The significance of digital helpers in the business world can hardly be overvalued. The numerous researches confirm that using IT solutions does not only increase the quickness and efficiency of most business transactions, but is the only condition of remaining competitive in the market. One of the most attractive online tools for business is the online data room. Check which way it can help your business.
Virtual repository is the recent development which has earned the incredible acceptance during the last decade. Being primarily introduced for M&A transactions, it soon became frequently used in many different industries with the unchanged success: clinical trials, fundraising, legal affairs, real estate, biotech licensing, etc. The key advantages of the solution are its convenience and privacy: parties have a possibility to work with the virtual data room anytime, from anywhere, and having no concerns about the information safety.
When it comes to choosing the virtual platform for processing definite business transactions, it is much important to know all about the characteristics and features it has to be sure this VDR can truly benefit the certain client – more about virtual deal. The key options to expect from a sophisticated platform are the following ones:
Different providers use various security measures for best files safety, but encryption is among the most common ones. It supposes encoding the information placed in the data room in order to make the text unrecognizable for unauthorized users in the repository. It is the most important anti-hacking action which is a necessary condition for any data room. The distinction can only be in the encryption protocol which was used: the most recent is 256-bit SSL, but 128-bit is highly secure as well.
While data encryption is viewed as a protection from unauthorized data accessing, digital watermarks is a protection from unauthorized sharing. Digital watermarks attached to the documents store the details regarding their owning organization so the rights can be absolutely protected. These watermarks can be dynamic and, in this case, they can collect the data about all the accesses that have taken place.
The most trusted way to fully protect the data room from hackers` attacks is not to give them any possibility of even accessing the files. For this purpose, many reliable vendors offer two-step verification process that supposes two components: entering a permanent password and typing down the generated code which was sent right to the user`s mobile.
Activity monitoring and audit report
This function does not only give a possibility to check what actually proceeds in the data room, but allows to get a feedback regarding the sides` level of interest in the transaction. Monitoring tools that are used in a certain VDR mostly allow data room owners to track what happens in the virtual space and build conclusions about the most interested participants. The received information is especially valuable in M&A transactions when the outcomes of the transaction may depend on the properly led negotiations.
Permissions and restrictions
When there is a VDR, there can be no possibility for transaction members to gain access the inappropriate files. The VDR itself checks the operations and can make certain files impossible to view for the chosen users. The necessary step that should be made in the beginning is identifying the permissions for all the participants, and they will certainly be carefully followed.
This section has been intentionally designed for the purpose of ensuring online interaction between users. The offered way of interaction does not only let to minimize time losses, but also adds to the security of the discussed information. To give users the extra benefit, Q&A module may be equipped with the electronic notifying system and in-document linking that offers a possibility to link the certain files to the Q&A space.
Certain VDRs offer basic interface which can`t be changed, some other suppose slight or great chance of customization. Together with setting changes set by the users, each organization which owns a VDR can define its own interface. In order to make the data room easily recognizable for existing and potential clients, well-known companies use their logotypes and main company colors.
These seven options are much significant for document safety and easy management. While the first three are necessary for ensuring the documents safety, other four concern the means of managing the information to make the transaction better controlled and beneficial.
Virtual data room is a tool which has a potential to introduce a dramatic change in data storing, processing deals, and building business relationships. If there is a need for improving the speed and effectiveness of business processes, start looking for a reliable online solution today and be sure to get the advantage tomorrow.