Whether you’re facilitating an M&A transaction, collaborating with partners outside your firewall or sharing confidential data with clients, a virtual data room (VDR) is a critical tool for securely managing and sharing this information. Not all VDR providers, however, are created equal. In fact, choosing the wrong VDR could expose your company to security risks and costs. Thankfully, there’s a way to determine which VDR providers are worth your business.
As you’re shopping for a VDR, start by reading online reviews and checking out their websites. You can also talk to representative via live chat or phone to get a feel for the customer support experience and how they respond to questions and concerns.
When selecting a provider to meet your needs, make sure that they have a wide range of features. Included in this are features important link for document security, collaboration and file management. In addition, look for a provider that offers two-factor authentication to relieve password robbery and advanced security methods such as dynamic watermarks and data encryption.
A modern VDR is one that leverages new business models and technology innovations like software-as-a-service delivery. This allows them to provide a competitive price without compromising security and control.
While traditional VDRs tend to focus on M&A, a VDR modern can be used by any team or company that requires a high degree of collaboration and control over security. Examples include law companies, banks and mortgage brokers. Venture capital firms, hedge funds and private equity are also examples.