Data room confidential mode allows the administrator of the virtual data room to restrict a particular user's access to the VDR based on their IP address or the type of device. It's a useful tool for M&A deals as well as other shady business ventures.

A good provider will allow users to set their own rights in granular ways and two-factor authentication. They should also provide remote shred which deletes downloaded documents after administrators block access. In addition, they will be able handle the most commonly used file formats like PDFs and XLSXs. The best providers can add watermarks to files that users download, which will discourage people from sharing copies of the files online. They can also set an expiration date for the files downloaded to prevent unauthorised downloads.

Other useful tools include redaction. It enables the administrator to remove (black out) fragments of text or particular areas of a document that are not in the view of authorized users. This is crucial because it will protect any personally identifiable information as well as important business information from hackers. Most reliable VDR providers can rewrite PDF, Doc, Docx, Txt, PPT, PPTX GIF, JPG, and Q&A files.

Some providers let users print out documents that automatically include a "watermark" and even download the original version. A reputable provider will offer a question-and-answer function that allows users to talk about documents in the dataroom. They also store answers in the form of a searchable database. This is great post to read a useful tool for M&A transactions or any other due diligence project.