Data Room Features to Take Notice Of

The importance of digital helpers in the business world cannot be overvalued. Various research works state that using IT helpers does not only improve the quickness and efficiency of main business transactions, but is an important condition of remaining competitive in the market. Among the most attractive platforms for organizational activity is a VDR. See which way it can benefit your business.

Virtual repository is the novelty which has gained the incredible acceptance within the last ten years. Being initially designed for processing mergers and acquisitions, the technology soon got actively applied in plenty of other areas as well: clinical trials, investments, legal affairs, real estate, biotech, etc. The major advantages of the technology are its comfortable operation and confidentiality: parties have a possibility to work with the data room anytime, from any location, and without worrying having no worries about a sensitive data safety.

When choosing the service for performing deals online, it is highly advised to know all about the main characteristics and functions it possesses to make sure it can certainly be useful for the organization – more about sharing data online. The most in-demand functions to require from a good VDR are the following ones:

Encryption

Various virtual services providers have different security-related tools for ensuring the files safety, but information encryption is among the most common ones. This measure supposes encoding the information placed in the VDR in order to make the symbols unreadable for unauthorized users in the VDR. It is the most important anti-hacking action that is a necessary condition for all the virtual data rooms. The distinction might only be in the encryption standard used: the most recent is 256-bit SSL, but 128-bit is highly secure as well.

Watermarking

While encryption is a protection from unauthorized data accessing, digital watermarks is a protection from improper data distribution. Electronic watermarks attached to the files store the data about their owning organization so the rights is easily protected. These watermarks might be dynamic and, in this case, they can collect the information about the accesses to the documents that took place.

Two-way authorization process

The most reliable way to secure the online repository from hackers` attacks is to restrict their chances of even viewing the files. For this reason, many trusted VDRs offer two-step verification , which supposes two components: entering a permanent password in a combination with using the code sent right to the user`s smartphone.

Activity monitoring and reporting tools

This feature does not only give a chance to check what exactly proceeds in the repository, but gives the information regarding the sides` engagement in the deal. Monitoring tools used in a definite virtual data room usually let the target company monitor the actions within the virtual repository and make conclusions about the most active deal members. This data is highly in-demand for dealmaking when the outcomes of the whole deal may depend on the properly considered final negotiation.

Digital rights management

When there is a virtual data room, there is not any possibility for users to view the inappropriate files. The data room itself controls the operations and makes definite documents impossible to view for certain users. The necessary step that should be done beforehand is identifying the permissions for all the system users, and they will be rigorously followed.

Questions and Answers section

The mentioned section has been purposely included for ensuring online-based communication between users. The chosen way of interaction does not only help to minimize time losses, but also improves the safety of the discussed information. For users` convenience, Q&A section can be equipped with the electronic notification system and in-document linking which gives an opportunity to drag the files into the Q&A space.

Customization

Definite VDRs have basic interface that cannot be changed, some other suppose some chance of customization. Together with settings variations made by the users, the organization that has a virtual data room may introduce its desirable interface. To make the VDR more recognizable for current and future clients, some corporations introduce their logo and organizational colors.

The indicated functions are much important for files protection and data management. While the first three ones are used to ensure the documents safety, other four concern the way of using the information to make the deal more controlled and advantageous.

Virtual data room is a tool which can make a dramatic change in information storing and distribution, processing transactions, and building business relationships. If you observe the necessity for improving the speed and efficiency of business procedures, start choosing a good online solution right now and gain the benefits tomorrow.

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