What is an Investor Data Room?
An investor data room is a place where startups store due diligence documents for investors who are interested in investing during a funding round or for acquirers in an M&A transaction. These are all the documents that aren't able to fit into an pitch deck or slideshare presentation, and that prospective financial backers need to confirm prior to investing or sign terms sheets. These documents are crucial for investors as they assist them make decisions faster and easier, which reduces the amount of time investment managers need to spend on the deal. They also make them feel like they are a part of the startup's team, which builds...