A secure data room (SDR) is an online repository that permits companies to share sensitive documents with external parties in a safe environment. It is used in many business transactions, like mergers and purchases or fundraising, IPOs or legal proceedings in which it is essential that third parties are able to review confidential documents without exposing the company and creating a compliance problem.
Secure Data Room Features
The top virtual data rooms offer the most recent security features to safeguard your private data from malicious actors. These include features like protection against intrusion and virus encryption of data (at at rest and in transit), firewalls that are on the network and more to ensure that your data is protected from cyber attacks.
The ability to track and limit access to the data room is among the most important functions of a secure dataroom. This is crucial since the majority of data incidents are the result human error, such as clicking on an online hyperlink or downloading a document that contains personal data. A secure data room must be able to avoid this from happening by preventing downloads and providing detailed activity reporting and alerts.
NDA Gating is a common feature. This lets companies create an invitation to the data room by providing an unique NDA link which expires after a certain period of time. NDA gating makes it easier for businesses to keep their information confidential while giving a potential investor or buyer to access a complete data set and assess the company’s performance.