The technology behind the way data is stored has expanded to include options well beyond physical locations. This has led to a number of tools, like virtual data rooms and cloud storages, that can help organizations manage various applications within their workflow. Both options are beneficial however, there are differentiators to consider when considering them.
vdr vs cloud storages
It is important to ensure that your transactions are handled efficiently when it comes to sharing sensitive information with third-party companies. This means having a secure platform that all stakeholders can quickly access documents, make comments and collaborate on their content and, in certain cases, provide signatures via services like DocuSign. Additionally, you should know the location of your data at all time and how it is being utilized. A virtual dataroom gives you control and visibility through a variety of options that are specifically designed for secure document exchange confidential transactions.
Cloud storage platforms might have the ability to share files, however they are not equipped with the security features required for due diligence and transactional management processes that are associated with transactions that are confidential. These features are often found in VDR solutions and include enhanced security, more granular access controls multi-factor authentication and extensive audit trails.
Many businesses and individuals are pleasantly surprised by how affordable and practical the VDR can be. Most providers offer an “freemium” plan, where you get a small amount of complimentary storage space and then upgrade to pay monthly costs for additional storage. This is a more cost-effective solution than storing your personal hardware and managing it in your own organization.