Perhaps you’ve heard of data room software or virtual data rooms. It’s software that helps you save, organize, and share important documents securely on the cloud. It comes in handy during M&A due diligence, partnership deals, audits, fundraisers, and many other important business processes that require the sharing of sensitive data. Now that we have laid that foundation, do you think your business needs all of that and more?
Well, when it’s time to choose data room services for your business, you are going to be pretty intentional about it. It requires you to put a few needs and factors into deep consideration. Some software is good but not all will be equally well-suited for your business at a particular time. So, here’s how to choose virtual data room software.
1. Consider your needs
Nobody knows your business better than you. So if there’s anyone to decide if you need a virtual data room, then it has to be you. To settle up on a right decision, answer the following questions:
- Does your business handle loads of sensitive data?
- Have you been victimized by cyber theft where you lost sensitive data to hackers?
- Is your business on a path to acquiring another?
- What’s your staff base like?
These questions should inform your decision because they’re based on the needs at hand. You would also have to consider your staff and their relationship with technology. This will help you pick a solution that offers convenient UI and UX.
2. Consider your budget
Now that your needs are defined, don’t consider anything else other than your budget. If you do that, your budget might cancel it all at the end.
Hence, a look at your budget is wise at the onset. There are various pricing plans available from different data room providers. Some are cost-effective but come at the expense of certain important features.
If you’ve considered your needs, you would know the storage capacity that you need, and the number of users for the online data room software. Your budget will then guide you in choosing a suitable tool for your business.
3. Take feature set into account
Features form the core of every electronic data room. Without features, the data room will be useless. Since you’ve identified your business’s needs and your budget, you can decide on the functions you want out of a data room software.
However, there are certain features you must have. They are not to be compromised or sacrificed for any other one because they are extremely important. These include:
- Security (two-factor authentication, single sign-on, end-to-end encryption, etc.)
- Permission settings (different access levels based on groups and individual users)
- 24/7 support (available via chat, email or phone and in your local language)
- Document management (auto-indexing, search, bulk uploads, digital watermarks)
You can do without other features, but these are indispensable.
4. Compare offers from various providers
Don’t just settle for a solution without looking at what the competitors on the market have to offer. This usually ends in regrets. Take your time to browse through several virtual data room providers.
Go through their features, pricing plans, support system, and every other thing there is to know about them. The best way to go about this is to look at reviews. Reviews are comprehensive, unbiased comparisons done by those who have taken the time to study these data rooms.
However, you should make sure that the review site is a trusted one, so don’t bank on generic reviews on forums. Some of them are personal and have nothing to do with the quality of the software.
If you’re looking for an independent review platform, check out dataroom-providers.org. It features in-depth data room comparison based on product tests and real customer feedback.
5. Test products
The best way to tell if the software will be great for your business and is able to attend to your needs is to test it yourself. It doesn’t mean if you trust the reviews — it’s you being more intentional and serious about getting what’s right for your business.
The good part is that you don’t have to pay to test the software. A lot of them come with free trials for a period of 14 days to a month.
During the testing process, check how easy the user interface is for tech newbies, test their customer support, and check out their document management features among other basic needs. This will give you a complete hang of how the software is going to be when you finally pay for it.
Choosing a data room for your business is a strategic move towards the growth of your business. However, you can make a wrong choice if you don’t pay attention to certain details like the needs of your business, your budget, features and even testing the software by yourself. This article has highlighted some of the important factors you need to consider before choosing a data room software for your business — which makes us sure you won’t go wrong with it!.