The virtual data room (VDR) is an extremely secure platform that allows document sharing in various business situations. When it comes to due diligence, M&A or even an IPO or restructuring the VDR is a practical solution for virtually any document-sharing project. The top VDR providers offer expert customer support via multiple channels, including live chat in the app as well as on the phone. Additionally, many of these services support multiple languages and provide training videos.
The most commonly used use for a digital dataroom is in due diligence during M&A transactions. In this scenario the sell-side would like to share all relevant documentation with prospective investors in a secure environment, but they also need to ensure that any sensitive information stays confidential. The VDR ensures that only individuals can access the documents they require to perform their duties. This is achieved by assigning granular access permissions to individual files and folders.
The clear file structure and easy navigation makes it easy to locate the information you need. Certain VDRs provide the option to alter the data room theme, and also to include logos of the company on the dashboards.
Digital data rooms are accessible via any device with internet access and a current web browser. This flexibility simplifies communication among boards of directors, resulting in quicker decision-making as well as a more efficient workflow. Digital data rooms also offer an audit trail of every activities. This includes everything from when that a file was viewed to the IP address from which it was used to access it.