There are a variety of scenarios in which companies can utilize a virtual data room to facilitate secure document sharing without the need for a costly physical space. VDRs are usually used in due diligence to facilitate mergers and acquisitions. However they can also be utilized to share documents between clients, business partners and other stakeholders.

For M&A deals, a virtual data room is ideal since it permits both buyers and sellers buyers to examine documents in one www.dataroom365.com/virtual-data-room-vs-dropbox/ location without exposing sensitive information or risking a breach. Investment bankers also utilize VDRs to share confidential documents with clients and other stakeholders during M&A or capital raising processes. Technology companies employ them to share design projects and manufacturing data with teams located across the globe. Consultancy firms also use them to identify trends in big data that can inform the corporate strategy.

A VDR can help cut M&A expenses by reducing printing and travel costs, and by making documents more accessible than physically stored. It is also possible to customize the storage system to meet the needs of each project, and give restricted access on a document-by document basis.

Users can access VDRs with their web browsers, meaning they can review documents from any location with internet access. Administrators can also obtain detailed reports on user activity that include who was watching what, when and where. This can provide information that may not be available with physical storage, where access logs can only reveal what’s being used and by whom.