Virtual Data Rooms
Virtual Data Rooms, also commonly known as VDR, is an online repository used by different companies to keep and share their sensitive business-related information, mostly during a financial transaction. As business is getting more and more reliant on specialized computer software to keep their daily operations running smoothly along with going completely paperless within the organization, many companies are moving towards the virtual realm.
Virtual Data Room (VDR) is widely used in the following business sectors.
- Corporate
As and when corporates need to share confidential and sensitive documents outside their network firewall, they make use of VDR to ensure the document is shared with proper security protocol and with ease.
- Funds and Private Equity
Funds and Private Equity firms often make the use of virtual data room to collaborate and communicate with auditors, partners, and portfolio companies.
- Investment Banking
Advisors and Investment Bankers rely on the use of virtual data room to ensure that Mergers and Acquisition deals are moving smoothly and every process is conducted with due diligence for M&A.
- Pharma
Pharmaceutical and Biotechnology companies rely on the secure environment provided by Virtual data rooms to safely share clinical trial data and intellectual property with other third parties, without being concerned about the breaches and information loss.
- Litigation
Many of the legal firms’ makes of virtual data rooms in order to share their confidential documents along with their legal teams, clients, and other third-party organization involved in the business transaction.
Virtual data room is a perfect solution for business who want to share confidential and sensitive information beyond their companies firewall. In addition, the complex permission settings also make sure that only the right people get access to the documents at the right time. Such capabilities have made VDR an indispensable tool for businesses to carry out complex, efficient and confidential data sharing beyond the companies’ wall.
Features of VDR
- Ease of Use
Business processes and transactions involve hundreds and thousands of documents that need to be shared and reviewed. And how well these files and documents have been organized can save a lot of time. Uncluttered and organized files and documents that are numbered properly goes a long way in achieving efficient reviews of these documents. VDR allows businesses to do so, through its easy to use interface that allows bulk uploading and sending of data files.
- Security
The kind of security provided by virtual data rooms or VDR is similar as to what you will get at financial and banking institutions. Having international compliances and regulations in place, along with custom user permission settings, the documents once shared will only be accessible by the right person using a password key. The data that is transferred over the network is encrypted, thus ensuring its confidentiality.
- Control
The administrator of the virtual data room can decide whether or not to watermark each page of the document that is being currently shared and disable downloads and leaks to avoid document disclosure. Administrators can also make use of activity report log to track different users activity you have access to the data files and documents.
VDR have evolved into highly specialized services and more and more businesses are opting for it, because of its ease, security and control it has to offer.