A virtual data room, also known as a VDR is a secure and secure platform for sharing documents online. Users can collaborate on projects, review documents and make requests in real-time. These platforms are used for capital raises, M&As or strategic reviews. They can also be used for conducting audits, tenders and audits.
VDRs allow companies to share sensitive and confidential information with third-party parties, like investors or clients in a controlled and secure environment. They can also be used for project management and collaboration in business. They are highly customizable. They include features such as documents with granular permissions, search functionality and an intuitive interface that allows users to upload files from any device or location.
Private equity firms and funds use VDRs to share portfolio information, tax information and documents for funds in an organized and transparent manner with investors who are interested. They can also access the platform 24/7 and collaborate with third-party partners on due diligence procedures.
VDRs are utilized by life science companies to share detailed R&D documents with potential investors. This allows them to gauge the level of interest and engagement. They can also upload licensing IP documents, patient files and clinical trial results to give potential buyers an overview of their business.
Investment bankers rely heavily on VDRs for sharing large volumes of documents used in the process of investment banking, such as IPOs and Capital Raisings. They can also comment on the data using the Q&A feature of the platform, and request specific documentation from buyers in bulk. They can also monitor the progress of due diligence and other projects by using a dashboard that provides them real-time visibility on their data room usage.