The first thing that pops into your mind when you think about data room software is that it’s a virtual repository for due diligence in M&A transactions. This is only one way this software could be utilized.

A virtual data room can be used for any project that requires secure collaboration. For instance, if auditors or legal advisers require access and look over a company’s documentation or other documentation, using a VDR is the best option for securely storing and sharing the data. This is also true for other external advisors who need to see sensitive documents such as investment banks and private equity firms.

Data room software can help reduce risk while guaranteeing compliance with industry standards, such as GDPR or SOC II. This is accomplished through security features like secure watermarks and VDR management user permission settings. Two-step verification, device tracking as well as encryption of documents, password protection, and document encryption are all options that can be utilized to protect your data.

Another significant characteristic of data room software is a task management tool which helps you keep track of the tasks assigned to both internal and external users. This can help you better manage your team’s schedule and ensure that work is completed in time. This tool can also help improve project planning and efficiency since you can monitor the progress of every task in real-time. This lets you identify problems and to adjust your schedule according to the needs. Additionally, you will also get notifications when new tasks are assigned or complete.