The advent of the internet and digital media have turned into a blessing for businesses in so many ways. From marketing, information processing to file sharing, the internet is like a panacea for businesses. But this blessing seems to start fading into disguise when we hear about news related to data breaches, identity theft, and hacking.
Such alarming news is making businesses question whether online document sharing is the right option for them? Well, the answer is ‘yes’ and ‘no’! It all depends on the means of document sharing.
Obviously, no business wants to face turmoil due to the incident of the data breach and become part of the newspaper’s headline for all the wrong reasons. But it doesn’t mean that businesses should give up on advanced technological means and come back to outdated ways of document sharing. Switching to data rooms from emailing files is the right solution to stay safe while enjoying the perks of the technological advancements.
But what is this virtual data room and how it is turning into a life savior for businesses? Here is everything you need to know to decide: Yes! I need a data room!
What is a data room?
A virtual data room (VDR), or a deal room, is an online repository for sharing, distributing, and storing documents. Unlike the previous insecure and document-heavy file managing practices, data rooms have merged as a reliable, efficient, and easy accessible database system.
Who can benefit from it?
Most of the time, businesses use it in the case of mergence, acquisition, international expansion and conglomeration as a solution to exchange intellectual property, financial and legal documents. But that’s not the only case when the data room can come handy for businesses. Even a startup can also utilize a virtual data room if it wants to keep its document filing system secure and seamless.
What does it offer?
Below are given the basic things that a VDR offers:
VDR providers work just like a financial institution and a bank. You buy lockers in a bank, pay it for services, and in return, the bank ensures the security of your property. Similar to this, you pay VDR providers for the security of your documents. They ensure that your files and documents are safe, and only those people can access them who have the right to accessibility. Besides the customizable accessibility, the stored data is end-to-end encrypted as well as protected behind strong firewalls to prevent any risk of data theft.
Every second counts in today’s fast-paced business world. You can’t sit back to handle the slow data sharing process when you have to share so many documents in a day. That’s why file organization and accessibility matters a lot for the smooth transaction process. In a VDR, documents are well-kept in highly organized folders by assigning them special numbers so that the authorized person doesn’t have to go back and forth in the folder to find the required documents.
A VDR also offers various features so that no one can view the file before a particular time. Moreover, the administrator can also put on security measures, like watermarks, document expiry and disable copy-paste, or download. Besides that, you can also limit the access of a few files to only certain people among all the people within a data room.