For companies seeking to make important decisions such as M&A transactions, tenders or capital raising, it’s crucial that all the relevant information is available. This could mean sifting through tens of thousands of highly confidential documents that are potentially susceptible to data breaches, and other security threats. However, there’s an option that blends ease of access with secure document storage and collaboration tools. It’s called the virtual data room (VDR).

A VDR is business software that allows for the simple and secure sharing of data in due diligence processes. It is specifically designed for the M&A and private equity sectors but is also used by anyone planning to conduct major deals or projects. It’s usually her latest blog a secure cloud-based repository that contains important documentation including financial statements, legal agreements, and IP protection documents.

The most effective VDRs have clear folder structures that allow users to easily navigate and find what you’re searching for. They come with customizable security features that let you limit access to files by creating timeouts as well as auto-expiration. You can also limit printing, viewing, and downloading documents, and generate reports on the activity of your documents.

VDRs are usually hosted in data centers that have industry-standard security features, such as biometric access, fire suppression control and offsite data backups. They also have global access which makes it easier for potential buyers and investors to review vital documentation without having to go to the headquarters of your company or other locations.