Data rooms are a kind of cloud storage that is used to store and share information in an online environment. This is usually done as part of due diligence for M&A transactions, where all parties need access to documents and other information. These tools allow companies to provide access to crucial documents without risking a breach and exposing the company to legal liability.

The best virtual data rooms provide a user-friendly and simple interface, and include many features to be used during the transaction. This includes features such as detailed analytics of who is accessing which documents, view-only access and a range of permissions. A reputable provider will offer various support options, such as live chat, phone, and email.

When choosing a software it is important to find a company with a trial offer of their platform for up to 30 days. This lets you test the software and ensure that it’s a good match to your needs, before you commit to a monthly subscription.

Certain providers offer full lifecycle capabilities on their platform, allowing you not only to store your data but also to improve processes and communication between internal and externally. This can make the difference in an effective deal.