Virtual data rooms can be used in a variety of ways to facilitate secure document www.dataroom365.com/virtual-data-room-vs-dropbox/ sharing without the need for a costly physical facility. VDRs are typically used during due diligence for mergers and acquisitions. However, they can be utilized to share documents between clients, business partners and other stakeholders.

For M&A deals, a virtual data room is ideal since it permits both the sell-side as well as prospective buyers to look over documents in one location without having to divulge sensitive information or committing any breach. Investment bankers also utilize VDRs to share confidential information with clients and other parties during M&A or capital raising processes. Technology companies use VDRs to communicate manufacturing and design information across teams spread across the globe. Consultants utilize them to discover trends in big data that can inform corporate strategy.

A VDR can cut down on M&A costs by reducing travel and printing costs, and by making documents more accessible than the physical repository. It is also possible to modify the storage system to meet the needs of every project, and to grant restricted accessibility on a document-by-document basis.

Users can access VDRs via their web browsers, so they can read documents from anywhere with internet access. Administrators can also access detailed reports of user activity and who has viewed what, when and where. This gives you insight that is not possible with physical storage. Access logs only tell you who used what, and when.