If you're in search of an investment data room or virtual document management software or a secure file sharing platform to conduct due diligence on a potential business partner, having granular access permissions based upon role and folder level or activities in the data room is essential. Many providers include multi-factor authentication and time and IP restricted access based on IP. Some also allow data room software review bulk user invitations as well as notification emails for deleted, uploaded or other activities.

A centralized platform to share documents with several parties is extremely beneficial for businesses that do many due-diligence tasks. This is often the situation when it comes to M&A transactions or when raising funds from private investors. Being able view all the documentation from both sides quickly and easily helps to ensure that the process is conducted efficiently.

The best virtual data rooms provide an easy-to-use interface and many tools to help users organize their business and projects. Drag-and-drop is among the most popular features. Other features include customizable watermarking and auto indexing. Other useful tools include a redaction tool to efficiently remove sensitive information from documents. This can save time and effort as well as reduce the risk of missing an opportunity that could prove costly.