What Documents Should You Share in Your Investor Data Room?


A data room for investors is a central repository where documents can be shared with potential investors or financial backers. It allows quick, streamlined, and organized access to the documents without having to send multiple copies via email. The data room is secure, with features such as watermarks that expire, expiring links, password protection, and granular permissions that make it easy to control access to sensitive information.

You’ll need to share numerous documents with potential financial backers. This includes the basic documents such as your capitalization table, termssheet and investment rounds, and more specific due diligence information like the most recent financial statements (both historical and projected), and human resource documents, such as founders’ resumes or employment agreements, as well as employee stock option plans. Include documents related to technology, such as integrations, system architectures, and existing product documentation.

The more information you add the more information you include, the longer it will take investors to read. In addition the more information you include, the greater the risk of misuse or compromise of sensitive information. It is essential to ensure that you are clear with limiting the amount of information you provide in order to get your work done quickly.

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