Data room services enable companies to safely send, share and store sensitive client data. They also help streamline complicated processes like M&A due diligence fundraising, regulatory compliance, and due diligence. The top data rooms provide an intuitive interface that is equally intuitive for the CFO as well as the accountants who are just beginning their careers, with ample user permissions and activity tracking.
The data is encrypted throughout the entire workflow of a data room, unlike personal file sharing and storage solutions. This ensures that only authorized users have access to the content. Some data rooms include features that guarantee that only the most current version of a document will be used, eliminating the risk that an older draft could be shared accidentally or downloaded.
When selecting a data room, it’s important to consider the requirements of each project. Investment banks, for instance, require a solution that will support the entire M&A process from sources to post-transaction integration. They need granular access control that allows them to manage access to documents, folders, and document level. They can also track the activity in real-time using detailed insight dashboards.
For life science and healthcare companies the ability to securely upload and collaborate on clinical research is key. These projects typically involve increasing quantities of confidential information, including patient records and research findings. They also have to navigate complicated and time-consuming processes like licensing, and may require contact with investors from different countries simultaneously. A data room that can handle multi-project management, provide the user with a customized brand and color scheme, and allow the ability to filter documents based on date or user will enhance collaboration and efficiency.