Last updated on June 26th, 2023 at 11:40 am
INTRODUCTION
The pandemic has radically altered the way we have been conducting business in the past one year. Working remotely and online has been the norm. This has compelled businesses to adopt more technologically advanced ways of doing business and managing deals. The traditional components of deal making like face-to-face meetings have been thrown out of the window with the forced online-only work environment. Covid has upended working life, changing how and where people do their jobs. The forced digital transformation shot up the use of Virtual Data Rooms to 48%, up by almost 13% from the year before. Thus VDRs became further embedded in day to day work and forced deal makers to approach technology purchase decisions with a long term view. In such a scenario, VDRs are a godsend. They offer protected solutions to users from around the world.
Virtual Data Room – Storage and Distribution
Virtual Data Room is a cloud-based, secure online repository for confidential document storage and distribution. It’s a secure way that allows multiple people to access it simultaneously. They are widely accessible, immediately available. It offers stream lined collection and organization of business-critical data, customized access. VDRs are used by companies during deals such as mergers and acquisitions, fund raisings, store financial records required for financial tax and legal purposes, audits, IPO’s, intellectual property management, board communications.
VDRs provide 3-pronged security-data security, feature security and physical security. It provides data security with advanced security measures such as virus and intrusion protection, data encryption (at rest and in transit) and network firewalls. Its feature security includes protection against user errors and streamline workforce. Its security features include password complexity, change and expiration, inactivity timeouts, multiple user types and access control restrictions. Physical security features include measures like offsite data backup, data redundancy, fire protection and biometric access.They are more secure than physical data as there is no risk of loss during transit or being destroyed accidently.
Specific document access control includes restricting actions like view only option, copying, printing, forwarding to authorised persons only, dynamic watermark on each viewed or printed document, setting time frames for user access. It allows intuitive data access monitoring by carefully tracking all activity and easily adhering to all compliance requirements. This includes activity audit, document history, notifications, archive downloads.
Thus, VDRs have been a godsend during the times of covid pandemic allowing businesses to transact deals quickly, safely and securely.
The Confiex team specializes in providing premium virtual data room solutions tailored for businesses. With their vast experience in working with document sharing platforms, they have been actively supporting the Virtual Data Room community since 2015 by offering valuable information to users free of charge.