To overcome this all-too-common problem, every firm seeking Series A funding will require a highly secure, cloud-based workplace intended expressly for managing and sharing the most sensitive and secret information: a virtual data room (VDR).
Most conventional virtual data room software is geared for financial transactions like mergers and acquisitions (M&A). Modern VDRs, on the other hand, are frequently far more comprehensive, user-friendly, and have greater security and compliance certifications.
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The Key Features of Right VDR
Unlike other cloud-based solutions, virtual data rooms have a wide range of features, as well as different pledges to quality and security. These are the basic elements of proper virtual data room software.
Complete Data Security
On a more technical level, every virtual data room service under consideration should fulfill the highest compliance and security standards for processing sensitive data over the internet. The VDR supplier should, in particular, make use of several data centers spread over different continents, each with redundant data copies.
The VDR provider should fulfill the following generally accepted data security standards:
- End-to-end data encryption using 256-bit AES ISO-27001 (digital asset security standard)
- Compliance with HIPAA
- Certification according to SOC 2. Gives an overview of the best internal ways for ensuring your VDR’s security, availability, and privacy.
- Certification to ISO 27001:2005. Ensures that appropriate measures are in place to assist avoid security risks or vulnerabilities.
- Security in Data Centers. Physical security is used at data center locations.
The Option for End-to-End Solutions
Rather than shutting your virtual data room due diligence and learning new tools, look for a VDR that offers a full end-to-end solution for the whole deal process; this will save you time and money.
Furthermore, the continuous flow and sharing of vital information frequently lead to a smoother integration. The characteristics listed below provide a full end-to-end solution:
- Notifications are sent automatically. See information and comments in real-time.
- Multiple data rooms to run and maintain
- Configurations for data room services that can be customized
- Sign-ins, document views, and downloads are all easily visible in the project.
Using a VDR with end-to-end capabilities can help you streamline your process from target evaluation through transaction closure and integration. This feature is not found in many VDRs, but it can help you narrow down your list of potential vendors.
Convenience in Using
Look for a user interface that is current and intuitive that can be utilized on a PC, tablet, or smartphone. The VDR must provide consumers with the same flexibility and convenience as other tools and solutions.
Also, make sure the VDR includes familiar features like drag-and-drop document import and sharing, a wide variety of file format support, a simple data room set up, and simple document posting.
Additionally, users should never be required to install software or plug-ins through the VDR. A cloud-based electronic data room should also be accessible 24 hours a day, seven days a week, with high availability guaranteed.
The ability to restrict access to your most sensitive papers is just as crucial as the ability to provide it. Although it’s impossible to obtain exact figures on how many investment transactions fail during due diligence, you should be prepared for everything.
By defining an access expiration date for new receivers, the top VDR systems will allow you to automate the removal procedure. In any case, your VDR’s access controls should allow you to give or revoke access at the person or role-based level quickly and efficiently.
Choosing the Provider of VDR
When all of the most crucial features are known, it’s time to collect the list of proper data room providers. We have compared the key elements of professional-grade VDR and formed a list of the most ascendant vendors to choose from.
iDeals provide a rather advanced data room solution that allows customers to store and exchange documents in over 25 different file types. iDeals is conceder to be much more popular than other data room providers.
The solution, equipped with strong security features, helps users secure their information from inappropriate internet attacks and guarantees that communication privacy is protected. The tool goes to considerable pains to keep user data safe.
- Exceptional Safety
- The ability to easily upload and organize files
- Allows many parties to collaborate on documents.
- Customer Service Expertise
The data room from Intralinks is one of the oldest in the VDR industry. It has nearly 20 years of experience, having been founded in 1996. The firm mostly works with major corporations (such as Fortune 100 organizations) and concentrates on significant transactions.
It allows the data room provider to gain valuable expertise in handling the most difficult problems and supporting clients through the most difficult transactions.
- Assigning responsibilities to users; reviewing security settings
- Drag&Drop uploads and email uploads; Adding and inviting people;
- Organizing fresh papers automatically;
- Access, printing, and saving are all restricted;
- Branding; transferring files from mobile devices;
There is no mobile app; it is only offered as a web-based and cloud-based alternative. According to users, it has a simple and easy design, and the number of functionalities available makes it a highly adaptable solution. It’s a good data room for mergers and acquisitions, due diligence, transactions, audits, and teamwork.
- Contract administration and generation options (drafting, templates);
- job completion tracking;
- workflow approval;
- lifecycle management;
- document text search
Digify provides secure virtual data rooms that are simple to use and set up in minutes. Thousands of businesses use Digify to exchange private papers with partners, clients, and investors, saving time and money.
Their system combines document security, automatic watermarking, and file tracking features at a low price. Digify has been covered in over 60 major media and has won worldwide prizes, including the top security competition RSA Innovation Sandbox.
- User-friendly interface
- Support for a variety of file formats
- Watermarking technology that is automated and dynamic.
- Statistics on who has entered the data room, which documents have been accessed, from where, for how long, and how many times.
In Firmex data rooms, more acquisitions, due diligence, and compliance are completed. Thousands of firms use Firmex to handle highly sensitive projects and procedures, with over 15,000 new rooms added each year.
Users have control over their vital documents thanks to strong and secure data rooms, and industry-leading customer support.
- Flexible permission management
- Pre-configured solutions for the most typical sorts of agreements
- Internal and external users have multilingual users with direct business process support.
- Customer service managers are dedicated to establishing best practices and assisting with a quick start-up.