Most entrepreneurs know that fundraising can be a tricky business. You need capital to move your business forward, but at what cost?
You can guarantee that potential investors will want to see every last bit of documentation you have before choosing to invest- including your company's proprietary data and irreplaceable intellectual property (IP). While most investors have the highest level of integrity, and the best intentions, sometimes unauthorized leaks occur. To avoid such leaks you want to ensure that you maintain control of your business documentation during the deal process. Here is where a virtual data room can be of critical importance during the deal process.
Protect Your Intellectual Property
Using a data room during fundraising means that you remain in control of your company’s most valuable information. Your IP is protected because having complete transparency into who is viewing the file and when they are viewing not only acts as a deterrent for unwanted data leaks, but provides a way to trace where the leak originated should one occur. With a virtual data room:
- You mandate who is allowed to view the documents.
- You can watermark and time stamp every document.
- You can require all users to sign a customized NDA.
Maximize Your Deal Value
When raising funds you want to take every measure possible to ensure you are getting the most out of your deal. With a virtual data room you have the ability to see who is using your room, who is actively looking at your documents, and who isn't. Helping you:
- Gauge investor interest.
- Create an auction like environment (leading to more capital).
Expedite Your Deal Process
Investor relations can be time consuming. The software you use to to manage those professional interactions should make the process easier, not complicate things further. Using an easy to use and easy to implement secure virtual data room is crucial. The SecureDocs solution helps you quickly upload and organize all of you business documents, making sure that you are ready for any opportunity.
- Get your room set up quickly.
- Train users in minutes.
- Remain prepared for investor engagement.
As an entrepreneur, using a virtual data room will certainly help you through the deal process. PlantForm, a Canadian life science company, has achieved great fundraising success using a SecureDocs Virtual Data Room. Download the PlantForm Case Study to find out why it has worked so well for them.
“SecureDocs is an efficient, straightforward, secure system that has become a valuable tool for our company as we grow.” -Don Stewart, President and CEO of PlantForm