What Are Virtual Data Rooms?

Virtual data rooms (VDRs) are business applications that allow for the secure and easy sharing of sensitive corporate documents. They are usually used for M&A strategic reviews, capital raises and tenders. Companies of all sizes and sectors can use them. They are usually accessible via web browsers or through dedicated mobile apps. They provide professional support through different channels such as https://scoreboardroom.com/insights-for-strategy-optimization-through-virtual-data-rooms/ in-app live chat, phone and email. Their customer service team usually have a variety of languages and are able to handle even the most complicated requests.

The most frequent use case for VDRs is M&A due diligence, where potential buyers require an avenue to review the company’s documentation. VDRs are useful for any situation in which sensitive documentation needs to be reviewed by external parties.

Certain VDRs have advanced encryption features, both in transit and while the document is stored. They also offer granular permissions for documents and also have discrete access and revocation processes. This ensures the protection of the most important information in your company and prevents data theft by unauthorised third parties. They let you customize documents and folders, using features such as watermarking, blind view, disabled print and much more.

Other important features include improved communication and collaboration via Q&A and a built-in chat tool and granular permissions for each document. VDRs are more transparent than other document management systems and help you make better decisions with analytics, reports, and versioning. They can automate tasks that would otherwise be difficult or time-consuming. This can reduce errors, especially in high-risk processes or those that require a lot of documents.