Physical Data Room Procedures
Physical data rooms are quickly being replaced by virtual data rooms , partly because of the complex procedures that are necessary to protect the information held in these rooms. Having confidential deal information in a specific location means that the parties in a deal need to travel to and from the location each time they view documents, which also results in high costs associated with transport, accommodation, premises and security. Another complex issue is the on-site management of the venue, which needs to be restricted to only those who are essential to the due diligence process. Use of Virtual Data Rooms has considerably evolved over the years over its Physical counterpart in many ways. Let’s take a closer look at the procedures involved in using a physical data room. Storage of Documents With regard to the documentation, the following rules apply: All information stored on-site must be sorted, stored in binders and indexed. In the absence of electr...