A data room is a digital or physical storage space in which companies store pertinent information for due diligence. During the due diligence process investors would like to know that the startup’s documentation is organized and up-to-date. It gives them the impression that there won’t be any unexpected costs. A poorly prepared dataroom will adversely affect an investor’s valuation. A well-organized one will make them look at a startup in a more positive way.

The top virtual data rooms have many features that make it easier for users to use them. They include customizable watermarks with granular permissions settings and audit reports to track user activity. The most advanced data rooms also provide full-text search optical character recognition (OCR) and filtering functions for finding specific documents or a variety of files. A secure VPN connection also provides remote access to the room.

The most important feature of any data room is its capability to work with a variety of devices and browsers. This allows users to work and access their data at any time, anywhere.

It is also possible to streamline the deal process by using data rooms. They can be used to store all documents in one place to automate document approval and review and coordinate guided signatures and more. Download a free PandaDoc eSignature demo today to get more information!