How to Select the Best Virtual Data Room That Fits Your Needs

It doesn’t matter how resourceful a solution is; if it is not according to your needs, it is of no use.

For example, virtual data rooms are designed to help businesses, but the needs or objectives are not the same everywhere. Every firm, company, or business institution has different requirements or objectives, and they need data room services accordingly.

So how to go about it? How can you choose a virtual data room that will suit the unique needs of your business? You will find some very useful tips in this guide.

A step-by-step guide to choosing the best online data room software

1. Identify your business needs and capabilities

Any purchase decision starts with identifying your needs. A virtual data room is used for multiple purposes; how do you intend to use it? Or, how can it improve things in your businesses?

Most importantly, you should be aware of the abilities or skills of your employees or people who will use the VDR software.

You can start asking questions like:

  • How much storage will be enough for you?
  • What number of employees will use the data room?
  • How much can you invest in VDR software?
  • Do you need a data room for data storage or other purposes as well?

2. List down the features you need

When you are clear about what you need from your data room software, the next thing is to list down the features necessary for your needs.

Every data room provider may not be offering the features you are looking for. For example, some VDRs don’t have dedicated tools for due diligence, project management, or other advanced features.

Still, here are some features you must look for in any data room you choose:

  • Security features like two-step verification, remote device purging, and ISO 27081 and ISO 27001 compliance
  • Document security and management features like digital watermarking, document access control, full-text search, drag-n-drop, bulk upload, and “view only” mode
  • Audit trails to generate reports on data room activities
  • Q&A modules and communication tools including messenger, audio/video calling, polls, etc.
  • Support for common operating systems or the one you are using
  • Customer support service

3. Determine your budget

Although virtual data rooms are a very cost-effective option, the pricing models vary among virtual data room providers. Therefore, finalize the budget for data room services as this will help you direct your search in the right direction.

If you are not using the data room on a temporary basis, a monthly or yearly subscription would be a choice, as it is quite cost-effective in a longer-term perspective. Here are some common price models practiced by data room providers:

  • Number of users/per-user pricing
  • Storage size
  • Per page pricing/number of documents
  • Flat rate (monthly or yearly)

Most importantly, make sure there are no hidden charges and the pricing is transparent enough.

4. Compare different data room providers

Although you need a virtual data room for specific purposes, comparing data rooms may help you find great packages at low prices. For example, some data room vendors offer more features or additional storage space in a specific price range.

Every vendor has a different way of providing value; you need to determine which one is better for you.

5. Read online customer reviews

Online customer reviews are a great way to find out the actual performance of any virtual data room provider. In fact, customer reviews can also help you identify the shortcomings of a product. However, it is true that reviews can be misleading sometimes because companies now buy fake reviews. Fake reviews generally have no proper structure and a lot of spelling mistakes.

The good thing is that some software review websites still keep everything transparent. Here are some globally trusted websites for reading customer reviews:

6. Ask for a free trial

Once you narrow down your research to a few data room providers, contact them. You can ask questions related to their customer service, data backup, etc. However, don’t forget to ask for a free trial. Unfortunately, not every data room vendor gives you the luxury of free trials, but the good ones surely do.

Here are some of the best data rooms that also provide free trials:

  • iDeals
  • SecureDocs
  • Ansarada
  • DealRoom
  • Digify

A free trial helps you get a hands-on experience of the product you may use in the future. During taking free trials, pay attention to customer support, ease of use, user interface, and the overall efficiency of the data room services. Most importantly, make sure your workforce is comfortable with using the VDR.

Summing it up

Virtual data rooms are an investment that will affect your organization in multiple ways. A rush of blood while choosing a data room service for your business is not a wise thing to do. The buying guide above can help you do things in a sequence and make more informed decisions.