In general, you should consider engaging a virtual dataroom (VDR) provider to share and control documents with an outside party while maintaining confidentiality and being able to track access to a given document. In particular some of the areas you should focus on are:
- Preparing documents for a transaction, especially when documents need to be put together from different sources and shared with different parties.
- Circulating information memoranda or teasers. A good virtual data room will make the process easier and will provide valuable tracking and audit information.
- Turning around drafts of legal agreements. A good dataroom offers a very simple, secure and easy-to-use document versioning system without the expense of complex dedicated document sharing platforms.
- Conducting due diligence, as a substitute for a paper or email-based data room.
- Closing a transaction, as a substitute for hard copy deal bibles. Very useful when reps and warranties are a key component of the transaction.