Virtual data rooms became incredibly widely used during the past a couple of years. Companies get a lot of advantages adopting them. So there is no surprise the virtual deal room market became pretty vast and profitable. Brand new providers are developed all the time, and every one of them does its best to amaze clients with interesting features on this endless war for the interest of the audience.
But do online deal rooms actually differ that much from virtual repositories? And why would a brand pay for it? Since there are plenty of people who would ask these questions, let’s find out the technology behind the digital data room.
What is a VDR?
Let’s start with the basics and take a look at the application itself. It is a virtual repository where enterprises can store their sensitive information. But although it is the most important ability of such technology, the list of its tools doesn’t end on simply being a repository. Online repository offers its users a complete interface for all company interactions. Here employees can exchange files, discuss details, get ready for meetings and many other. Basically, using this technology a company will have a full range of handy instruments that will allow to improve the work of the team and whole brand.
So, while ordinary online repositories can only offer a virtual space so a firm owner can store files there, data rooms are a complete brand instrument. These instruments can be used during Due Diligence, Mergers and Acquisitions, fundraisings, IPOs and other processes within the company.
Safety is above all
For sure, not each brand interacts with the sensitive information on the every day basis. But even though this information can be not quite sensitive, any entrepreneur would want to get their data stolen or illegally used. Virtual repositories like trendy Dropbox or Google Drive are not really safe to use – manifold cases of data leaks have shown it to us pretty clearly.
Thus, the main difference of online deal rooms is the data encryption and different ways of protection. Sure, ordinary online storages encrypt their transmission lines too – but not really the transferred information itself. And if someone else has a direct link to the document, it can be easily stolen by malefactors.
Online meeting room providers encrypt not only transfer lines but the data as well. There is no way they will be exposed to any kind of threat caused by malicious acts of thieves. Additionally, all virtual data rooms have a two-factor authentication. It means that to enter the system the team member will have to enter the code that was sent to their phone in an SMS when signing in.
Also, the owner of the virtual deal room can manage the level of access other partners have. Settings can be changed at any second. And if any extraordinary situation happens, the room owner can eliminate the file remotely or cut the access to it.
Unlike simple virtual storages, online deal rooms are created to advance the teamwork of the business and among team members. So on top of that that participants can exchange the data with each other, they can as well be involved in discussions, go through diverse votings, create Q&As and much more. It is pretty comfortable to have all instruments in one interface.
Additionally, leaders of companies are able to keep an eye on the workflow of their businesses in the virtual meeting room . Some providers even offer an artificial intellect implemented in their apps. It allows to predict situations and trends and get better insights. Besides that, entrepreneurs can see thpartners and realize if there are some problems in the work of the brand.
In conclusion, there obviously are broad-ranging reasons to implement a virtual meeting room in your business and stop using generic virtual repositories idealsvdr . Once you try a VDR, you will never want to get rid of it.