When major decisions are being made, such as mergers, acquisition, tender or capital https://joindataroom.com/ideals-or-venue-which-virtual-data-room-suits-your-investment-banking-deals/ raising, there is often a need for external parties to examine a company’s documents. This can mean an exhaustive review of tens or thousands of confidential documents. To allow this to occur without risking the possibility of data breaches and resulting in an unconformity, companies should utilize a virtual data room.
Frequently often referred to as VDR, VDRs that are secure make it simple for users to view and access sensitive information safely online. A VDR provides top security and encryption to ensure that transactions are kept safe.
Secure data rooms allow for efficient collaboration, allowing many stakeholders to work together on projects at the same time. It also streamlines processes such as Q&A and document revision, making due diligence a much faster and more efficient process.
However, most ‘secure’ data rooms depend on an outdated system of passwords and logins to secure documents. Any system that doesn’t prevent authorized users from sharing their login credentials (and consequently your documents) is not suitable for the purpose. A lot of the time these systems make big claims regarding their security using terms such as ‘the most secure data room», «highest degree of security’, etc. – which is just marketing hype.
A true secure data room employs an ISO 27001 certified system that provides granular access rights dynamic watermarking, two-factor authentication and other features to guard against document breaches in real-time. In addition, it guarantees all user activity is logged and recorded for auditing purposes. This is the only way to ensure that your documents remain secure when shared with third parties.
