Getting funds is the most important, cumbersome, and fairly stressful part of having your own business. You have to do everything perfectly right to convince investors that your idea is worth their money and that your company will experience the heights of success. And there are two things you can do to ensure them. First of all, pitch your idea perfectly. Secondly, prepare all the required documents and make them look nice.
While the first requirement is completely on you, virtual data rooms can help with the second one. This software will not only provide you with a convenient and, most importantly, safe online repository for your documents but give you many useful tools as well. And if you are sure that you don’t need all those additional instruments, think of this – providing investors with access to your dedicated data room looks much better and more convincing than simply sharing the files via Google Drive or Dropbox.
But let’s take a look at the tools. Probably, the most useful one for fundraising is the Question and Answers section. Experts recommend to assemble it in advance answering every possible question that might interest investors. It will help them to make decisions faster. Also, such an approach will show them that your intentions are serious, and you’re ready to fight for your goals. As investors study your documents, new questions might arise. Then they can go to the Q&A section, ask what they need to know, and the administrator will provide them with the information.
If any of the uploaded documents were edited, someone has left a comment on the file, or a new paper was uploaded, everyone will get notifications. It helps in accelerating the process since everyone can respond quickly to the changes.
Customization features will help you to build a nice image for your company. Most virtual data room providers allow customizing the interface, invitation letters, and even a login screen. You can add your corporate colors and the logo to the data room for it to look unique and solid.
Moreover, if you have several investors invited to the data room, they will not see each other there. Thus, you can play as if each of them is the only one. It gives much more space for actions. And the administrator of the data room can see every action they take and how much time do they spend working with documents. It can give you many useful insights.
Virtual data rooms are great. It is a vital technology for every modern company. Using it, businesses can store their corporate information in a safe place and maintain it easily. It is also a great tool for building efficient communication with other companies.
However, even the best virtual data room is not enough for the board of directors for it to function properly. Directors need some kind of tool that will take care of the teamwork and help them remember every single detail of what’s going on in the company globally, and in each particular department.
That’s precisely what board portals are for. A board portal is a service that was created specifically for the needs directors of companies have. It works best along with the data room – while a virtual data room takes care of the documents and collaboration with the outside world, a board room keeps the workflow of directors in order.
This software offers secure chats where users can discuss matters and exchange documents. To bring a certain file to the chat, a user needs just to tag it. Such a feature makes it easier for everyone to review the mentioned document quickly since they don’t have to go to the repository and look for it.
A poll function allows creating questionnaires to find out what other directors think about a certain matter. It helps in solving minor issues without gathering a meeting. Also, this tool can be used to set a time and date for the next meeting to make sure it is convenient for everyone. It will help to improve attendance and simplify the planning.
Every meeting can be recorded, and the records are stored in the board room. Later, directors can access them to review the information when needed. Moreover, these records will come in handy when new members join the board. Then they can study all the information by themselves without bothering anyone.
Another feature board rooms offer is a task planner. As the meeting goes, the manager can create tasks and assign them to executives so that directors don’t forget about anything. Then everyone will be able to see the progress on these tasks and control processes. Thus, the whole workflow gets more organized and streamlined.
Most board room providers allow integrating their software with other tools. So you shouldn’t worry that you’ll have to jump from one app to another. Synchronization helps to improve the performance of the whole company.
Lawyers are always all about paperwork. They process tons of documents every day. And their clients want to have access to all the information the lawyers are working with. Moreover, the lawyer has to have access to the company’s documents as well to perform thorough due diligence. Otherwise, it will be impossible to proceed with the work.
Legal, due diligence can take from just a couple of days to several months. It depends on the size of the client’s company and the complexity of the deal. During all this time, the lawyer and the client must interact closely and efficiently to get things done as swiftly as possible. And of course, both of them must have 24/7 access to the documents involved in the process.
That’s why virtual data rooms are used very often for legal purposes. They offer a convenient and, most importantly, a secure online repository where both lawyers and organization can store and exchange documents. Some data room providers even customize their software to fit the needs of law firms as precisely as possible. Then the online deal room will have only the features needed for legal processes not to overwhelm users with numerous tools.
