When a company needs outside parties to examine its data, be it for due diligence or collaboration it can be a challenge to share sensitive information without risking a breach or violating compliance. Virtual data rooms can automate and simplify processes to help businesses complete various business functions.
Mergers and acquisitions are the most common use of VDRs for startups, but companies of all kinds can benefit from a simple, user-friendly platform that consolidates documents rather than emailing files back and forth. Virtual data rooms can help simplify the process of obtaining money from investors, or preparing for an IPO. They also make it easier for those involved to find the information they require in a systematic way.
A good VDR can also permit you to restrict access to specific documents or folders. Many providers provide extensive report and logging tools which track user activity including who viewed which documents and the time they were viewed. In addition, a powerful search feature and an organized file folder structure help users to navigate through the data and find what they’re looking in a hurry.
A key feature is the capability for users to create customized document views based on their job or responsibility. The ability to grant specific viewing rights ensures that only relevant information is viewed and helps to prevent miscommunication and lost productivity. Furthermore, many providers provide a drag-and-drop interface that makes it easy to upload and organize data.
