How smart founders use virtual data rooms to unlock the next growth chapter - London Business News | Londonlovesbusiness.com
Briefly

Virtual data rooms have transformed to become accessible tools for growth-stage founders, providing encryption and audit logging similar to those used by major financial institutions. The global VDR market is expected to increase significantly due to rising M&A volumes, stricter regulations, and the need for rapid transactions. Demand is amplified by high rates of cybersecurity incidents among businesses, leading investors to require evidence of strong document security. Effective VDRs facilitate ongoing fundraising, quicker due diligence, and cultivation of partnerships.
Virtual data rooms have evolved from niche tools for lawyers to essential platforms for growth-stage founders, allowing them to manage sensitive information with advanced security.
The global VDR market is projected to grow from USD 2.5 billion in 2024 to about USD 5.6 billion by 2029, driven by rising M&A activity and stricter data-sharing regulations.
A well-structured VDR enables companies to maintain immediate readiness for fundraising, facilitate rapid due diligence, and support revenue-generating partnerships through efficient document management.
As 43% of businesses report cyber incidents, investors are increasingly demanding proof of robust security measures before initiating funding discussions.
Read at London Business News | Londonlovesbusiness.com
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