You may think of the data room as a virtual space that facilitates due diligence during an acquisition. Both sides of a deal can access and examine sensitive information, such as the financial performance of the company, patents and product development. A well-designed dataroom could also be used for internal file sharing, storage and collaboration projects. Access control is crucial for a data room to be efficient.
Granular permission settings set at the folder and document level can help you manage access to information that is privileged on an need-to-know basis, reducing the possibility of disclosures that are not authorized. By keeping track of activity in the data room you can keep track of who has viewed what and when, as well as for the length of time. This will increase transparency and accountability between collaborators.
A good VDR lets you retract documents after they have been downloaded. This can lower the chance that sensitive information will fall into the improper hands. It will also provide a reliable redaction tool that lets you to remove details in a document without manual edits.
Many VDRs still offer per page pricing. This can be a great option for an incredibly small and clearly defined project, but it could be expensive for larger, more complex projects with insufficient or undefined variables. It’s essential to determine the pricing of your preferred VDR provider charges by the amount of documents produced or by the amount of user activity within the data room.
