Investors are looking for all the information they can get their hands on about startups prior to investing. They want to look at everything from financials to competitor analysis and much more. The more organized the founders will be, the faster and easier it will be for investors to conduct due diligence. One way to help the process more efficient is to create a data room for investors that contains all relevant information and documents.

What documents should be included in an Investor Data Room?

While every startup is unique however, a lot of the same documents are required to conclude a funding round. Some of the most important documents to include in an investor dataroom are pitch decks, a product plan, company bylaws, and articles of incorporation.

Investors should also look over stock option agreements, non-compete agreements, as well as employee agreements. These documents are often sensitive, so it is recommended to save them in a easily accessible, secure online repository. This will ensure that they are only shared by authorized third parties. CapLinked’s virtual data room solution that comes with digital rights management capabilities, allows users to control the manner in which documents are used. This ensures only those who require access to it have access.

Include previous updates from investors in a data room online to demonstrate potential investors that you’re honest, and that you will provide them with information during the fundraising process. It also builds trust, allowing you to move forward with your fundraising.

http://vdrdata.com/dealroom-platform-review-fully-automated-investment-management-system/