A data room is a shareable online repository of any and all files that will be required in the due diligence process when raising capital or selling your company.
Sophisticated investors may ask for hundreds of documents in the due diligence process. If you don’t have a repository for all these files put together, you may spend months (we’ve seen it happen) collecting files and kill the deal. A data room is an insurance policy that allows your business to be ready for sale or easily turned over to someone else in an emergency situation. Having a turn-key data room ready to go not only demonstrates how well you run your company, many buyers think it’s worth an additional turn on an earnings multiple.
Venture First builds, manages, and keeps current, data rooms for growth-stage companies. We’ve participated in hundreds of venture deals, we know what needs to be in a data room, we know how to organize them, and we have the bandwidth to keep things up to date.