Data room confidential mode allows the virtual data room administrator to limit a particular user’s access to the VDR based on their IP address or device type. It is an excellent tool for M&A transactions and other sensitive business ventures.
A good service provider will provide granular rights settings for users and two-factor authentication. They will also offer remote shred, which removes downloaded files when administrators block access. They will also be able to handle the most popular formats for files, including PDFs and Excel XLSXs. The top providers can place watermarks on the files users download, which can deter users from sharing copies of the files online. They can also set an expiration date for files that are downloaded to stop unauthorised downloads.
Other useful tools include redaction, which allows the administrator to erase (black out) portions of text or specific sections of a document from view of authorized users. This feature is essential because it safeguards all sensitive business data as well as personally identifiable information from hackers. Most reliable VDR providers can modify PDF documents, Doc, Docx PPT, Txt GIF, JPG and Q&A files.
Some providers allow users to print out documents that will automatically include a “watermark” and download the original version. A good service will provide a feature for questions and answers that lets users discuss documents in the dataroom and store answers in the form of a searchable database. This can be extremely useful for M&A deals as well as any due diligence project.