Data rooms aid in speeding the due diligence process in M&A and capital raising, simplify business transactions, and secure sensitive information. Dedicated virtual data rooms are more secure than general tools for sharing files, and can be tailored to meet specific business requirements. Some companies believe that they can save money by using they make use of free virtual data rooms instead. This is a shrewd idea, as free online datarooms are more prone to theft and security breaches. They can be expensive or impossible to recover from.
Choose a vendor with advanced features in a cost-effective package to avoid costly mistakes. For instance, a quality VDR offers an automatic file index as well as a dynamic watermark that adds the email address of the recipient to the document in real time to discourage screenshots. It also includes advanced expiry options as well as DRM to block unauthorized printing and sharing. It should also offer an easily customizable portal for partners and clients as well as an easy-to-use graphical interface that is equally transparent to the CFO as well as the entry-level accountant.
A reliable VDR should be compatible with an array of operating systems and mobile devices. It should also have robust reporting capabilities that convert activity audit logs in to useful reports. It should also include visual analytics that make it easier to enhance due diligence and M&A processes. It should also allow users to set access rights which are based on each user’s job.