avoid the risk of a breach of compliance. Virtual data rooms can automate and simplify processes to help businesses complete many business-related events.
Mergers and acquisitions are among the most common use of VDRs for startups, but businesses of any type can benefit from a user-friendly, simple platform that centralizes documents instead of sending documents back and forth. Whether you’re looking to raise funds from investors or prepare for an IPO A virtual data room can simplify the process and assist stakeholders in finding the information they need in a systematic manner that minimizes communication chaos.
A good VDR should also provide documents with granular permissions, which limit access to certain documents visit the website or folders. Many providers provide comprehensive log-in and reporting features that monitor user activity, such as who viewed what documents and when they viewed them. Additionally, a strong search feature and an organized file folder structure make it easy for users to navigate through their data and find what they’re looking in a hurry.
A key feature is the ability to design custom document views based upon their role or responsibilities. The ability to grant specific viewing rights ensures that only relevant information is accessible and prevents miscommunication and lost productivity. Many providers also offer a drag and drop interface which makes it easy to upload files.