Expediting and Securing Your Business Deals Using a Virtual Deal Room
Since the rise of the COVID-19 pandemic, there have been a lot of changes to the workplace and how businesses interact with each other. As globalization has impacted the world more and more, a lot of new technologies have been implemented to help businesses better transact with each other virtually. This has been particularly important with not only the rise of remote working and remote company transactions, but also with the rise of cybercrime.
In fact, according to the FBI, there has been a 300% rise in cybercrime due to the pandemic. As a result of this, software solutions that help companies up their cybersecurity game are extremely important. Ransomware, in particular, is an ongoing issue that has brought down many major companies. Ransomware involves hackers stealing sensitive data, often data that is vulnerable when making business deals. Keeping this data safe is imperative to making sure that your business is secure.
There are, of course, other reasons how a virtual deal room can help your business both expedite and secure its business deals. This is particularly important in the modern world where business move at a faster pace and expect quicker results. With that in mind, here is how you can use a virtual deal room to both streamline and secure your dealmaking process.
Understanding deal rooms
There are a huge variety of deals that can be done within a virtual deal room, which is often referred to as a deal room for that very reason. These include mergers and acquisitions, fundraising, IPOs, and strategic business partnerships, all of which need to move quickly but also be highly secured. It is very important to use a deal room to make sure that all of your documentation is safe. This allows the dealmaking process to go smoother and be more efficient in terms of both security and communication.
Utilizing the features of a deal room
There are a number of different features of deal rooms that makes them extremely useful for companies of all shapes and sizes that thrive on the dealmaking process. For one, there is the very important matter of cybersecurity, which is enhanced in various ways by a deal room. Not only is a deal room stored on an extranet, but it also has various features to make sure that documents are only seen by the individuals that you want them to. These features include customizable NDAs, permission-based user roles, view-only access on documents, and a Q&A feature that allows individuals to ask questions directly in documents that they need clarification on or where they want to request changes. This comes of particular importance during the negotiation process, which can often take weeks if not months without the aid of technology.
In addition to this, you will have a variety of features at your disposal within a deal room that can help you expedite the dealmaking process. These include a customizable dashboard that allows you to track who has accessed which documents at what time, the aforementioned Q&A feature, and a communication tool that allows you to correspond with the other party in the deal directly within the platform. This helps speed things up so that you don’t have to do everything through email or check another messaging platform to correspond such as Slack or Microsoft Teams.
Using a virtual deal room can help you both speed up your business deals and make sure they are more secure. Cybersecurity is the number one threat that can derail a potential business deal that is conducted entirely online, so it is important to employ a software solution that can help with this. Fortunately, virtual deal rooms can help not only with cybersecurity but also with organizational structure to make sure that all parties of a deal are on the same page and can complete the deal as quickly and comprehensively as possible.