A virtual data room (vdr) is an online secure location where documents and files can be shared with others. It can be accessed via a web browser or software system, and features granular document control, activity monitoring, Q&A messaging and other tools to enhance project collaboration. It is a great tool for companies involved in business processes or transactions that require sensitive information to be shared among different parties.

Information sharing is essential for investment banking processes such as IPOs, M&A and capital raising. Using a vdr to store and look over these important documents can help streamline and accelerate the process and reduce the risk.

Other industries that make more tips here use of a vdr include immovable property management (land and housing) technology, as well as biotech/pharma. These companies often have to share privileged information with third parties, clients and legal teams, investors or even clients. Utilizing a vdr can provide a secure means to do this and eliminates the requirement for costly face-to-face meetings or sending physical documents.

When choosing a vdr service provider, select one with extensive experience in supporting processes similar to yours. Be sure to ensure that the vendor has support that is available all-hours, every day of the year (including evenings and weekends). Also, make sure that your vdr service provider offers phone and in-app support with multiple languages, and that the representatives of its customer service are knowledgeable about the specifics of your field. This will allow them to provide speedy and precise assistance if issues arise.