Traditionally, companies have sent investors to an information room to look over documents for projects such as an acquisition or IPO. But this type of deal involves a lot of work for all parties involved, especially if there are hundreds of pages and files to review. This is the reason why more businesses are opting to use virtual data rooms in order to present their documentation.
With the help of online data room software, users are able to collaborate on documents and projects in real time. Users can also access their documents from anywhere using an application. They can also control their permissions by restricting or granting specific access levels to documents according to their job. Online data rooms also permit users to add digital watermarks to be visible on all files that are printed, viewed or downloaded.
This allows the administrators of data rooms to monitor who has access to what file, at what time and for how long. It can also prevent data breaches, by providing a secure area for the exchange and storage of documents. Redaction is a further advanced feature. It is a handy tool to have if you have to remove images, text, or certain parts of documents. Some VDRs provide this feature in different formats, including PDF, docx, txt ppt jpg gif. Q&A reporting is another feature that lets you keep records of all questions as well as answers throughout the virtual dataroom project.