The best data room could be a critical decision for any business. When making the choice it is essential to ensure that the VDR can handle their specific requirements and that they are not paying too much for features that they will never employ. In addition it is important to check whether the provider offers set-up, training and ongoing support as part of their services.

It is important to consider the number of documents that will be kept and who can access them. In the majority of instances, it is better to choose a solution that can handle an unlimited amount of users and documents, as this will allow the business to save money on additional storage space or users. The company should also take into consideration the pricing model and what is included. Some providers, for example have a per-page charge, which can be costly if a company has thousands pages of documents that need to be saved.

What documents will be uploaded into the data room is another important aspect to consider. Investors will be looking for usual due diligence documentation, such as financial statements, business plan intellectual property, as well as incorporation documents. They will also want to review customer references and referrals and a competitive analysis.

It is important to avoid overloading investors with information or including too many minor documents. It is also a good idea to go through the documents on a regular basis and eliminate all that are no longer relevant.