Virtual data rooms offer an efficient method of sharing documents with other parties during due diligence or other M&A transactions. The efficiency of the solution be will depend on how it’s setup and used.
Choose an VDR that was created with sharing quality as a primary goal. It should have a wide variety of tools that allow users to upload and share large quantities of files. It should also allow administrators to create folders and create indexes of documents. It should have a powerful search tool that enables users to locate documents quickly. Ideally, the service should enable users to print documents as well as download PDF files with watermarks. Administrators should be able to keep track of when documents are printed and downloaded.
Take into consideration whether a vendor provides a single-use transaction or an annual subscription before choosing the vendor. A subscription with an annual term offers more flexibility and a lower cost of ownership. It also eliminates the possibility of price hikes that could occur during the term of the contract.
A reliable VDR will support multiple browsers and platforms, including Mac and Linux. It should also work with any file format. Additionally it should be simple to modify the look and feel of a virtual data room with custom branding.
Verify that the VDR is fitted with high-quality security features to ward off unauthorised access. For instance, the service must provide multi-factor authentication, as well as user security impersonation. Additionally administrators should be able to set a session timeout which will automatically close the user’s session following an inactivity period of a certain amount of time.
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