A data room is an online storage space for files and documents that are shared securely with third party. They are mostly used to conduct due diligence on transactions in the near future, but with the advent of remote working and technology development, they are becoming used more and more across the entire business lifecycle. From fundraising and divestitures through to internal file sharing and storage.
It’s essential to take some time during the planning phase to consider how you’ll utilize a data center and which features are the most advantageous for your company. This will avoid unforeseen costs and wasted effort and will also ensure the right level of functionality available to meet your specific needs.
Selecting the right data space provider can also save your time and money. Unlike physical rooms, virtual data rooms are less expensive in terms of operating budget as you don’t have to hire a secure space and pay for security companies to monitor the room throughout the hours. Additionally, if you have a large number of users from a variety of time zones and locations, it’s best to select a provider with 24/7 support, so your team members can receive the help they require when it matters most.
Another key feature to look out for is the capacity to easily access reports describing the activities of users – who looked at which documents, what time they accessed them and whether they downloaded or printed them. These reporting tools are useful from a managerial and security perspective since they provide an overview of the user’s activities that can be used to help inform the future data room design and implementation.