Investors are interested in knowing a variety of things. Some of the information may be too complex to include in a single pager, or it may be too large. It’s important to have a data room that can organize all your data, regardless of its size or the scope. In the end, this will speed up the due diligence process, establish confidence in investors and increase your chances of closing the deal.

For startups seeking financing, this should include confidential revenue projections as well as documentation on intellectual property ownership, and detailed financial records. Investors can assess and evaluate a company’s growth potential and value.

Add any other pertinent corporate documents to this list. These could include the legal structure and management of the business to HR documents and agreements for employees. For many businesses, this is a necessary step to ensure that investors receive the same treatment.

Many investors are also interested in the sustainability of the http://vdrdata.com/the-difference-between-investment-banking-vs-brokerage business. It’s therefore important for startups to create an action plan that outlines the way they’ll expand beyond their current stage.

It’s a good idea also to provide frequent investor updates through the data room. This lets investors feel like they are a part of the team and makes them more likely to stay connected with the business as it grows. A file access analytics system is especially helpful to this end, since it provides startups with a quick look at who’s been viewing which documents.