Data room online lets you collaborate with multiple bidders on due diligence, M&As, capital raising, and strategic reviews. It can help avoid costly errors and delays that can be caused by sending documents and distributing them across different platforms.

Compare the features of different vendors and read reviews written by real customers to determine the most suitable virtual data rooms for your business. Find reviews that highlight the vendor’s support level as well as how user-friendly the interface is, as well as whether it is able to meet your business’s needs.

Here are a few key aspects to look for when selecting an online dataroom:

Document Management

Search for a platform with advanced features that allow users to quickly locate and work with files. Look for auto indexing and a numbered folder structure that automatically identifies documents and files when uploading them as well as a fence view that makes it easier to track the development of a file. Consider a data room that includes search filters, granular permissions, and full-text searches that use optical character recognition.

Additionally, you should look for a platform with an area for Q&A that allows users to post questions and discuss them in real-time. This is especially helpful when conducting M&A because it improves communication and transparency during negotiations. Additionally, you should check the security features of a data space, which should include two-factor authentication, IP restrictions, password strength settings, and more.