The right folder structure can help you perform due diligence in a room. There are many ways to arrange files according to a specific set of criteria, like data room departmental stage, project phase or level of security. The most common one is to organize files into main folders that correspond with particular kinds of information, and then to create subfolders to make the system more user-friendly.

It is recommended to choose a service that provides a function for indexing files. This feature assigns a unique identifier each document, and renumbers it automatically if the folder structure is changed. This will help you save time and effort, particularly when there are several interested parties examining the same set of documents.

Certain VDR providers provide the capability to add watermarks to documents to prevent users from copying sensitive documents. This can protect intellectual property and aid in due diligence. Additionally, they typically have the ability to allow users to provide conditions of access agreements for users to sign before they can view the content that is considered sensitive. This will help the project’s participants comply with the regulations regarding confidential information in specific industries. It is essential to choose the right provider who is aware of these requirements and provides solutions to address them such as access control and audit trails.