While Dropbox and Google Drive are great for sharing files, data room storage has more advanced features. These data rooms are designed to share files in an conditions that are extremely secure. They can offer advanced options for auditing, permissions as well as watermarking, which ensures that only authorized parties can see and download the necessary documents.

A virtual data room enables both parties to perform due diligence with a managed workflow for each document. This ensures that sensitive information about business, like patents or financial performance, is only seen by interested buyers. Any conversations are stored within the platform. This helps to prevent leaks and decreases the risk of sensitive information being accessed by the improper hands.

Activity audit logs are another important aspect of a data room. They give a complete look at who accessed a document and when. This enables the M&A team members to monitor interest levels, and decide if they want to continue or proceed with negotiations. In addition, data room reports aid in keeping teams organized by providing a summary of group activities (e.g. who has been logged in, who read and/or edited what documents and when).

A virtual data room also enables users to sift through thousands of files in a matter of minutes with a powerful search engine. This includes full-text searching, Optical Character Recognition, filtering by label, a range of logical operators, and more. Additionally, the capability to automatically index and number folders and documents makes organising and finding large volumes of data a breeze.

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