The Role of a Virtual Data Room

A virtual data room is a secure web-based repository to share confidential documents. In most cases, VDRs are used during M&A due diligence, but they are also useful for other processes of collaboration, like auditing and tenders, regulatory reviews and integration post-M&A. A virtual data room is a valuable tool for any company that wants to streamline its process of collaborating with external and internal stakeholders.

With a VDR the entire user can access the documents on a web browser or secure agent applications. Administrators can limit who can access certain folders or documents. They can also decide who can print their screen or take screen shots. Additionally, the administrator can limit how long the user can connect to the VDR and their IP address. They can also enable the mode known as a « fence » which limits the amount of information a user can see. This is a good option if they are worried about people trying to sneak an unintentional peek.

Large-scale companies that have a lot of sensitive documentation www.dataroomdc.com/why-do-companies-use-virtual-data-rooms/ could benefit from VDRs to help with sensitive documentation. VDR to reduce the amount of time needed to complete a project. The VDR can also help to save on the costs of printing and shipping documents, and it is simpler for users to read the information without having to move to a physical place. In the instance of M&A due diligence, using a VDR can be a cheaper alternative to paying for the hotels and flights of experts or bidders who otherwise have to visit the company’s headquarters to examine the materials.