How to Evaluate Virtual Data Room Providers

Virtual data rooms come in a variety of shapes and sizes, and offer many options that make them beneficial for different projects and business processes. However, despite appearances they’re not all equal. Even small differences in functionality can make huge differences when your project is in the midst of being amalgamation vs merger completed. This is why it’s important to look over your options and choose the VDR service that has the appropriate functionality for your needs.

Virtual data rooms can assist you in achieving your goals whether you’re trying to streamline mission-critical procedures and transactions or help with M&A Due Diligence. Here are some points to keep in mind when you are evaluating VDRs:

Look for a VDR that can support the file extensions that you require to upload your documents. Some providers offer additional services to ensure that your transaction goes smoothly, including consulting and training. These services aren’t required but they can help you save time and money if your company is involved with an expensive or complex transaction.

Insist on a VDR partner with robust security features that protect uploaded documents from disclosure and access by unauthorized persons. Multi-factor authentication, encryption, and audit trails are crucial features to ensure sensitive data is protected.

Find a VDR with precise permissions for groups, users and documents to ensure the right people can see the correct document at the right moment. It should also include options to block downloads that are not authorized like dynamic watermarking, locks to IP, and the expiration of access to documents. It should also permit you to revoke remote access even after the downloaded files are opened.