Data Room Reviews – What to Look For in a Data Room
When you’re working with clients to manage data for M&A due diligence or other reasons, it’s crucial that the tools that you employ are simple to set up and provide the right level of security. It’s not possible to afford for them to be prone to weaknesses or bugs that pose an issue for the data you’re sharing – especially when it’s about a business that’s trying to sell and raise funds or other things that could be affected by any issues in this area.
The way in which your clients can utilize and comprehend the data room is crucial. Using old, bulky tools can cause confusion and friction with your client during the process of negotiating and ultimately slow things down and possibly result in issues that could influence the outcome of the deal. Modern intuitive interfaces and features like view as, granular access permissions and reporting insights are crucial.
The capacity of storage and the quantity of users are important factors. Some data rooms charge per GB. This could be very expensive for companies that have a large amount of data they have to store and share. Some provide a monthly cost and come with a certain number of user licenses, which could be more affordable for certain.
Additionally, some vendors offer pricing per page that can be expensive in the case of a lot of documents to handle and share. This is a less popular option however you should consider it if you have to manage large volumes of documents.