www.dataspacelab.net/flexibility-with-caplinked-data-room/
A data room online for investors is a platform where startups upload important documents that are relevant to due diligence before a funding round or M&A transaction. This can include, for instance financial forecasts for the company as well as detailed IP documentation. The information is then accessible to investors who are interested and could aid them in making informed decisions regarding investing in the startup.
When preparing an investor information room, founders may choose to include the following details:
Whitepapers or Pitch Decks Founders may upload their pitch decks as well as whitepapers that describe the way their product or service solves the complex problem or market in a concise manner and is profitable. This document will help establish trust with investors and demonstrate their accountability.
Projections: Founders are able to include both historical and projected financial statements, as well as the assumptions, sources and the reasoning behind the projections. This can simplify the due diligence process and help investors comprehend the company's projected financial performance and growth potential.
People-Related documents: Founders may include resumes of the team's key players, as well as any employee stock agreement or documents regarding hiring. Founders can also include their go-to market and growth strategy.
Investor Updates During the fundraising process and due-diligence process, the founders could add a series updates for investors to the VDR. Investors are kept informed of the development of the business and shows them that the company is dedicated to making the best use of their investment.