A common misconception about virtual data rooms is that people think of them as simple data storage with very simple functionality. Yes, storing info securely is one of the core features of VDRs, but they offer much more.
Virtual data room software is already making its mark in various industries and business operations such as real estate, mergers, and acquisitions, IPOs, fundraising, auditing, and more.
Today we will discuss productive and secure business digital rights management with data room software. We are also going to find out how they help companies operate successfully. And if you want to learn more about the best VDRs, check out https://datarooms.org.uk/.
How Does a Virtual Data Room Help Businesses?
Different companies use data room services for different purposes, and here are some of them.
Real Estate
Real estate agents and firms use virtual data rooms to solve real estate complexities. COVID-19 restrictions have forced buyers and sellers to use online options, and data rooms fit the bill.
Realtors can store all information related to real estate listings and add buyers and sellers to the VDR. Data rooms allow realtors to share images and videos of properties with buyers. Not only that, the video conferencing option allows realtors to conduct visual online tours of properties.
Realtors can use online data rooms to keep buyers and sellers informed about the progress of a transaction. Most importantly, firms use virtual data rooms for due diligence during a transaction to avoid future uncertainties. All of this ultimately speeds up the process.
Mergers and Acquisitions
The M&A market is probably the biggest consumer of virtual data rooms because of the obvious complexities. M&A deals involve processing large amounts of data, waiting times, re-queries, data validation, and more.
Above all, a virtual data room acts as a secure data repository where the seller can upload, store and organize all corporate documents. Buyers or corporate groups can access any document in seconds, saving a lot of time.
Audits
Auditing is an important process in corporations, whether they are private or public. Public companies are required to have their financial and other reports audited by certified auditors, which can be internal or external.
One of the biggest challenges for companies during audits is the integrity of corporate information. Companies may have to appoint oversight teams to make sure there is no data theft or misuse of information.
The Top 3 Benefits of Virtual Rooms for Your Business
We’ve discussed the industry benefits of virtual data rooms. Let’s discuss some general benefits of online data room software.
Cost-Effectiveness
One of the biggest benefits of using virtual data rooms for business is that they are a very cost-effective option.
At a minimum, they help businesses minimize paper, printing, and stationery costs. Corporations must keep the company’s financial and other records for the past 5 to 10 years as required by law. These tons of documents can take up a lot of physical space. Virtual data rooms allow companies to not have to worry about storage costs.
Remote Access
Virtual data rooms are available remotely. Users can access them at any time from anywhere in the world. All they need is a laptop, computer, smartphone, or tablet. This feature is more useful for remote corporate teams, investors, shareholders, and home-based employees.
Secure Data Storage
Virtual data rooms are currently one of the most secure data storage solutions in the world. Numerous security features such as two-step login verification, access restrictions, digital watermarks, audit logs, etc., ensure there is no unauthorized entry, data leakage, or misuse of information.
How to Choose Virtual Data Room Software for Your Business?
It is important to know that all virtual data rooms are not the same. For example:
iDeals
It is a trusted and proven data room provider. Its results have been tried and tested by investment bankers, lawyers, and top executives of enterprises all over the world. As the most result-oriented and flexible company on the market, iDeals always listens to customers and offers them the safest and fastest solution to achieve their strategic goals in any type of transaction.
SecureDocs
SecureDocs provides a simple, affordable, and secure virtual data room service for storing, sharing, and managing sensitive corporate documents. With 24/7 SecureDocs support, you can prepare for a transaction in minutes. They are trusted for mergers and acquisitions, due diligence, corporate fundraising, strategic partnerships, litigation, and more.
ShareVault
ShareVault facilitates the secure exchange of confidential documents with third parties. Based on transaction experience, ShareVault is the preferred virtual data room for mergers and acquisitions, asset sales, fundraising, and partnerships. Thousands of large, medium and small companies rely on this simple and secure platform. Compared to consumer-grade solutions, ShareVault’s virtual data rooms offer a host of features that provide the highest level of document control and analysis, and monitoring.
ShareFile
ShareFile helps businesses share files easily, securely, and professionally. Solutions enable business mobility with secure personal workspaces that give people instant access to applications, desktops, data, and communications on any device, over any network, and in the cloud.
Onehub
Onehub is also secure file storage and sharing service designed for businesses of all sizes. Bank-level data encryption and a granular, role-based permission structure give you control over access to content and sharing important business files with confidence. Onehub offers a suite of robust business tools such as virtual data rooms, client portals, automatic watermarking, branded workspaces, and custom agreements to enhance and expand file sharing.
Clinked
Clinked allows project teams and business customers to work efficiently on documents and files in a secure environment. You can easily keep clients informed of real-time activity streams and manage project progress. Two-factor authentication for secure document access is also available.
So before you choose a data room for your business, it is highly recommended that you do a comparison of virtual data rooms and pay attention to these things:
- Do they meet international security standards?
- Do they have all the features you need?
- How good is their customer support?
- Do they offer a free trial?
Now, virtual data rooms are not just ordinary data warehouses. They’re shaping the way industries work. Virtual data rooms are secure, cost-effective, easy to use, and compatible with operating systems and other software.
They are now becoming a necessity for every business.
