A virtual data room, also known as a VDR, is a secure solution for sharing and securing confidential information. Although investment bankers are among the biggest users of this technology, the benefits are available to businesses from all industries. Here are some of the most common uses for VDRs: VDR:
M&A due diligence
A merger or acquisition of another business requires sharing a lot of documents, typically with third-party entities such as auditors and regulatory agencies. Accessing a secure, central repository for all this information makes the M&A process significantly quicker and less complicated.
Legal cases
The litigation process involves a lot of documents which are extremely sensitive or confidential. These kinds of documents can easily be lost or stolen, which is why having a VDR is essential for legal teams. VDRs allow attorneys and regulators to access documents remotely without any compromise to security.
Real estate
Offline, sharing and signing important documents can be a long process. The process can be speeded and streamlined with the eSignature feature offered by most VDR providers.