A virtual dataroom provides a secure, safe environment to share documents and files during M&A with a variety of stakeholders. It lets users communicate with other participants, review and comment documents, track activity, and more. Its advantages include an easy to use interface, a robust security and collaboration tools, and a cost that is lower than traditional storage solutions.
In a VDR access is controlled by permissions set at the folder or document level. You can limit the download to only PDF versions of documents, or the originals with watermarks. It is also possible to set an expiration date for documents and keep track of who has downloaded what and when. Administrators can «virtually» shred the document or remove downloading rights if needed.
A good virtual dataroom should also feature a user-friendly platform that is customizable and can be customized to meet your processes for business as well as IT systems and workflows. It should also permit drag-and-drop and custom folder structures, along with a comprehensive search feature. It should also provide an audit trail as well as an easy-to-use file tag system to ensure that all actions are recorded.
The most effective open-source virtual data rooms will have an extensible interface for integration with other applications and tools. It will also offer various options for customization including the option to customize your own user interface. A robust security model can guard against insider threats. It will also conduct regular vulnerability scans as well as infrastructure penetration tests with an external vendor and ensure that you are protected from attacks involving denial of services.