If you are a business owner who needs to share sensitive information with third parties or external partners, you should choose a safe data room. It will have an easy process to establish and manage data rooms. You can add documents and set the timer to expire automatically, or erase them, and keep track of who has viewed them. This helps you reduce liability and monitor compliance.
Traditionally, data rooms are used for due diligence in M&A deals, but they are now being utilized for fundraising, other transactions and restructuring and also for internal storage and file sharing. This is why there are many virtual data rooms on the market, each with different features and secure data room costs. Choosing the right one for your requirements can be a challenge, but there are several crucial aspects to be considered when looking at different providers.
First of all, you have to think about storage capacity. It will depend on the nature and size of the documents you wish to upload and store in your data room. For instance, text files will take up less space than high-res images and technical drawings.
You should also determine if your provider offers basic security features such as multi-factor authentication or granular permissions for users. iDeals, Datasite and Citrix are three vendors that come highly recommended for their access security features with iDeals particularly having more advanced capabilities, such as user security impersonation, remote wipe and mobile device management.
Annotation tools are also a consideration, particularly for due diligence projects. Choose a vendor that provides both static and dynamic watermarking, which can be applied at the level of folders and documents and screen shielding.