The virtual data room (VDR) is a secure platform for document sharing in different business situations. The VDR is a powerful tool for sharing documents in any scenario regardless of whether it’s during due diligence, an IPO or reorganization. The top VDR providers provide professional customer support via multiple channels including live chat through the app and via phone. Furthermore, many of these solutions support multiple languages and provide training videos.
The most frequent use for a digital dataroom is in due diligence in M&A transactions. In this process, the sell-side needs to provide all relevant documents to prospective investors, but ensure that sensitive information is kept secret. The VDR ensures that only those who have access to the documents require to perform their duties. This is achieved through the assignment of granular access rights to individual files and folders.
The structured file structure that is logical and easy navigation make it easy to find the information you need. Some VDRs allow users to change the data room theme, and to put logos of companies on the dashboards.
Digital data rooms are accessible by any device that has internet access and a current web browser. This flexibility facilitates communication between directors of boards and facilitates faster decision-making and an efficient workflow. Digital data rooms also provide an audit trail of all activity. This includes everything from the moment the file was opened to the IP address from where it was accessed.