A virtual data room (VDR) is a secure space to store and share sensitive information. It’s usually used in M&A due diligence, but it is also accessible to serve other purposes, like raising funds or selling an asset.
When choosing a VDR for your project, ensure it is intuitive and simple to use. Improve collaboration through features like real-time annotation and commenting. This helps keep projects moving. You should also look for a VDR with built-in tools for managing version control to evaluate and verify documents during due diligence.
VDR security is crucial particularly as hacking incidents continue to rise. A reliable VDR will offer a wide range of security measures for enterprise files, including access-only navigate to proteored view and granular permissions, as well as dynamic watermarking and more. They will also offer an approach to security that is multi-faceted that includes physical security – redundant servers and 24/7 monitoring – and application security – encryption methods and audit trails for users, user authentication and more.
The top VDRs will offer a simple pricing model that’s comparable to other services that you use, such as cell phone and internet plans. It is recommended to look for either a monthly or annual cost, with additional fees dependent on usage. This will help avoid unexpected costs and overage charges. Choose a solution with a backup/restore feature to ensure that your data will be protected in the event of a disaster.