A virtual dataroom (VDR) provides a secure, online environment for collaboratively reviewing confidential documents. When it comes to M&A transactions, for instance companies can easily exchange files with potential purchasers without worrying about them getting stolen or divulged.
VDR features include granular permissions for controlling access to each document on a file-by-file basis, essential information about changes made to files, two-factor authentication, complex passwords and customizable NDAs. They are also designed for preventing data leaks as well as other breaches of security. A VDR can also be integrated with other productivity tools like communication platforms, project management, and software for editing documents.
If a company decides to establish strategic partnerships or expand into new sectors, it is typically required to transfer large amounts of documents. Virtual data rooms provide a simple method of sharing information with partners from all over the world. Both parties can make use of them to collaborate and speed up the process of making decisions.
One of the best ways to explain how the virtual data room is different from other storage options is to imagine the physical space as a https://clickvdr.com/common-virtual-data-room-features/ collection of filing cabinets. The person who manages the room decides which cabinets each person is able to see and what is inside the cabinets. Virtual data rooms do exactly the same thing, except that it can be controlled with greater ease and accuracy on any device. An administrator can, for instance use a feature called fence view to block out sensitive information from a document in order to keep it secure.