A virtual dataroom, or VDR offers the security to share and protect confidential documents. Although investment bankers are among the largest users of this technology, its benefits are available to businesses of all types. Here are a few of VDR’s most common uses:
M&A due diligence
A merger or acquisition of an other company involves sharing a large amount of documentation, often with third-party entities such as auditors and regulatory agencies. The M&A process is made easier and faster when you have access to a centralized secure repository of the information.
Litigation processes involve large volumes which are extremely sensitive or confidential. These types of documents are susceptible to being lost or stolen, so having a VDR is crucial for legal teams. VDRs make it easy for attorneys and regulators to access these documents remotely, without harming their security.
Signing important documents and sharing them with investors and potential buyers is often a lengthy process if it is executed offline. With the e-signature option that the majority of VDR providers provide this process can be simplified and accelerated.