A secure data room is an online repository that allows businesses to share sensitive documents to external parties in a safe environment. It’s utilized in many business transactions such as mergers and acquisitions and fundraising, IPOs, legal proceedings and other commercial transactions where it’s essential that external parties review confidential documents without risking the company’s securedataroom.net reputation to potential breaches and creating a compliancy issue.
Secure Data Room Features
The most reliable virtual data rooms have the most recent security features to safeguard your private information from malicious actors. These include virus and intrusion protection, encryption of data (at rest and while in transit), network firewalls, and other features that ensure your data is always secure from cyberattacks and theft.
One of the most important characteristics to look for in a secure data room is the capability to block access and monitor access to the data room. This is crucial because the majority of data breaches are the result of human error. For instance, clicking on a link or downloading a file that contains personal information. A secure data room must be able to stop these errors by blocking downloading and providing detailed information about activity and alerts.
Another common feature is NDA gatekeeping. This enables companies to create an invitation to the data room with a unique NDA link which expires after a certain period of time. NDA locking allows companies to keep their data private while still giving potential investors or buyers to view a complete data set and evaluate the business.