Physical storage of sensitive documents has long been relegated to the back burner, as it seems more complex and problematic than today’s capabilities. However, finding an online solution that can meet business needs for secure information storage isn’t easy either, as most of them don’t offer the proper security. At the same time, a virtual data room is a unique, feature-rich platform that can meet most of today’s business requirements, especially when it comes to security. In this article, we will take a closer look at their benefits.
What are virtual data rooms?
Virtual data rooms have been on the market since the early 2000s, when digitalization was beginning to gain momentum, but at the time, this solution was little known. It was used exclusively for M&A deals. However, the surge in demand for VDRs came at a challenging time for the world – the Coronovirus pandemic, when most companies were forced to go remote and try not to disappear during this crisis. The VDR market is still growing because this unique platform is suitable for every business and nonprofit sector, and allows for the most secure completion of complex transactions, efficiently and safely. Below, we’ll highlight the benefits of the data room and explore them in more detail.
Impeccable data protection
Virtual Data Room is one of the few cloud storage services that has proven its right to handle sensitive data. VDR providers provide their customers with international security certificates, which show that the program has passed the security test. In addition, statistics have shown that since companies began using VDR solutions en masse, the percentage of data breaches has dropped significantly. Data Room uses the following security features:
- Data encryption -encodes the content of the data during transmission
- Watermarks -protect the copyright of the document
- Double Authentication -protects login by entering an additional one-time login
- Detailed permissions – allows you to control access to the document by all invited users, as well as the ability to copy, print, download, and forward
- Self-Destructing Documents – allows you to wipe data from any device remotely
Speed up the deal
Time is money, so partners appreciate any opportunity to speed up the transaction process, and the data room can help with that. First and foremost, VDR helps speed things up because its uptime is 99.9%. In addition, the data room offers great interconnectivity features such as encrypted chats, a question-and-answer section, and the ability to annotate and comment on documents. Everything happens in absolute privacy, and it also means that partners don’t have to make in-person appointments, which also saves money. The ease of use of VDRs also plays a part in this, as it takes less time for users to adapt.
Through the automated reporting features and the audit log, administrators can stay on top of their essential tasks, showing in detail the latest activity inside VDR:
- Who logged in and out
- What documents do they enter?
- How long do they stay there?
- What they did
And it also helps you keep track of employees’ progress on the task you’ve assigned them. With this data, you can analyze the behavior of invited users and determine which ones are interested in the deal. Plus, it also increases security against the insider threat.
Previously, you had to dig through stacks of archives to examine documents, but now, you’ll be able to do so from any location and device. In addition, VDR allows you to use any gadget and operating system and offers mobile apps for some operating systems for more convenience.