A virtual dataroom allows companies to store, secure and share confidential documents. A VDR is typically used to conduct due diligence during M&A or capital raising. However law firms can use the platform to share privileged documents, including those of clients with third party and clients in the course of litigation. Biotech and life science companies typically use a virtual repository of documents to work with investors as well as share clinical trial documents.
The unique needs of every company will determine the most suitable VDR partner. Investment bankers need an encrypted platform for transactions such as IPOs and capital raising that require significant sharing of information. They need a VDR with a user-friendly interface, is simple to use and provides the tools needed to run transactions efficiently.
Another thing to consider is whether the VDR provider offers round-the-clock client support. The best VDR providers provide multilingual support 24-7, as deals and other business processes are not confined to a 9-5 schedule.
Look for a partner that offers comprehensive security features such as multifactor authentication and malware detection. Security is also maintained by an effective permission system that permits administrators to create access rights according to the roles and responsibility. Additionally, look for a VDR with watermarking and printing and downloading prevention to avoid data leaks. A variety of analytics and reporting options should also be available to allow you to monitor the activities of users.