A data room is a safe digital space that holds sensitive documents, confidential information and documents. They are used to conduct due diligence in business transactions, IPOs and court proceedings. Data rooms are also employed by companies who need to collaborate on collaborative projects with multiple parties.

In the past, physical data rooms were the primary method for conducting due diligence during a transaction. These were expensive and required lots of planning to coordinate meetings in-person. With a virtual data room due diligence is quicker and easier. A virtual dataroom is a cloud-based software for file sharing which allows users to access files from anywhere around the world, without the need for an in-person meeting. A virtual data room comes with advanced features like document tracking as well as version control and simple collaboration.

It's important to get all the relevant people in one place, regardless of whether you're planning an acquisition or raising funds. It can be difficult and time-consuming, as well as inefficient. Email is a notoriously messy method to share documents. With increasing phishing attacks and increasing, it's more essential than ever to adopt the right method of due diligence.

PandaDoc lets you create data rooms in a matter of minutes, and simplify your documentation. You can upload and save any number of documents into the data room and use guided signing to gather signatures from all parties involved in the process. Get started today!