A virtual deal room is a secure centralized platform that allows participants to work together on crucial business transactions. It enables participants to upload and review documents and data without having to meet in person, thus eliminating travel expenses along with time delays, as well as the risk of confidential information being disclosed to unauthorised parties. This technology assists in due diligence, M&A, fundraising, compliance and other business processes which require a significant amount of sensitive documents.

During M&A, VDRs organize yet restrict information such as financial records, contracts, and intellectual property in order to facilitate due diligence for buyers. Private equity firms a knockout post about Navigating the Digital Landscape with Virtual Deal Rooms use VDRs to manage and share legal agreements, valuations, financial models and other sensitive data with limited partners during fundraising. Life science and technology companies utilize them to share CAD files, production plans and other private information in a controlled setting. In the real estate industry they facilitate the exchange of documents like environmental reports, contract redlinings, and other documents between buyers, sellers and lenders.

When selecting a VDR be sure that customer support is available via email, telephone and live chat. They should be able to answer questions quickly and provide step-bystep instructions for new users. Also, find an application that provides several pricing options to meet different requirements and lengths of engagement. Choose a solution that is flexible in scaling and storage options to meet changing data needs. Many vendors offer annual and monthly subscriptions. Others charge per page, or offer add-on services for an additional cost.