How to Choose a Secure Data Room and Have a Simple Workflow

Choose a data room that is secure and has a straightforward workflow for setting up and managing data rooms. This is ideal for companies who require sharing sensitive documents with their external partners or third parties. You can add documents and set them to expire on a regular basis or erase them, and keep track of who viewed them. This allows you to reduce liability and monitor compliance.

Data rooms are traditionally utilized for due diligence during M&A transactions. However, they are increasingly used for other transactions such as fundraising, restructuring and internal file sharing. As a result, there are numerous virtual data rooms on the market, each with their own features and prices. Choosing the right one for your needs can be difficult however there are a few essential aspects to consider when looking at different providers.

You must first think about the storage capacity. This will depend on the type of file and size that you wish to upload and save into your data room. For instance, text files will require less space than high-res images or technical drawings.

It is important to check if your provider has basic security features, such as multi-factor authentication and granular authorizations for users. iDeals is highly recommended by security experts due to its access security features. Citrix, Datasite, and iDeals are also highly recommended. iDeals has more advanced capabilities like security impersonation for users and remote wipe, and it can manage mobile devices.

Annotation tools are another important factor to consider, particularly in due diligence projects. Choose a vendor that provides both static and dynamic watermarking that can be used at the level of folders and documents and screen shielding.