External parties are usually required to review documents whenever crucial decisions such as merger or acquisition, tender, or capital raising are being made. This may require the thorough examination of tens or thousands of confidential documents. Businesses must utilize virtual rooms to facilitate this without risking data breaches and causing compliance violations.
Frequently often referred to as VDR, VDRs that are secure make it simple for users to review and access sensitive data securely online. With top security features and a strong encryption, an VDR is the ideal solution for business deals that need to be protected.
Secure data rooms allow for efficient collaboration, allowing many parties to collaborate on projects simultaneously. It helps streamline processes like documents and Q&As which makes due diligence easier.
To protect documents, many’secure data rooms’ rely on the traditional login and password model. Any system that does not prevent authorized users from sharing their login credentials, and consequently your documents, isn’t appropriate for the task. Most of the time these systems make sweeping claims about their security using terms like’most secure data room’, 'highest level of security’, etc. but this is just marketing noise.
A true secure data space utilizes an ISO 27001 certified system that allows for granular access permissions dynamic watermarking, two-factor authentication, and more to protect against breaches of documents in real time. In addition, it guarantees all user activity is logged and recorded to ensure auditing purposes. This is the only way to ensure that your documents are secure when shared with third-party users.