Data rooms can be used for litigation processes since they offer a convenient workspace where parties can collaborate during prediscovery. This technology helps to protect the information when the company needs to share files with courts, opposing counsels, and other offices. Generic cloud storages will fall short in this situation. Data rooms, on the other hand, are designed specifically to help users to exchange and track vast numbers of papers. And litigation always required a lot of data.
Another way to use data rooms for companies is to keep there all the corporate minute books and manage them. This task is quite a challenge, and data rooms make it less cumbersome and more organized. Using them, it is easy to keep all books up to date and control who can access the information.
On the law firm’s side, the virtual data room can serve as a client portal where the customers can access the information and keep an eye on the processes. It eliminates the need to print papers and constantly courier briefs. Also, the manager of the data room can see the actions users perform within it. Therefore, you will always know if the client really reviewed the needed documents.
Companies in biotech, medical devices, pharmaceutical or other branches of the life science industry are, probably, the most vulnerable to data loss and theft. They need to share information all the time to take part in fundraising, partnerships, invite interns and seasonal partners, and so on. While exchanging large volumes of data is rather challenging by itself, the sensitivity of the shared information only adds more obstacles.
Virtual data rooms can solve this issue easily, simplifying processes for the life science company. This technology will guard your confidential data giving you a clear picture of who can access the documents, and what do they do to them. The software will keep hackers away while giving you full control over how the files are used and by whom.
You can set different levels of access for users to make sure interns and volunteers won’t accidentally corrupt files, for example. You can grant users more rights or take away existing ones as needed. Also, you can set an expiration date for seasonal partners’ accounts. Thus, they will lose access automatically when the partnership ends. This feature protects you in case you forget to deactivate their accounts.
During licensing and partnering a virtual data room will allow companies to consider several simultaneous partnerships since the manager can give access to documents to multiple users at the same time. They won’t know about each other. Therefore, they will act as if they’re the only ones offering genuine terms. Thus, the company will be able to choose the most suitable partner or even partners. And with the tracking tool, the manager will see all the actions of invited parties. This will help to make better, data-driven decisions.
Biotech IPO is one of the most stressful and crucial processes for the life science company, And data rooms can help here as well. This technology will make it easier to review the finances of the organization regularly and maintain accounting, legal, and other kinds of documents.
Obviously, life science companies go through mergers and acquisitions and due diligence. Data rooms will provide parties with a suitable and safe environment where they can study each other’s documents comfortably taking as much time as they need. And the Q&A section will help to get answers to existing questions quickly.
Also, we should mention that data rooms offer features that will protect sensitive information from unauthorized copying, downloading, and even photographing.
Investment banking is a separate branch of banking. Its goal is to create capital for businesses, governments, and other organizations. Basically, investment banks take care of everything related to finance. They underwrite debt and equity securities for various organizations. Also, such banks help to sell securities, go through mergers and acquisitions, reorganize corporations. Moreover, they help to facilitate broker trades for institutions and private organizations and guide issuers on the issue and the placement of stock.
Obviously, all these processes require tons of papers. Investment banks come to rescue during long and cumbersome financial processes. Therefore, to provide the organization with sustainable aid, banks need to study all information related to the transaction. And sometimes, they have to create additional documentation. All these papers need to be stored somewhere safe, and also they should be simple to review, edit, and share.
Virtual data rooms are the perfect solution here. This software provides users with a highly secure online repository that is easy to reach anytime from anywhere. Once the files are uploaded to the data room, everyone who has access to it and required rights can work with the information. The technology is extremely straightforward and will satisfy all the needs of both organizations and investment banks when it comes to teamwork and documentation.
A virtual data room became a vital tool for due diligence. And it’s needless to say that this procedure lies in the core of any financial process where investment banks are involved. They need to study the information thoroughly before stepping in. Since these banks serve as a medium between the organization and investors, they need to know every detail to help to close the deal successfully. With the data room, investment bankers will always have access to the documents and come back to them when needed.
Moreover, the data room will come in handy for investors, as well. Obviously, they will have access to all the required papers. But also they can use a Q&A section to gather some additional information. Managers of the data room usually assemble it in advance, answering all the frequently asked questions. However, investors can submit new ones if they need to ask something.
Finally, the manager of the data room can see everything that is happening in the repository – who entered it, which documents did this user open, and what actions did they perform with it. This information can give many useful insights and help to understand how to act in the nearest future.