The main reason to use a data room is to conduct due diligence in M&A transactions, fundraising or any other deal that requires sharing of sensitive information. They offer a safer alternative to email and free file-sharing services. They offer granular access rights as well as security features such encryption, two-factor authentication, and watermarks.
The amount of information required to conduct due diligence will differ depending on the scope and complexity, but it is crucial that all parties are able to access the same documents. A central data room with a clear folder structure with standard document titles and a master index allows the parties involved and others to navigate and find information. Grouping documents into subfolders that are similar will also streamline the review process.
It is important to only highlight the KPIs that are most relevant and not fill slides with irrelevant data. It is the same for sharing non-standard analysis that could confuse investors or mislead them regarding the company’s health and https://ethiquedesorganisations.fr/meaning-of-conglomeration-in-business/ growth prospects.
It’s also beneficial to include an overview slide at the end of each deck, which highlights the key points and the main points you want your audience to take away from the presentation. Investors can quickly switch between a closer look at the numbers as well as a broader view.
