Data room technology is a great way to manage the process of sharing sensitive documents and data with a variety of parties in the course of due diligence for a deal. The right choice for a specific business will require some time spent considering how the platform will be used and which features are most useful. It is also essential to protect the platform by using the most secure settings.

A key feature many data rooms offer is redaction, which blacks out sections of files to ensure personally-identifiable information stays private. It’s also worth checking the security certifications of the provider to confirm that it is ISO 27001, SOC 1/2/3 and GDPR compliance. iDeals is one example. It has been tested by the FCA and has inbuilt translations decreasing the risk of leakage and making document analysis more efficient.

Another useful function of a VDR is the ability to conduct virtual roadshows in order to attract potential investors. This lets attendees get detailed information long before the presentation, which makes it more easy to communicate during a conversation and accelerate the decision-making process.

It’s also important to make sure that the data room is able to be easily exported after the project or deal is concluded. This is essential because businesses will require access to data in future transactions. Data cleanroom platforms are an excellent example. They allow marketers to import their first-party information and then combine it with common identifiers (such as hashed email addresses and device IDs) using privacy-protection strategies such as pseudonymization, noise injection and differential privacy. These are then grouped into cohorts for use in a range of marketing processes such as audience creation and activation.

Cresta Help Chat
Send via WhatsApp