A virtual data room (VDR) is an encrypted platform that businesses utilize to store and distribute confidential documents during business processes such as M&A deals, capital raises, and audits. Due diligence is by far the most popular VDR use case, but they can also be used for other purposes like strategic reviews, tenders, and board communications.
The security of VDRs is assured by the fact that VDR begins with the encryption of all data. Most VDR providers provide multiple encryption options including AES-256 RSA 2048 and 3DES. Most VDRs also include multi-factor verification and two-step authentication. Besides this, most VDR providers also have live chat features in their apps my site and an expert support team that speaks multiple languages.
Modern VDRs allow administrators to keep track of the activities of the repository with detailed reports. You can determine which documents were most viewed by who and for the length of time. This is a useful tool that allows you to stay on track with projects and close deals.
VDRs can cut down on time with advanced features such as document indexing, granular permissions, version control and automatic reminders. This helps eliminate manual work for your team and reduces the risk of human error when dealing with complex transactions or processes that require a lot of documents. Additionally, some VDRs allow you to schedule reports to be sent to your inbox every day so that you are in the loop with your project issues even when you’re away from the office.
