Virtual Data Rooms (VDRs) are software platforms that allow companies to store and share sensitive data in a secure location. It is typically used for due diligence in mergers and acquisitions, litigation and other financial transactions.
The VDR industry is extremely scattered, with vendors offering a variety of features and prices. The best providers provide an easy-to-use interface and staff members who can communicate in multiple languages. They also offer extensive analytics that provides information behind the scenes about how documents are accessed.
Some data rooms are designed to specific industries. For example the life science industry requires documents that contain intellectual property as well as medical information to be kept and shared. Many providers have built-in functions to make these processes easier. For instance redaction (blacking parts of files containing personally identifiable information) is a common feature. To make building projects easier the immovable property market must send contracts to contractors. Some vendors provide built-in functions for this, like the ability to instantly send blueprints and other important documents with subcontractors using the form of a VDR.
Ask for a free demo and consider how easy it is to navigate. A VDR that is difficult to navigate will be ineffective, so make sure you can test out all the features by using an account for free before you make an agreement. Also, consider the reliability and uptime of the VDR. A reliable VDR should be always available and available, with minimal interruptions.