There are a variety of models that data rooms employ to determine pricing. Some are per-page priced, while others are determined by the size of storage. Others have a monthly flat cost. It is important that M&A professionals understand the average VDR prices for each pricing type to make informed decisions regarding the most suitable vendor for their budget and requirements.
The amount of documents stored in the dataroom is a popular way to determine the cost. This is an excellent option for teams that don’t require much flexibility in the size of the files they can upload. However, it will not work well for large collaborative projects.
Another method used by some vendors to determine the pricing for the data room is by using the number of administrative users. This is also a suitable option for teams with fewer requirements for document sharing and collaboration however, it can be costly for projects that require more advanced tools like security visualization analytics, collaboration, and security.
Some vendors utilize a flat-fee, monthly model. This is a great option for long-term M&A transactions that have a variable timeline that is difficult estimate. This pricing model could also be utilized by businesses who want to avoid the cost of scanning and uploading a large number of physical documents. This model also includes the client service. Certain providers, for instance, offer support by a dedicated coordinator at weekends and after hours. This is helpful when working with documents that require a lot of time.