A virtual data room, or VDR, is a secure solution for sharing and protecting confidential information. Although investment banks are among the largest users of this find technology, the benefits can be used by companies of all kinds. Here are some of VDR’s most frequently used applications:
M&A due diligence
A merger or acquisition of another business requires a huge amount of documentation that must be shared, usually with third parties, such as auditors and regulatory bodies. Accessing a secure, centralized repository for all this data can make the M&A process much faster and more efficient.
The litigation process involves a lot of documents which are extremely sensitive or confidential. Legal teams need a VDR as these documents can be easily lost or stolen. VDRs make it easy for lawyers and regulators to examine the documents remotely, without risking their security.
Offline sharing and signing important documents can be a long process. With the e-signature feature the majority of VDR providers provide the process can be made easier and accelerated.