Secure data rooms (SDR) is an online repository which allows companies to share sensitive documents with outside parties in a secure environment. It is used in many business transactions, such as mergers and purchases or fundraising, IPOs or legal proceedings in which it is essential that external parties review confidential documents without exposing the company or creating a compliance issue.
Secure Data Room Features
The most secure virtual data rooms provide the modern security features to safeguard your private information from malicious actors. These include virus and intrusion protection, data encryption (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 aspects to look for in a secure data room is the capability to limit access and track access to the data room. This is essential because the majority of data breaches occur due to human error. For instance, clicking on a hyperlink or downloading a file that holds personal information. A secure data room must be able stop these errors by blocking downloads as well as providing detailed information about activity and alerts.
NDA gatekeeping is a similar feature. This allows companies to issue an invitation to the data room by providing the unique NDA link that expires at a predetermined period of time. NDA gating permits businesses to keep their information private while providing investors or prospective buyers to access a complete data set and evaluate the company.