Online data rooms are a web-based platform that permits the safe sharing and management of confidential documents in a business transaction. The platform’s capabilities make it a great solution for many situations, from M&A to capital raising, strategic reviews and tenders. The data room’s highly granular folder permissions as well as its robust search capabilities allow users to find what they’re looking to find quickly. They can also upload large files and save time when creating complex folder structures.
In M&A it is vital for both the sell-side and the buy-side to look over documents in a secure environment. Virtual data rooms streamline due diligence processes and help facilitate the speedy completion of an M&A transaction. They can also facilitate post-merger integration using features such as document versions, Q&A processes, and a powerful search.
Life science companies like biotech or pharma typically have to deal with a lot of confidential information. Inability to secure the data could result in competitor espionage or even a lawsuit. A reliable VDR can allow life science companies to secure sensitive information by placing it in a central space, allowing collaboration between teams as well as external stakeholders. A robust audit trail also records each login, agreement or video viewed, as well as the document viewed with detailed specificity. This provides transparency and accountability during the due diligence process and helps with regulatory compliance.