How to Make a Virtual Data Room Secure

A virtual dataroom secure is Data Room an online platform where large volumes of confidential documents can be shared with security beyond the walls of a company. It is commonly used for M&A deals due diligence, litigation, bankruptcies, fundraising, audits – any time multiple parties require the review of sensitive information.

The most secure virtual datarooms are equipped with numerous security features that are standard to ensure that data remains where it belongs: within the data room. These security features include physical security as well as granular permission settings for monitoring document activity.

Data Center Security: The top VDRs employ data centres of industry standard with adequate physical security. This includes offsite backups of data, redundancy of data and fire protection as well as biometric access control. They also have a strong business plan and regularly conduct penetration tests.

Document Access Security: The most efficient virtual data rooms give document access with granular permissions which allow administrators to restrict access to certain folders and documents. They can specify printing only, viewing only and downloading options. They also allow users to add dynamic watermarks on printed and viewed document pages and set time-limits for access.

Privacy Security: A reliable VDR is in compliance with or exceeds ISO 27001 compliance and is HIPAA fully compliant. It provides end-to-end encryption (E2EE), which prevents the unauthorized access of information by service providers or hackers.

Finally, a VDR that is highly rated will be certified by FINRA (Financial Industry Regulatory Authority) and SOC 2(Service Organization Controls) to ensure that it adheres to the most stringent handling practices to protect PII. This can help prevent the huge fines, legal expenses and loss of revenue that are associated with data breaches.