INTRODUCTION

Data is very valuable for companies as well as hackers. Any breach of this data can wreak havoc with a company and cause irreparable damage to it- financially, legally and damage its reputation forever. So, keeping your data safe is of utmost importance and this is where Virtual Data Rooms assume importance. They are a safe and effective way to store and share sensitive data.

Virtual Data Room

A Virtual Data Room is a cloud-based storage system and its certifications, user features and encryption protocols work to keep your data safe. An ideal virtual data room is simple to use and easy to navigate, allowing users to effortlessly upload, access, and review documents in an organized and efficient manner. It takes the guesswork out of how to secure your data and instead offers multiple features that defend against unwanted third parties gaining access. Normally the type of certification a VDR provider has indicates the type of security features it offers. ISO 27081 is considered the premiere security choice for cloud storage systems. A VDR that is ISO compliant means it follows the guidelines set forth to protect Personally Identifiable Information (PII) in storage clouds.

Secure and Efficient Storage of Data:

VDRs allow for secure and efficient storage of information. They have almost the same level of security as high-level financial agencies like banks. You can also be sure that your private information will not be affected by natural and manmade disasters, fire or flood.

Secure File Sharing and Access Control:

Virtual data rooms allow for easy, centralized and secure file sharing, thereby making it the perfect tool for deal-making. The administrator can determine who can access specific documents in the room and also set parameters about what they can and cannot do with the documents. Room specific additional security features also make this file sharing extremely easy and secure. 

Secure Collaboration Possible:

VDRs allow increased collaboration due to heightened visibility, 24/7 access to files, real-time transparency and communication.

Advanced Security Features:

• Strong encryption encoding methods. Encryption is a method that encodes data before it is moved into a storage cloud. While data moving to and from the server in a cloud is usually encrypted, the document itself is not always encrypted. VDRs allow for the encryption of the document itself, thus increasing its security. 
• Document permissions and restriction settings. Secure VDRs provide features such as “view only” so that your business sensitive data cannot be copied, shared, and/or printed without permission. Another document permission and restriction setting is the ability to share only a portion of a document with a team member and restrict him/her from other specific parts of a document. These features allow you to control and limit who is downloading, viewing, and saving sensitive content. 
• Digital watermarking. Digital watermarking- static and dynamic i.e. both visible and invisible is the use of an embedded marker on the data (whether it be text, video, audio, or an image) to identify ownership of the data. This allows you to monitor and track who is downloading and printing information. This helps you protect your sensitive information from leaks.
• Two-factor authentication. Two-factor authentication keeps data safer than a regular password.  It requires you to provide not only a password to enter a data room, but also additional factual information and/or codes. This reduces the chances of a wrong person entering the data room.
• The ability to check which IP, device, and location a user logs in with. This important, feature allows you to see where and when users are logging into the data room. This helps protect against leaks and misuses of the VDR. 
• Audit Logs. Audit logs provide analytics on all activity within the virtual data room like user specific information, as well as document activity. 
• Single Sign On (SSO) Integration. SSO is a user authentication service that allows a user to enter one set of login credentials, such as a username and password, and be able to access multiple applications with those credentials.
• Robust 24/7 Customer Support. Many of the individuals utilizing VDRs are collaborating with stakeholders around the country or even the world, this means your VDR must provide 24/7 customer support. ‍
• Customizable NDA. This feature requires all the users who log into the data room to accept the NDA before they can access the documents.
• FINRA Compliance: The Financial Industry Regulatory Authority aims to protect investors by making sure the security industry operates fairly. It is the largest independent regulator for all securities firms doing business in the U.S. and offers regulatory oversight.

The security of your business should not be taken lightly and anything other than a good VDR just won’t cut it when it comes to organization, ease of use, and a collaborative space impenetrable to undesirable third parties.