A virtual data room, also known as a VDR is a safe solution for sharing and protecting confidential documentation. Investment bankers are the most frequent users of this technology but it is also used by businesses of all kinds. Here are a few 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, usually with third-party parties such as auditors and regulatory agencies. The M&A process is made more efficient and speedier when you have access to a central, secure repository of this information.
Litigation processes typically require large quantities of documents that are highly sensitive and confidential. These kinds of documents can be easily lost or stolen, and therefore having a VDR is essential for legal teams. VDRs make it simple for lawyers and regulators to examine these documents remotely without harming their security.
Sharing and signing important documents with investors and buyers can be a lengthy process if it is executed offline. With the electronic signature feature that the majority of VDR providers provide the process can be made easier and accelerated.