When a company’s lawyers accountants, auditors, or lawyers need access to data without the possibility of hacking or causing a compliance violation, they frequently use a virtual data room (VDR). A VDR designed for external parties is designed to allow them to review confidential documents online without risk.
VDRs are also extensively used in M&A due diligence. Companies that are acquiring or merging require a secure system to store the relevant documents and investors who are interested in investing 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 when it is needed. If a deal does not close, access to the information can be immediately revoked.
Many VDR vendors provide a variety of tools for managing users that allow you to manage the information that users view. Make sure that the platform you choose has robust permission settings in order to limit or deny access to certain kinds of data or files, including granular details like file names and sizes. Ideally, you should choose a platform that has granular auditing and activity logs to give full transparency on who has access to what files.
If you are planning to use your VDR to assist mission-critical processes that will not operate between 9-5, then you should choose an option that provides 24/7 assistance. It’s worth it to have experts to help you answer questions and address concerns.