During a transaction, the seller must make sure that the correct document has been presented and that due diligence was carried out. This is where VDR’s built-in tags and versioning controls can assist. These tools allow buyers to verify that they have reviewed the correct version of a file and can ensure that deals are on the right track with an accurate audit.

Businesses may need to share sensitive information with other parties to prepare for a commercial product launch or an IPO. A VDR is the most secure way for stakeholders to view and collaborate on these documents without fear of leaks of data. The best VDRs have infrastructure security, watermarking, multifactor authentication as well as 256-bit encrypted files and a encryption of 256 bits. They also provide invitation delay, custom viewing permissions and automatic indexing.

Mergers and acquisitions (M&A) are frequent use cases for a VDR in that they require sharing large volumes of confidential information with potential buyers. Using the VDR makes this process more efficient and simpler for both parties to manage, and helps to protect confidential information in the case that the deal doesn’t take place.

Selling a company is usually complex and requires the presentation of an Information Memorandum, financial model and other important documents to potential buyers. A VDR lets the what is intralinks seller securely share these documents with prospects, who can then complete a non-disclosure agreement before reviewing them. This makes the sales process easier by reducing the number of meetings and paperwork, and also reduces costs by removing the necessity for travel and other costs.