A virtual information room is a cloud-based service that lets users securely exchange documents and files. These platforms come with advanced features like streamlined user credentials, precise control of access, customizable permissions and activity tracking.
These capabilities allow organizations to fulfill their security needs for their projects while maintaining a seamless workflow, and protecting data privacy. VDRs also have the ability to incorporate security protocols based on industry regulations, such as GDPR. These features help ensure that users only get what they need, and prevent information breaches and misinterpretations which can delay transactions and cost companies millions of dollars.
Investment banks, private equity firms and other financial institutions utilize VDRs for managing large volumes of confidential documents during M&A deals. Utilizing the VDR to share and save files, these businesses can conduct due diligence without having to transfer documents between parties or risk losing sensitive data.
Life science companies, such as biotechs and pharmaceuticals are also major users of VDRs. These businesses must be able communicate in real-time and secure manner with partners in order to collaborate on clinical trials or R&D. They also must meet strict requirements for regulatory compliance for example, HIPAA or ISO. VDRs with features like zoomable thumbnails, watermarking, as well as screenshot prevention allow life sciences companies to accomplish this while securing their most sensitive data.
Other potential uses for VDRs include capital raising and real estate transactions and risk management for regulatory compliance. By using VDRs into their workflow, these industries can collaborate on projects in real-time and safely click now regardless of the location they are in.
