Investor due diligence is a vital part of any investment process. The more prepared you are, the quicker your investors can finish their review. A data room for investors can make the task much easier for everyone involved.

LPs will want to see a variety of documents such as legal contracts, supplier and customer agreements as well as intellectual property information, market research, cap table, financials, and more. Utilizing a virtual data room allows you to share these documents with third parties, and reduces the potential for duplicated emails or copies that have been sent out in error. These documents can be exhibited in a well-organized easily navigable investor datarooms that www.dataroomsource.com/clinked-virtual-data-room-review/ demonstrate professionalism and organization.

The investor data room is an ideal place to store and present your presentation deck (or investor pitch) to a potential investor. While the investor presentation isn’t strictly part of the supplementary due diligence information, many investors include it to give context and facilitate investors’ access to the details they require.

Some founders use their investor data rooms to save different information for different investors. Some founders, for instance, have an investor data room that is a «draft» and investor data room that they only communicate with investors who have not yet committed, and another set of documents available to those who are about to sign a deal. This lets them control the amount of information they provide at any given time and ensures that the correct information is delivered to the right people.