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Practical Tips for Choosing the Best Virtual Data Room in 2022

 Tips for Choosing the Best Virtual Data Room The second most important question after “whether to use a virtual data room or not” is “how to choose the right dataroom software."

Once a business decides to go for a data room for its document management, the struggle starts, because choosing the right vendor from hundreds of data room services is necessary to get the desired results.

Yes, this research and planning process may take time and look tricky, but it isn't that problematic if you can keep a few important things in mind. So, here is a list of essential things to consider for choosing the best electronic data room.

10 tips on choosing the best data room software

1. Ease of use

The purpose of business software is to simplify things for the users, not to complicate them. Virtual data rooms are designed to help employees access, store, and share business documents easily.

Moreover, data rooms intend to save time, but if a user has to spend "hours" finding a document or navigating through the data room, then it is not worth it.

A virtual data room should be easy to use and require minimal training for employees to get it going.

2. Ease of accessibility

A business may use a virtual data room for months or years. That means the employees will be using the data room regularly, and they must be able to access it easily.

Virtual data rooms should be easily accessible from desktops/laptops and mobile devices such as smartphones and tablets. Modern virtual data rooms should also have dedicated apps for Windows, Android, and iPhone users.

3. Robust data security features

A digital data room with a weak security system is just a waste of money. Providing data security is one of the core objectives of online data rooms. The data room you want for your business must have basic security features at the least. Never compromise on these security features:

  • Multi-factor authentication to protect your virtual data room from unauthorized entrants.
  • Audit logs to have detailed reports on all activities in the data room.
  • Remote purging to make sure that the data room administration can easily remove all the files from a lost or stolen device.
  • Data backup to make data recovery easy after an accidental or unintended data loss.
Always make sure you hire a certified data room vendor that complies with local and international data security protocols (e.g., FINRA, SOC2, ISO27001)

4. Document security

Data room security and document security are two different things, and both are equally important. Document security features basically protect the data from internal threats. Always lookout for the following document security features:

  • Document access permission; who can or cannot access, view, edit, or download any file(s).
  • “View only” or “fence view” mode, which restricts a user from editing, downloading, or printing any document. It also limits users from taking photographs or screenshots of the documents.
  • Dynamic or digital watermarks are helpful in tracing the file creator and changes made by the users.
  • Data encryption (preferably 256 bit) to share or store data in an encrypted form.
  • The ability to grant or revoke document access at any time.
 Tips for Choosing the Best Virtual Data Room 5. Compatibility and supportability

An ideal virtual data room is one that supports multiple operating systems or deployment methods. It is a concerning fact that many virtual data room providers are still sticking to SaaS-based and on-premise deployment methods.

However, many top-notch data rooms support multiple operating systems such as Linux, Windows, iOS, Android, Mac, on-premise, and SaaS-based deployment. Moreover, modern vendors offer dedicated apps for tablets and smartphones.

6. Video conferencing tools

Businesses and corporations now prefer remote working approaches and keep their communication on digital channels. They even conduct their regular team meetings over software like Zoom. If your workforce needs to meet virtually, then having video conferencing tools in your VDR is mandatory.

7. Customization and flexible pricing models

The nature of the use of online data room software may vary from business to business. Some may use it as a data repository, while others may use it as a complete business package. Can your vendor provide if you have unique business needs and want customized features in your VDR? Do they offer flexible pricing plans? In short, you don't have to pay for features you don't want.

8. Online customer reviews

If you want to determine the reputation of a virtual data room provider, read online customer reviews. Customers give reviews after a practical experience, and they are often very useful. Here are some highly trusted websites for online reviews:

9. Free trials

A free test drive is one of the best ways to assess whether a specific VDR suits your business needs or not. Free trials give you the actual experience of what you will be dealing with in the future. Vendors mostly offer 14 to 30-day free trials.

10. Customer support service

A high-quality virtual data room with weak customer support service is just like money in the bank, and you cannot cash it. Even if the data room is super easy to use, you may still find technical difficulties at some stage. Can you trust your vendor's customer support? If yes, then go for it. Final words
The virtual data room you choose will affect your business in many ways. Most importantly, the security of your business data will depend on the data room services you choose. Think of it as an investment rather than an expense. Make sure your data room is secure, easily accessible, easy to use, and can be integrated with your business's operating system.

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Any facts, figures or references stated here are made by the author & don't reflect the endorsement of iU at all times unless otherwise drafted by official staff at iU. This article was first published here on 12th May 2022.

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