How to Choose a Data Room

When selecting a data room be sure that it has the right features that will help your particular project. VDRs are diverse in terms of their level of security, the types and the number of users they can accommodate. VDRs provide various permission settings that may affect document safety and collaboration.

When you are evaluating providers look at the ease with which it is to install the software, build folder structures and invite users. Find out if the software includes a tool that enables users to quickly locate and download files, as well as index them according to your due diligence checklist. It is also worth deciding if you’d prefer to use a flat file system or one with an hierarchical structure.

Consider the data room’s capability to restrict simultaneous access if you intend to share similar documents with a lot of investors. This feature is especially useful to prevent leaks from happening because it guarantees that no more than one person is viewing sensitive files at one time. Some VDRs can even apply dynamic watermarks to files which prevent recipients from distributing them.

Take a look at the charges and usage figures of every service provider. Some providers charge by the page per user, per user or storage size. Others provide a subscription-based model. When comparing pricing models be aware that long-term contracts typically include substantial discounts. Find out if there is an demo or trial version to test the system.

Share on facebook
Share on twitter
Share on linkedin