A data room is an online repository for files and documents that are securely shared with third party. The majority of the time, they are utilized for the due diligence phase of an upcoming deal, but technological development and remote working mean they are increasingly being used throughout the entire business cycle from fundraising and divestitures to internal storage and file sharing.
It is important to take some time at the planning stage to think about how you’ll utilize a data center and what features are most advantageous for your company. This will avoid unexpected costs or waste of time and ensure that the correct level of functionality is available for your particular needs.
You will also save time and money by choosing the right data room service. Virtual data rooms are less costly to run than physical rooms since you don’t have to pay for a secure facility or security companies to monitor it continuously. Furthermore, if you’re dealing with a large number of users spread across a variety of places and time zones, it’s best to select a provider which provides 24/7 support to ensure your employees can receive the assistance they require whenever they need it.
Another key feature to look out for is the ability to easily access reports on user activity, such as who looked at which documents, what time they opened them, and whether they downloaded or printed them. These tools for reporting are beneficial from a management as well as security perspective because they provide a comprehensive view of the activities of users that can be used to help inform the future data room design and implementation.
