Choose your needs for storage of data before you start setting up a room. It is then your decision to decide whether a physical or a virtual data room is best for your business. Choose a service that has the features you need to meet your specific needs, such as access to users, drag-and-drop watermarking, audit trails.
Once your data room is set up, you can begin organizing your documents. Create the use of a table, or a folder structure to facilitate users to find the information they’re seeking. Utilize a clear and concise indexing system. A well-organized document structure allows you to easily identify and compare versions of a file, which is especially useful when working with multiple collaborators.
If you’re using a data room to communicate with investors, consider including historical updates of investors in the data room. This will show investors that are open to openness and transparency, which can increase your trustworthiness in the due diligence process.
Final note: If using your data room to conduct due diligence or to raise capital, make sure you follow a due-diligence checklist. This will help you prepare to be reviewed by the buyer, and prevent sensitive information getting to the wrong person. It is also important to establish a non-disclosure agreement (NDA) within the data room, and have prospective buyers sign it prior the review of www.dataroomdirect.info/setting-up-a-data-room-in-google-drive/ any documents. This will reduce the risk of data breaches and intellectual property theft which can occur if sensitive information is shared via unsafe tools such as email or file-sharing sites.