What Are Virtual Data Rooms?
Virtual data rooms are designed to improve collaboration by providing a central location where teams, partners and customers can view and work on documents in real-time. They feature monitoring and auditing capabilities built-in, and provide a complete history of who has accessed what at what time. This can help in detecting suspicious activities and ensure that you are in compliance with data security regulations.
M&A – M&A transactions require a huge amount of documentation that must be reviewed and shared by the sell-side as well as the buy-side. VDRs are a great instrument to manage this process in a secure, efficient and effectively.
Banking — Investment banks need secure access to confidential documents from clients as well as third parties to be able to complete M&As as well as raise capital for other projects. VDRs are a cost-effective solution that eliminates the requirement for in-person meetings and document storage spaces, courier services and office equipment.
Construction & Service Contracts
Contractors need to share a lot of confidential documents with one to complete projects and to maintain their business partnerships. This requires a robust and reliable tool that allows contractors to access their documents wherever they have internet access. VDRs offer a safe alternative to email and physical files that are easily accessible from any device and place.
Biotech/Pharma — R&D for life science companies requires high-level security and a platform to collaborate on confidential documents with partners, investors and other stakeholders. VDRs enable these firms to keep track of progress by analyzing interest from investors and determine how documents are used by their users.