A virtual dataroom, or VDR provides a secure online platform for sharing documents. Users can collaborate on projects, examine files and make requests in real-time. These platforms are often used for M&As, capital raises or strategic reviews. They can also be used for conducting audits, tenders and audits.
VDRs provide a platform for businesses to share sensitive and confidential information with third parties, such as clients or investors in a controlled and secure environment. These platforms can also be used to manage projects and collaboration in business. They are highly customizable. These platforms come with features like granular document access permissions, search capabilities and an easy-to-use interface that allows users to upload files from anywhere or any device.
VDRs are used by private equity companies and funds to share tax and portfolio information with investors who are interested in a professional and transparent way. They can also access the platform 24 hours a day and collaborate with third-party partners on due diligence processes.
VDRs are utilized by life sciences companies to share extensive R&D documents with potential investors. This allows them to assess the level of interest and engagement. They can also upload licensing IP documents, patient files and clinical trial results to give prospective buyers an overview of their business.
Investment bankers rely heavily on VDRs for sharing large amounts of documents in investments banking processes like IPOs and Capital Raisings. They can read and make comments on the information via the Q&A function of the platform and request specific documents from buyers in bulk. They can also track the progress of due diligence and other responsibilities by using a dashboard, which gives them real-time updates on their use of the data room.