In today’s business environment virtual data rooms (VDRs) have revolutionized the transaction process. Instant 24/7/365 access from any location and any device with Internet connection, secure data management and storing as well as substantial time and money savings during confidential business deals are the key reasons why businesses turn VDRs instead of physical data rooms.
Plus, the online version of physical deal rooms takes away all many pitfalls and risks, reducing the possibility of a deal not going on as planned.
Today a VDR became a secure online meeting place for all parties involved in the deal. Providing full control during online due diligence processes, these secure online data repositories simplify the cooperation between all parties.
The virtual data room has evolved to become a tool to facilitate the entire deal course, not just for to perform due diligence. Apart from M&A, virtual data room software is widely used for such deals as loan syndication, private equity, and venture.
Typically, virtual data rooms are widely used in many industries, including the following ones:
- Business Brokers
- Investment Banking
- Loan Advisers
- Real Estate
- Venture Capital
- IT and Telecommunications
- Financial Advisers
As a result, online data room providers appear on the market almost daily. Many of offer some similar services, such as secure data storage, data management, and sharing. The other functions may greatly vary. The best virtual data rooms offer military-level security, multi-language support, full-text search, in-document linking, and a wide-ranging selection of other advanced functions.
iDeals Virtual Data Room
IDeals Virtual Data Room is a secure virtual data room solution used by more than 4,000 companies worldwide, including many Fortune 1000 companies since 2008. The virtual data room (VDR) solutions from IDeals are based on a continuous innovation approach, including constant R&D efforts, powerful cloud infrastructure, and instantly available customer services. With iDeals’ advanced document sharing technology and shatterproof security, dealmakers worldwide can fully comply with due diligence requirements.
Intralinks is a global technology provider of secure content management and collaboration solutions. Founded in 1996, Intralinks enables the exchange, control, and management of information between organizations through their virtual data room and deal space solutions, suitable for data sharing inside and outside of the corporate firewall. The company’s key product, Intralinks VIA, supports strategic collaboration solutions for a range of industries, including financial services, life sciences, technology, and manufacturing.
Merrill DataSite is a powerful data sharing solution that streamlines the due diligence in mergers and acquisitions, disposals, IPO, or any transaction requiring a due diligence effort. These features from Merrill DataSite enable customers to complete faster, smarter and better transactions. Explore how Merrill DataSite dramatically reduces transaction times and deal expense through the presentation of documents in the data room.
Brainloop Secure Dataroom
Brainloop Secure Dataroom is an advanced virtual workspace with complete security architecture, global 24/7 availability via a web browser, and its own apps for tablets. Brainloop ensures secure collaboration in a transparently secure online workspace while delivering end-to-end protection for confidential documents. Learn why enterprises worldwide use Brainloop for boardroom communications, research and development processes, legal work, and any other area where you need to share confidential documents.
SmartRoom provides its virtual data room services for numerous business areas, such as capital markets, legal solutions, corporate exchange. Secure document hosting and sharing among partners, convenient management of sensitive corporate information, confidential discussion of the data directly within the platform.
Watchdox by Blackberry
WatchDox by BlackBerry provides secure mobile solutions for data sharing and distribution with its virtual data room that enables users to more easily collaborate as it increases their productivity. Uniting data-centric security with a user-friendly experience WatchDox applies security and advanced digital rights management (DRM) to documents going from your preferred enterprise content repositories to multiple destinations within and outside your organization, including web, desktop, and mobile.
Box Virtual Data Room
Box Virtual Data Room is a secure content management and collaboration platform founded in 2005. Recently Box file introduced a virtual data room service with advanced security features, digital rights management, and convenient file storage system to upload contracts, financial statements, and other due diligence files. Multiple layers of protection keep business-critical information safe and secure while helping teams and enterprises across industries easily share, manage, and collaborate on their most important information from anywhere, on any device.
Which Functions Do Virtual Data Rooms Offer?
Generally, the main purpose of any virtual data room software is to securely keep, manage and share most valuable data during the deal-making. Besides that, online data room providers help the selling side become better prepared for the deal and have a well-planned strategy. Meanwhile, the buying side can carefully examine all documents and predict all risks and pitfalls. That is why the major features to look for in every virtual data room should include the following ones:
Secure data management (data encryption, antivirus protection, account theft prevention, and etc.)
- Digital rights management
- Document filtering tools
- Advanced search within the whole VDR
- Activity tracking and audit log
- Scroll-Through Viewer
- Multiple files format support
- Bulk uploads
- Drag and Drop files
- Possibility to have numerous projects within one account.
In addition to this, best virtual data rooms offer a number of advanced security options, in particular, multiple step login authentication, Print Screen button disabling, Questions and Answers (Q&A) functionality, restriction access by time and IP, Microsoft Office integration, and dynamic watermarks. Plus, many virtual data room providers offer personal training if needed.
Virtual Data Room Comparison
There are lots of online data repositories currently available and it may be rather difficult for you to determine which one to choose for your project. Below you can find some useful tips which you should help you get the most out of your VDR.
- To find the right virtual data room provider you should, first of all, ask yourself which features you will require for your project. You have to realize what you want from a VDR. Keep in mind that when you reﬁne every detail, the entire experience will be enhanced.
- You will need to read the best virtual data room reviews and find out more how a reliable VDR can be used in your particular industry or a project.
- Another important aspect of choosing the proper service for your project is the availability of a free trial. Never buy one- year or half-year membership without using the chosen provider’s free trial offer. Usually, VDR providers offer 1–month free membership, a 60-days trial or a 3-month free trial. The length of the free trial can vary depending on the specific provider.
- Choose only those online data repositories which offer 24/7/365 support, not just during working hours which can be different in various time zones.
- It is highly advisable to select a provider which has already been used in a number of complex ﬁnancial transactions, including IPOs.
- In-house hosting and management are important issues that should not be ignored. It is recommended to choose such providers which do not outsource any part of the data hosting or management process to third parties as this can put your highly conﬁdential data at risk.
- Furthermore, the leading providers offer you lots of awesome features, which not only help you gather, organize and present your data online but also greatly simplify and fasten the time of deal-making. Here are some of the most useful features that you may find useful:
- Document Security: data encryption, automatic backup, Print Screen button disabling, restriction access by time and IP, dynamic watermarks.
- Access Security: duel login authentication, mobile device management, account theft prevention.
- Functionality: Questions and Answers (Q&A), Microsoft Office Integration, activity tracking along with audit log, as well as bulk uploads, and etc.
- Usability: advanced search option, intuitive interface, easy to understand functions. Typically, choose such platform that is perfect both for beginners and professionals alike.
- Real-time reporting capabilities: activity tracking and audit logs.
- In addition, you may find it useful to find a virtual data room provider who can customize it according to your needs.
- Finally, make sure to inquire what bandwidth the chosen platform is offering.
These are important issues to consider upon choosing the proper platform for your project. We suggest the following comparison to determine the best virtual data room for your business deals. You are welcome to read the reviews, compare functions, capabilities, and rates. We recommend that you pay close attention to security and functional aspects. And remember that first of all you should have a solid understanding of all specifics of your project and what you will require from a VDR before you get started.