The decision between a cloud-based or virtual dataroom storage is dependent on the type and nature of business documents or procedures that you’ll be handling. In some cases the virtual data room provides better security than traditional cloud technology. However, there are also occasions when a basic cloud storage option might be more appropriate. It is important to understand the differences between these two types of solutions in order to decide which is best for your company.
Improved capabilities for coordinating
In a VDR you can arrange documents into folders that have specific permission profiles in accordance with job title and. Users will have Home Page access to documents required to carry out their duties, thus reducing the chance that sensitive data will be available to unintentional third parties. This is the primary benefit that data rooms have over cloud storage applications like Dropbox or Google Drive.
VDRs assist you with due diligence in M&A transactions as well as other financial transactions. They permit you to exchange sensitive documents in a safe environment. This helps you prevent leaks of information and to close deals more quickly. Most data rooms come with advanced security features like watermarking that can include the recipient’s email address and a screen capture prevention feature to stop the misuse of confidential documents.
Some data rooms, like FirmRoom or iDeals provide extensive analytics which go beyond the basic usage statistics. You can track user activity down to the granularity of documents viewed, and how long. These details can be helpful to determine the most important content as well as to plan follow-up meetings with the stakeholders.