Is a VDRM Right For Your Business?

VDRs, also referred to as electronic data rooms, also referred to as Virtual Deal Rooms, are online storage facilities which allow companies to securely exchange documents for any kind of business transaction. They eliminate the need for physical paperwork and make it easy to manage vital business information and share it with multiple parties at the same time. VDRs are crucial for investment banking processes like IPOs, M&A and capital raising.

VDRMs can also be useful for executives at the top of the pyramid who have to share confidential files and data with service providers, investors or other external parties. They are also used by HR departments who maintain records of employees, as well as project managers involved in a variety of business operations. The simple document sharing process and the strict security measures offered by VDRs VDR ensure that sensitive data does not end up in wrong hands.

A typical pricing model is based on a set amount of storage space per year or month which makes it ideal for smaller projects where you know the amount of data and documents you’ll need to save and access. This approach is suited to companies that don’t plan to exchange large amounts of audio and video files.

Other pricing models include flat-fees or subscription-based models. Free file-sharing services, such as Google Drive or Dropbox, provide basic security features however, they fall short of the features of dedicated paid VDRs. Specialized VDRs for paid use like iDeals SecureDocs and Dealroom offer a variety of security options that make them suitable for more sophisticated document sharing.

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