Let’s start with the notion. All VDRs you can find at virtual-dataroom.org offer a software solution for creating a virtual workspace that allows you to organize collaboration with documents and synchronize data between devices and users. So, employees get the opportunity to conveniently and safely work together with documents. In addition, virtual data rooms provide storage of large amounts of information. Access to shared documents is distributed according to the roles of each user. It is also worth noting that you can use the VDR features on mobile devices and agent applications or through a browser.
VDR for each company is not so much a matter of convenience as security. Unlike public repositories that use FTP protocols for data transfer, data exchange in VDR takes place using E2E encryption. Secure SSL and TLS protocols are used to transfer information, which means that the possibility of a MITM attack at the data transfer stage from the server to the user and vice versa is minimized. In addition, the best virtual data room providers introduce additional corporate protection tools into your work. For example, you can apply watermarks for documents of particular importance with the help of the service. By the way, buying a software license means no limit on the amount of data, the number of documents stored, or synchronized users.
Use Cases For Online Data Room Software
Data room software has many applications. Vendors highlight the following scenarios in which it can be helpful:
- Conducting independent legal reviews, establishing stable contact with partners, and organizing processes that accompany M&A transactions in a safe and convenient format on a single controlled platform.
- Providing information on audits or in preparation for an IPO, secure access to company documents for auditors, lawyers, regulators, and other interested parties as part of reviews and audit requests.
- Modern data room vendors do their best to provide companies with the proper conditions for issuing and distributing documents before actual events, for example, for the board of directors or discussing a critical transaction, when you need to send copies of one document to several people, including invited third parties.
- Intellectual property protection: drawings, geological maps, essential developments, process diagrams, design documentation, etc.
- A virtual data room often complements existing workflow systems, as it allows you to streamline and bring to a standard regulation the storage of documents and their exchange in organizations. It solves the uncontrolled storage of documents on network drives and user desktops.
So, online data room software is a new milestone in developing corporate cloud services and one of the fastest-growing business segments in data storage and exchange. Solutions of this kind offer their users many advantages.
What Advantages do You Get with an Electronic Data Room?
Of course, from the set of data room services, the advantages of VDR immediately become apparent. However, we still emphasize the main ones:
- Easy management of a large flow of documents.
- Data room vendors offer ready-made solutions, so you won’t need any additional configuration other than creating users and assigning access rights.
- The ability to share files and folders and solve work issues using mobile devices;
- There are ready-made templates to simplify and speed up daily processes (editing, creating agendas, voting, etc.).
- Document marking and distribution of access rights. The probability of creating identical copies tends to zero: millions of copies of an old file can be created thanks to marking. At the same time, the data room software does not store copies of the document but only remembers the algorithms for its transformation.
- In addition to labeling, it is possible to arrange convenient storage of documents by sections, folders, and owners, partially replacing a public file server, where access rights and work with internal documents are not sufficiently controlled.
- An electronic data room offers to establish a data leak quickly. Upon the fact of the examination, it is possible to generate a report on the leak, which will indicate all the available data: the source of the leak, the date and time the copy of the document was created, and the employee who initially downloaded it.
- The ability to edit an existing document: change the brightness, sharpness, contrast, rotate the document, align it (if the photo of the document was taken at an angle), and modify the perspective settings.
You just have to consult with the best data room vendors and choose those services that will bring maximum benefit to your company.
Secure & Efficient Document Management
For organizations of all types, the issue of protecting documents from access by third parties, unauthorized copying, and theft is relevant. In addition, of course, there is confidential information, the dissemination of which can adversely affect the development of the business. With online data room software, valuable commercial data, author’s work algorithms, TOR templates, drawings, diagrams, customer databases, and other information will get additional protection.
Among the standard types of document protection, enterprises often practice setting a password for files or archives and restricting access rights. But they are all somewhat outdated and inconvenient. Once, if necessary, by opening access to one of the employees or contractors, you can no longer control what happens to the file – how many times and who downloaded it, copied the information.
Best virtual data room providers offer you more modern methods and increase the reliability of data storage and transmission at all levels – both between employees and external partners. However, using the data room services is easy and convenient!