A virtual data room is a safe method to share sensitive information with multiple parties online. You can control who is able to access what in a safe environment, and also they have auditing tools that make it easy to determine who is accessing files. They also provide advanced measures of security, such as encryption, two-factor authentication, and watermarks to prevent sharing of files that is not authorized and information leaks.
A lot of companies use free cloud storage and file-sharing services to share data however, these tools do not have the fine-grained permissions, auditing abilities and watermarking features of data rooms. When you’re trying sell your business or raise capital, or to close a deal, the top priority is for confidential information to fall into the wrong hands.
If you require a pre-planning data room, portal or main due diligence data room, the most effective VDR providers provide a set of reports that lets administrators easily monitor user activity – from who has visited what to when. This is essential when working with a third party to ensure confidentiality continues to a knockout post be safeguarded and protected, especially after the room is closed.
Furthermore some of the top VDR providers allow you to define whether each document can be printed, viewed or downloadable through the site. This is useful when working with a buyer that has strict requirements regarding data. They also allow dynamic watermarks when viewing or printed pages of documents to further protect against data leaks and illegal sharing of files.