A data room is a secure digital space that holds sensitive, confidential documents and information. They are used to conduct due diligence in business transactions, IPOs and court proceedings. Companies that require collaboration with different parties for shared projects also use data rooms.
In the past, physical data rooms were the standard method for conducting due diligence during a transaction. These were expensive and required much planning to coordinate meetings in-person. Due diligence is simpler and quicker with a virtual dataroom. A virtual data room is a cloud-based file sharing tool that permits participants to access files from any location in the world and without the need for an in-person meeting. A virtual data room is equipped with advanced features, including document tracking versions control, document tracking, and simple collaboration.
It’s essential to bring all the necessary people in one place, whether you’re planning an acquisition or seeking to raise funds. It can be difficult slow, inefficient and time-consuming. Email is a notoriously messy method of sharing documents. With the rise of phishing attacks it is more imperative than ever that you switch to a better due diligence strategy.
PandaDoc allows you to set up a dataroom in just minutes, and streamline your documentation. You can upload any number of documents to the dataroom, and use guided signatures to gather all signatures required. Start today!