What to Look For in Data Rooms
When people think of data rooms, they’re likely thinking of the due diligence process for a merger or acquisition (M&A) deal in which both parties review the documentation that is critical to business. Data rooms are used for a variety of purposes beyond M&As. They also aid with equity transactions, fundraising and company restructuring.
There are a variety of software solutions for data rooms, and it is important to choose one that suits your business. Ideally, it should be easy to get started and be accessible from any place in the world, with secure logins, encryption technology, and tools to detect illegal downloads or access.
Another important feature is the ability to create an organization structure that is compatible with the requirements of your project/due diligence and assigning reading and uploading tasks to internal team members or advisors as well as third party. Granular access permissions that can be customized at the an individual level for both folders and documents are also useful. Also, when it is the Q&A discussion section of a potential deal, choose the solution that comes with an intuitive and efficient editing tool that is wiki-like, making it simple to add notes that can only be read by you (and not the other party).
The most reliable online data room provides a variety of reports that give administrators a complete overview of the activity of users. This includes the type of documents were viewed, as well in the event that they were downloaded or printed. They should also allow users to export data in a secured format for future use if needed. Also, find a service that provides ongoing technical and account management support that is accessible 24 hours a day all year round.