To know about a virtual data room, let’s first understand what a data room is?
What is a Data Room?
Data room is a place used for housing or storing data. There are 2 types of data rooms.
1. Virtual data room
2. Physical data room or data center
A virtual data room also known as a VDR it’s an online storehouse of information that is used for sorting, distribution and storing the files. All this process is done by internet connection but it’s a controlled access. These connections are very secure and supplied by vendors or authorities responsible for disabling or enabling the secure log-on at any time. Because of these features and terms, these rooms are also known as a virtual deal room.
SEE ALSO:: How Virtual Data Rooms Save Time and Money?
They are used for a variety of purposes, including data storage, document exchange, file sharing, financial transactions, legal transactions and much more.
In the beginning, Virtual data rooms were used by some limited professions like lawyers to meet with their clients. But nowadays this is not limited for some communities. So many professionals, accountants, doctors, attorneys, lawyers, engineers and businessmen are using VDR facilities. It’s a very efficient methodology to view documents without requisite of any hard copies or a physical meeting room and this methodology is also cost-effective.
The virtual data room has a very secure and limited access facility for confidential data. All these are controlled access for every action of copying, sharing and viewing. They also have time limits and scheduled for viewing the documents and confidential data. Virtual data rooms allow only authorized users to be accessed during the allowed time period.
Physical Data Room V/S Virtual Data Room which is Better?
- Physical data rooms are time consuming to manage and maintenance are more compared to VDR. Users have to suffer traveling and paper demanding.
- Virtual data rooms easily allow multiple buyers, dealers and users to access and view data and these results are around 30% higher than physical data rooms.
- Though a true Virtual Data room’s data might not be downloaded but may be viewed with right permissions by the administrator.
After reading this much may be one question definitely comes in your mind,
Why can’t we use Google drive, Dropbox and other cloud storage?
Google drive, dropbox and cloud storages are secure according to their policy. They are secure but not that much level when we are talking about highly confidential data.
If you are looking for virtual data room companies then first have a look at the top companies’ reviews.
7 Top Most Ranked Virtual Data Room (VDR) Companies
1. iDeals Virtual Data Room: Rating 5/5
2. Intralinks Deal Space: Rating 4.6/5
3. Merrill DataSite: Rating 4.5/5
4. Brainloop DealRoom: Rating 4/5
5. SmartRoom VDR: Rating 3.9/5
6. WatchDox by BlackBerry: Rating 3.9/5
7. Box Virtual Data Room: Rating 3.5/5