If a company’s lawyers accountants, auditors, or lawyers require access to data without risk of hacking or creating a compliancy violation, they frequently use a virtual data room (VDR). A purpose-built VDR is designed to allow outside parties to view confidential documents online in a secure environment, without risk.
VDRs are extensively used for M&A due-diligence. Companies who are merging or buying require a secure system for document storage. Prospective investors also need an easy method to review it. A dedicated VDR will allow the process to run smoothly and ensures that important information is only shared as necessary. If a transaction does not close, access to the VDR could be removed immediately.
Many VDR vendors offer a variety of user management tools to keep control of the information users view. Make sure that the platform you choose includes robust settings for permissions, so you can limit access to certain types or information. This includes granular details such as the names of files and their sizes. You should also pick the platform that offers detailed auditing, such as activity logs. This will give you full transparency regarding who has access to which files.
If you plan to make use of your VDR to support critical processes that do not run from 9-5, then you should choose an option that provides 24/7 support. It’s worth the extra cost to have a team of experts to help you answer questions and address concerns.
