A secure dataroom is an actual or digital location where confidential documents are stored, managed, and shared during high-stakes transactions. They’re commonly utilized in M&A, IPOs, fundraising rounds and other high-value transactions to ensure that sensitive data is only accessible to authorized individuals. A data room may be managed by a single person or a variety of people be able to access it based on the structure of the company.
Security and encryption
It’s critical to choose a data center that is secure encryption protocols to protect against unauthorized access. Also, you should ensure that the system protects data at rest and requires two-factor authentication to log into the platform. This will protect your data even if a server gets compromised.
The capability to work in real time with colleagues on projects using the tools in the data room for collaboration is another feature that you should look for. You can track when and what changes were made, which will help to keep the project on schedule.
You should be able to track the usage of your room using analytics tools. They will tell you who has accessed what files, when and for how long. You should also be able to download reports customized for each file. You should also be able to apply dynamic watermarks to files which will prevent sharing and duplication without proper crediting. Additionally you must be able to install Information Rights Management (IRM) security for downloaded files to provide greater control over the usage of these files in your local network.