Corporate virtual data is the information that companies share in a safe online environment. The documents usually contain sensitive information which is of immense value to the organization or business sharing it. VDRs are frequently used in M&A measures such as due diligence fundraising, and other corporate events.
Life Sciences companies, such as pharmaceutical and biotech companies, have specific requirements for their online documents. They require a platform that is HIPAA compliant and FDA-approved (business associates) to securely share documents with partners, portfolio companies, auditors, and many others. VDRs give these companies an encrypted, secure system board effect services which allows them to keep track of document downloads and access. The ability to set time limits for access is a way to protect privacy in this important area.
Due Diligence
During M&A activities it is normal to need to disclose large volumes of confidential information to potential buyers. This requires a platform that is secure and simple to navigate in order to streamline the process. VDRs make this possible and accelerate the process of processing a transaction.
Fundraising
Startups and companies looking to expand have to frequently share sensitive data with investors in order to secure financing. This can be a lengthy procedure that requires the deconstruction of thousands of documents. Virtual data rooms enable investors from all over the globe to look over this documentation easily, ensuring that the process is efficient and accurate. This can help increase the amount of bidders competing and may even aid in increasing the sale price of a company.
