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What to Include in Your Investor Data Room
A data room for investors is a digital or physical place that holds all the information, data and documents required for due diligence when a startup seeks investment. It can also be used to display the startup’s capabilities to create an image that is appealing to potential investors. It is essential to keep in mind that a data area must be secured and secure since leaks of data could cause harm to the company’s reputation. It should make use of advanced software to ensure that only authorized users have access to access sensitive documents. It is also advisable to select a data room that provides real-time statistics on how individual documents were viewed.
What should you include in your Investor Data Room?
If you’re pitching your business to investors or a VC firm, you’re probably going to have discussions where they’ll want more information than what is contained in your deck. They may also request access to your investor data room for due diligence.
Investors would like to have the additional due diligence Click Here data you’ve provided along with any additional research they’re doing including market research reports from firsthand sources and public market information. Investors will also review your financials, including past performance and anticipated performance.
You’ll want to include a section that explains how much you’ve grown and the reasons for it. You’ll want to include the complete list of your management team along with their salaries and job descriptions. Also, you should include a complete legal section with the amended and restated articles.