A virtual information room (VDR) is a secure cloud-based platform for exchanging files and documents. These platforms have advanced features like streamlined user credentialing, more granular access control, custom-made permissions, activity tracking, and more.

These features allow companies to meet their security requirements for projects while ensuring an efficient workflow, as well as keeping data confidential. VDRs are also able to integrate security protocols based on industry standards like GDPR. These safeguards make sure that users only access the information they need. This prevents information breaches and misunderstandings which could delay deals and cost companies millions of dollars.

Private equity firms, and other financial institutions make use of virtual document repositories (VDRs) to manage large volumes of confidential documents during M&A transactions. These firms can conduct due diligence by using the VDR to share and store documents. They don’t have to risk losing sensitive information or transfer documents to third parties.

VDRs are also widely used by life science companies, such as biotechs and pharmaceuticals. To collaborate with partners on clinical trials as well as R&D the companies have to be able virtual information room communicate securely in real time. They also must meet strict requirements for regulatory compliance such as HIPAA or ISO. VDRs with features like zoomable thumbnails and screenshot prevention along with watermarking and screen-scraping prevention allow life science companies to protect their most sensitive information.

Other important uses for VDRs include capital raising real estate transactions and regulatory risk management. By using VDRs into their workflows the industries can collaborate on projects in real-time and safely, regardless of where they are.