A data room is an online repository that allows both parties of a transaction access to critical documents for business. It is typically used for due diligence during M&As but can also be useful for fundraising and equity IPOs bankruptcy proceedings, and other transactions that could financially or reputationally impact either party.

The best virtual datarooms are easy to use and secure. They offer granular control of access rights based on role and folder/document level and detailed activity logs that make compliance reporting easy. They offer a range of features, including scroll-through document views, adaptive interfaces, and multilingual configurations which allow users to work with any device or operating system.

When choosing a data space to conduct due diligence, you should choose one with an ample storage capacity. This will allow you to meet all your company’s requirements. Text documents will take up less space than high-res images or technical https://www.otherdataroom.com/5-data-room-reports-to-protect-your-deal drawings, but the amount of storage you require will depend on the quantity and quality of files you need to be uploaded and stored.

When choosing a data space for due diligence, also look into whether the program has advanced tools such as eSignature, granular commenting and annotation. These can dramatically speed up and streamline the process of due diligence which can help you close deals faster. They are also useful for other projects where you require reviewing several files simultaneously or share notes with colleagues. In these instances, it’s important that the documents aren’t only accessible, but also able to be printed or saved as PDFs.