External parties are frequently required to look over documents when crucial decisions like a merger or acquisition, tender, or capital raising are being made. This can mean an exhaustive review of tens or thousands confidential documents. Businesses must utilize a virtual room to allow this without risking data breaches and creating compliance violations.
Often known as VDR, a secure data room makes it easy for users to review and access sensitive information safely online. With top security features and a solid encryption, a VDR is the perfect solution for business deals that need to be secured.
A secure dataroom facilitates efficient collaboration because it lets multiple stakeholders work on projects at the same time. It also makes it easier to https://joindataroom.com/how-do-i-choose-the-right-vdr-provider-for-me/ manage processes such as Q&A and document revision, making due diligence a much faster and easier process.
However, many’secure’ data rooms depend on an outdated system of passwords and logins to protect documents. Any system that fails to restrict authorized users from sharing their login credentials (and consequently your documents) is not appropriate for its use. Most of the times these systems make big claims about how secure they are by using terms like’most secure data room and ‘highest level of security’, etc. but this is just marketing hype.
A true secure data room employs an ISO 27001 certified system that gives access to users with granular permissions, dynamic watermarking, two-factor authentication, and more to ensure that breaches are prevented in real time. In addition, it ensures every user’s activity is recorded and recorded to ensure auditing purposes. This is the only way to ensure your documents are secure even when shared with a third party.