Using Data Rooms for Due Diligence
If you’re in charge facilitating due diligence and want to ease the burden on participants in the project, using a virtual data space could be the ideal solution for your company. There are a variety of providers on the market, so selecting the right one can take time and effort. It is important to choose one that has an intuitive interface that is in line with your industry, and that is simple to use by all participants.
To prevent security breaches, look for a secure data room that comes with watermarks as well as other security measures. Some providers permit you to display an NDA (or Terms of Access) agreement to users prior they are allowed to access uploaded files. A more convenient way to sign off is necessary.
Another way to improve due diligence is to organize documents into a well-structured folder system. This approach involves creating main folders that are associated to a particular kind of file, level of confidentiality, or project stage and subfolders to further break down documents into easily-accessible sections. Choose a service that has auto-numbering and file indexing features to keep the structure as well-organized as you can.
You should also look for virtual rooms that offer different options for managing your files. For example iDeals’ virtual data rooms provide eight different levels of permission for controlling access to uploaded files that include read-only mode, fence viewing, download and editable Excel sheets. Additionally, the platform comes with remote shredding and encryption of 256 bits to ensure security.