Choosing a Virtual Data Room Provider

A virtual dataroom is an online platform that allows exchange of information between third parties in a secure and efficient manner. It is usually used in the M&A process, where buyers look over large volumes of documents, but it may be utilized in any situation that requires the secure access of information by non-company personnel.

Be aware of your company’s requirements when selecting a VDR. VDRs are extensively used in specific industries, such as M&A due-diligence processes intellectual property protection and biotech licensing. However, even small firms the original source benefit from the capability to securely share documents and files with potential investors, board comms and other stakeholders.

Cost structures are also important for choosing a VDR provider. Choose a provider that offers different pricing models including per-storage and per page to flat costs and unlimited usage. These pricing models are similar to those offered by cell phone plans and internet plans. This lets you know exactly what you’re paying for.

The best VDRs are user-friendly, simple-to-use interfaces that are suitable both for the CFO and the entry-level accountant. Furthermore, they must be secure enough to meet the requirements of your industry, and offer audit logs to demonstrate what the users are doing in the data room.

You should test several VDRs before deciding on one for your company. You can compare features to ensure that you get the best out of the tool, and without spending extra cash.