The evolution of Data Room software has vastly changed the way people do business and now serves as an indispensable tool for all websites involved in commercial transactions.
Protect your data with Virtual Data Room
Information technology in a changing business environment is an extremely important tool for improving the competitiveness of the business entity, an important part of the enterprise management system, and is an integral part of doing business in everyday activities.
Business operations can collect up to several thousand pages of documents that need to be stored, exchanged, read, or tracked. In fact, the Virtual Data Room solves this problem with only time, costs, and convenience when accessing documents. But how do choose the best option? In this article, more about it.
Data Room solutions usually offer browser-based access as well as integrated file and user management. The specific design of these basic functions as well as the further scope of functions, however, vary greatly depending on the provider and application focus. The spectrum ranges from simple file storage to sophisticated document management. There are also solutions for user and rights management, from simple folder-based rights allocation to process-oriented rights models with automated digital workflows. The solutions move in the field of tension between intuitive handling and versatile possibilities.
There are usually three reasons for setting up data rooms:
- the short-term disclosure of information in the course of contract negotiations,
- the long-term management of a database,
- the shared use of a data pool during project development.
Thanks to complete digitization, in the Data Room information, can be used regardless of location, device, and time. At the same time, the controlled sharing of this information is simplified through selective access management. In this way, Data Rooms enable the flexible use of a common, centralized, and up-to-date database.In order to achieve additional flexibility, it is often possible to connect VDR to other systems via interfaces. Finally, the data can easily be exported or digitally archived for further use.
Digital Data Room or Cloud storage?
Virtual Data Rooms offer far more functionality and security for the provision of confidential data than cloud storage services. For example:
- Role-based access rights (read, download, edit) to the virtual data room and the documents stored there;
- Encrypted file storage of documents in the Data Room;
- Comprehensive analysis and control functions for all activities in the data room (e.g. tracking of logins, read access, uploads and downloads);
- Additional protection of documents with watermarks;
- Protection against unauthorized downloading or printing of documents.
- Automatic versioning of documents
- Q&A function for structured and comprehensible handling of questions from potential investors or buyers
The best Data Room alternatives
Among the most preferred options there are:
- Intralinks is a pioneer in the market with a focus on optimizing the due diligence process. The dataroom has indexing patterns for easy uploading of documents and a separate business platform for the secure release of documents during due diligence.
- Netfiles is an experienced German provider of virtual data rooms. This provider also offers the drag and drop function, which makes opening and managing an account much easier.
- The Firmex is not only an effective but also an incredibly simple and practical solution for your business. More than eighty thousand projects have already been started on this platform, which around fifteen thousand new customers join every year.
- Drooms is the first to start using blockchain technologies in real estate transactions and in merger and acquisition deals.