A data room is an online platform that allows files to be shared and stored securely. Users are able to access the dataroom via a mobile app or web browser. Users can choose to be granted various permission levels that determine the ability to view documents print them, download them or edit them in the data room. These permissions may expire at a specified date and time to control digital rights. Access to the data room can be restricted to IP addresses to ensure data security.

A merger and acquisitions deal https://www.justdataroom.com/highly-quality-data-room-software/ is the most common application of an online data room. This is the case when sensitive documents have to be shared in order to complete the financial transaction. Virtual data rooms consolidate and streamline the preparation and review of documentation for both the buy-side and sell-side. They also improve transparency and speed up the closing process.

A virtual dataroom allows potential investors to access the room from any place in the world, which increases competition and the value of the company that is being acquired. It streamlines the M&A by allowing teams to work online for collaboration, rather than having to meet in a hall. Additionally the VDR allows for granular document visibility for users so that they only see the information they have to read, which helps protect proprietary information. For example administrators can allow dynamic watermarks on all printed and viewed document pages to prevent leakage and theft of intellectual property.