Virtual data rooms are not just traditional data repositories anymore, where you can only store or retrieve your data. Virtual data room providers have adapted to the market’s changing demands and brought new and amazing features catering to different business needs. However, the virtual data room market is already saturated, but features vary greatly in different data rooms.
Therefore, if you are in search of an online data room software for your business or personal use, here are some important features you should look for when you compare virtual data rooms.
Top virtual data room features for your business
1. Security features
Security is the most crucial and simply uncompromisable element in data room software. It is something every business or professional uses a data room for. Here is a list of some essential security features.
Data room security
- Two-step verification. A two-step verification feature is something you will find in almost any certified virtual data room. In two-step verification, the users log in to the data rooms by clearing two different steps, which usually include a password and a one-time generated secret code shared on the user’s mobile number or email address.
- Remote device purging. A relatively new feature that permits the data room administration to disconnect or delete any device attached to the data room software. It not only removes the device but any VDR-related file in it. The device purging feature is very effective if a member loses their device.
- Multi-factor authentication. Some of the best virtual data room providers go the extra mile to boost data room security via multi-factor authentication. When a data room user logs in from a new device or uses multiple internet connections, the data room asks the user to reconfirm their identity by going through multiple authorization processes. It can be identifying the latest activities performed by the user or asking some secretive questions (answers are already recorded by the user).
In addition to that, make sure the vendor you chose is ISO27081, ISO27001, and SOC2 certified. Data rooms needed for M&As must be SSAE 16 certified. It is also important to make sure that the data room services you choose have strong backup systems and high-quality, multi-location servers.
Document security features
- Document permission settings. Data room administration must be able to set document access restrictions on data room users. That is, who should or shouldn’t be able to access any document, file, or folder.
- Digital watermarks. Digital or dynamic watermarks can be an image, text, audio, or video clip that users can add to their documents to avoid copyright issues. Digital watermarks also allow the file owner to track all changes in the document.
- Virus scanning. Documents imported from other devices or shared by users must be scanned for viruses. It is better to have an anti-virus in your electronic data room.
- 256-bit encryption. Currently, 256-bit is the highest standard of data encryption in the market. It provides protection when you share to or from a virtual data room.
- Self-destructing documents. It is a feature that allows the file owner or the VDR administration to revoke document access whenever needed, and that too at very short notice.
In addition to document security, look for document management features like bulk document upload, file drag-n-drop, and file tracking features.
2. Communication tools
VDRs now have communication tools for group and individual communication. Here are some useful features.
- Data room messenger. Ideally, data room software must have a built-in chat messenger where users can communicate easily or share documents in private. Messengers also allow the users to create chat groups.
- Audio/video calling tools. Remote business teams usually arrange business meetings on online meeting software. Keeping this in mind, data room vendors now provide built-in tools for audio or video conferencing.
- Live polls and posts. Live polls are useful in getting opinions from a large number of users. Users can create polls to ask opinions or approve or reject any proposal.
- Q&A section. Q&A feature allows the members to ask questions and get answers in a live chat thread. Members added in the thread can ask questions while anyone can answer.
3. Data room usability and access features
- Multi-language support. English is not the primary language of every data room user. That is why virtual data room providers offer multi-language support (iDeals data rooms are available in 14 different languages).
- Multi-device and operating system support. Although it is impossible to create virtual data rooms that support every operating system, it is important that the VDR you choose must support any basic OS such as Windows, Linux, Mac, Android, and iOS. Similarly, VDRs must be accessible from mobiles, tablets, laptops, and desktops.
- Third-party apps integration. Sometimes users need additional software for different purposes such as communication, document editing, etc. Most data rooms are integrable with third-party apps like Microsoft Office, Zoom, Slack, Salesforce, etc.
Apart from that, features like audit trails, full-text search, branded website, notification dashboard, built-in Excel viewer, etc., are handy for advanced usage.
Summing it up
Modern-day virtual data rooms are a combination of data storage, communication, and project management tools. The feature you need in your VDR depends on your business needs. However, the features mentioned above should be a part of any data room software.
Want to know more about online data room software? Follow this link: https://dataroom-providers.org/onehub-data-room/.
Photo credit: The feature image has been done by Sergiy Tryapitsyn.
