6 Things to Look for in a Virtual Data Room

Choosing a virtual data room for your team may not be the easiest of tasks. Before deciding on a virtual data room provider, you will need to look for several things before making your final decision on which software to use

1. Specific Features of the Data Room

Regardless of the kind of organization or business you run, a data room will play a crucial role in the storage and sharing of data. You will need a system that can handle a huge volume of data and multiple tasks at once. Some of the tasks the data room should be able to handle include mergers and acquisitions, private placement, raising capital, debt and equity fundraising, bankruptcy and restructuring, IPOs, and loan syndication.

2. Security

Security is a key factor when considering the use of a virtual data room. You will be sharing confidential and sensitive information that must be kept safe at all times. A quality virtual data room will come with the latest and effective encryption technology that helps to keep the information safe. Some features like screen-only viewing ensure that the information shared cannot be edited or tampered with during transfer. Other features that may prove useful include electronic signatures and unique watermarks to give the documents a unique identity.

3. Power and Control

Whenever an organization has to share huge volumes of data, it usually involves high stakes. You will want to keep some of the paperwork secure while allowing some people control over certain information. The ability to choose who can view or download certain documents is critical and it ensures all files and documents are only seen by those who are authorized. A quality virtual data room comes with features that allow you to control remote access via multiple devices for better communications.

4. Pricing

When choosing a virtual data room, you will want to go with the option that fits your budget perfectly. Traditional data rooms usually charge per page, leading to high invoices. They may also charge for a given period, per user, and carry additional fees for sharing of documents. However, modern VDRs are more budget friendly as most of them come with flat-rate pricing that gives you access to features such as unlimited users, data, and average charge protection. Your team will no longer have to worry about counting pages every time you use the virtual data room or whether their pricing to clients is fair.

5. New Customer Training

The ability to learn software and use it appropriately can separate a good virtual data room from an average one. Teams usually need a virtual data room that is easy to set up and use, and has a reasonable learning curve. Since everyone’s ability to learn new software is different, the virtual data room selected should be easy to train and integrate into the daily operations of the company. Providers who offer free training and 24/7 customer service help in making the training process seamless.

6. Additional Features

You may also consider a virtual room that comes with additional features for your team. For instance, a VDR that can be incorporated into your sales pipeline, project, or management may be more attractive than a basic one. Such virtual data rooms are better equipped to deal with more complex tasks while delivering value.

While there are many VDRs in the marketplace, it is important to choose one that perfectly fits the needs of your team. Features such as security, control, pricing, and advanced components can guide in choosing the best data room for your organization.