Secure Virtual Data Room

A secure virtual data room is a secure online repository that allows for the storage and sharing sensitive documents within a controlled environment. These specialized solutions can be crucial in supporting complicated projects and processes that require the sharing of sensitive information with people who are not within the firewall of an organization. This includes the M&A process and litigation cases, as well as due diligence for PE/VC investments as well as fundraising.

Data rooms are different from standard file-sharing applications like Google Drive or Dropbox because they are focused on security both at the system and document level. They rely on advanced encryption both in transit and while at rest, as well as multi-level authentication techniques. They also offer features like watermarking, disabled print, and blind view in order to protect against https://securevdronline.com accidental disclosures.

Some VDR providers make big claims about how secure their systems are – using terms such as «most secure virtual data room and a highly secure data room’. The truth is that any system that allows authorized users to share login links or documents with users who are not authorized is not secure. Even 2 factor authentication doesn’t stop this, since a user could forward the second link to other users.

Choose an VDR provider that is accredited with ISO 27001 accreditation – this is the highest standard for security management systems for information. Look for a VDR that provides precise activity tracking as well as granular permissions that let you see who has accessed what documents. This is crucial for M&A and fundraising as it provides you with insight into the level of interest the shared documents generate with bidders.