Data rooms are a kind of cloud storage used to store and share information in an online environment. This is typically done as part of due diligence during M&A transactions, where everyone involved needs access to documents and information. These tools let companies gain access to important documents without exposing them to legal liability or the risk of committing a breach.

The most effective virtual data rooms are those that offer a simple and easy interface, and offer many features to be used during the transaction. This includes features such as precise analytics of who’s accessing which documents, view-only access and a range of permissions. A reputable provider will offer several support options, including live chat, phone and email.

When deciding on a platform It is also crucial to select a vendor that offers a free trial of their platform for up to 30 days. This lets you test the software to make sure that it’s the right fit for your project, before you commit to a monthly subscription.

Some providers offer complete lifecycle capabilities on their platform, allowing users not only to store your data but also to streamline processes and communication both internally and externally. This can make a difference in the closing of a deal.