A data room is an online repository for documents and files from the business that are securely shared with third-party organizations. Most commonly, they are used to aid in the due diligence process for an upcoming deal, but technological development and remote work means they are now being utilized throughout the entire business lifecycle from fundraising and divestitures to internal storage and file sharing.
It is essential to invest some time during the planning phase to decide the best way to use your data room and what features will be most beneficial to your business. This will prevent unforeseen costs or wasted effort and ensure the right level of functionality is available to meet your needs.
You will also save time and money by choosing the right data room provider. As opposed to physical rooms data rooms are less expensive in terms of operating budget since you don’t need to hire a secure space and pay for security companies to monitor the room throughout the hours. Furthermore, if your business has many users coming from different locations and time zones, it’s important to choose a vendor that provides 24/7 support so your employees can receive the assistance they require whenever they need it.
A key feature is the ability to quickly access reports that detail the activities of users – who downloaded the documents, at what time and whether they were downloaded or printed. These tools can be beneficial from a management and security perspective, as they provide an overview of the user’s activities which can be used to inform the future implementation and planning.