misconception about virtual data rooms

Myths You May Not Know About Virtual Data Rooms

Very few organizations store files in physical cabinets within their office space. Securing data that way has become outdated and poses too much of a security risk to both the client and the business. That traditional method is too archaic and cumbersome.

Most offices and businesses have embraced technology, and now store their files as digital files on the cloud. Such storage makes data storage, file sharing, and retrieval very easy and efficient. This kind of storage is called a virtual data room or a VDR. It also provides enhanced security as compared to the traditional storage method. For some of the best VDR services, you can check out Virtual Data Room with Firmex. There are, however, skeptics that find fault with these efficient systems. It could have its flaws, but some myths are just not true. Here are a few of them.

1. They are insecure

Whether you store your files in cabinets or on the cloud, there will be some element of risk in both. No file storage is 100% perfect. Physical storage faces the risk of theft or physical damage, while online storage faces the risk of hackers and file corruption. You can put necessary safeguards in both to protect your company’s data.

Keep in mind though that it is far much easier to protect digital data than it is to protect physical files. You only need to invest in online security tools most of which are available online at affordable prices.

2. Takes too long to upload files

If you have very large files, it could take a little longer than usual to upload the files. However, subsequent uploads will be simple and quick. If you compare with arranging physical files, you will find that you will spend way less time uploading digital files and spend even less in terms of money and personnel.

Just one GB of data could take a whole cabinet of files. If you compare storing these two, you will appreciate the convenience VDRs bring to modern organizations and businesses.

3. Online data storage is expensive

VDRs are still not as popular because a lot of people still think that this system of data storage is expensive. The cost of investing in the technology required and the equipment could be on the higher side when setting up, but it will be offset by the significantly low cost of operation.

misconception about virtual data rooms

Furthermore, when setting up, you get to have access to a lot of free trial software. You only select and pay for the one you deem appropriate and conversant with your type of data. From there, data sharing and storage becomes a very easy process, far much easier and cheaper than moving physical documents.

4. All VDRs are Similar

Those that are yet to use VDRs assume that they are all similar. This assumption is a fallacy. VDRs come in different features, and that is why some are more expensive than others. You will even find a lot online that are free but lack security features.

When selecting a VDR, check the features that the service provides to determine whether it is conversant with your data and needs before paying the subscription.

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