top of page
  • Bartłomiej Dmitruk

Virtual Data Room - an effective tool for commercial and corporate banks

Starting cooperation with a business client - credit assessment process and communication with the bank

Commercial and corporate banks start servicing each business customer with the Know Your Customer procedure and customer credit assessment. This process is related to the provision of information necessary for customer assessment - basic information about the company, financial statements and additional information. On this basis, a decision is made to start cooperation with a given client, and then about the product scope of the offer directed by the bank to the client.

In the case of a positive initial assessment and a decision to start cooperation, the bank prepares documentation covering the opening of accounts and the provision of credit products agreed with the customer within the accepted limits. The commencement of cooperation involves the cyclical verification of the customer's credit assessment and the provision of the necessary data and financial information for such an assessment on an ongoing basis.

Often, cooperation between a bank and a business client is not only simple products or bilateral financing. For large clients, cooperation with banks means complex syndicated or syndicated loans, tranches in various currencies and additional financial instruments (e.g. bonds), transactions hedging currency and interest rate risk (CCIRS or IRS swaps, FX transactions), an investment process subject to constant verification and many other aspects of requiring ongoing communication and reporting in a specific discipline.

Outside of banks, a number of advisers are often involved in business client financing transactions - lawyers, financial advisers, auditors, environmental advisers and others. All parties are involved not only in the financing preparation and granting stage, but also in the later stages of the financing life. And this life often does not comply with the schedule adopted at the beginning, requires changes, waivers, or often restructuring or refinancing.

Due to the confidentiality of information necessary for the efficient conduct of the credit process and cyclical verification of business customers, banks are increasingly turning to solutions for the secure transfer of data and information using tools such as Virtual Data Room. So far, such solutions have been very often installed on banking servers as an on-premise solution. The recently increasingly favorable recommendations of the Financial Supervisory Authority (FSA) abroad regarding cloud solutions for banks have caused them to start using VDR solutions in a secure cloud, in the Software-as-a-service formula.

Why is it worth implementing a professional Virtual Data Room in a bank on a permanent basis?


Virtual Data Room is a very flexible and versatile solution. It gives the possibility of running many projects at the same time, working with many clients, banks, advisors and various banking products. With proper implementation in a bank, it can be a tool for communication with business customers for all product departments along with credit risk. It also gives the possibility of communication and cooperation with external partners, such as other banks or legal advisors. Properly defined projects, groups and authorizations clearly define who and what role in the project, who is to see and communicate, and what access to documents has.


Today's VDR solutions are based on advanced security technologies, data encryption and sharing them in a way that eliminates the risk of data leakage into the wrong hands. GDPR or OWASP are just some of the passwords, the fulfillment of which should be asked by the VDR provider. Customer data, even public company data, often contain trade secrets and sensitive data. Providing such information via e-mail or unauthorized tools can end badly. It is worth taking care of the security and confidentiality of communication between the client and the bank.


Each client in VDR is a separate project or set of projects. It is logically and often physically separated on servers and it is not possible to share data between clients. You can grant or withdraw access to selected groups or users at any time and actively manage communication with clients and advisers. The customer and the bank can be sure that their data and sensitive information do not "circulate on the web" and have not fallen into the wrong hands.


Syndicated loans, club deals, derivative instruments, investment monitoring processes, changing financing conditions, refinancing or restructuring - all complex transactions and processes can be easily conducted in a professional Virtual Data Room. More and more VDRs include the ability to create transaction schedules, simple and effective work-flow, advanced Q&A and many other additional tools for collaborative work, also with international partners, in several languages.


Virtual Data Room is a place where you can store and share data and documents for various bank departments. It is worth having information on each business customer, their credit rating, history and all offered products available in one place. This possibility is provided by VDR and causes that smaller amounts of data are stored on banking servers by individual departments. Active matrix of entitlements to customer data can be prepared in accordance with the bank's procedures and correspond to detailed guidelines for individual departments or employees.


Virtual Data Room solutions also mean advanced monitoring of all activities in each project. From the documents that are placed in the project, through the users invited to the VDR and the rights granted to them, to the monitoring of the activity of each user, the data and documents in the VDR are under the full control of the designated administrator or administrators. VDR also means active access management and the ability to change permissions for each user at any time.


Increasingly, VDR providers offer additional advanced functionalities enabling above-average security and additional usability of the solution. As part of the project "SHARE - an encrypted platform for virtual workspaces", co-financed by the National Center for Research and Development in Virtual Data Room SECUDO, a durable medium based on blockchain technology, electronic signature and built-in videoconference will be available. This will give users who are in line with new technological trends additional opportunities, especially useful for such advanced entities as financial institutions.


Initially, Virtual Data Room solutions were expensive and their application was limited to selected transactions or due diligence processes in financial markets. Due to the significant progress and popularization of cloud technologies, VDR is now an affordable solution available even for small transactions. The costs of secure communication with the use of a professional VDR are often a thousand and a half of the nominal value of a transaction or transaction fees or the remuneration of advisers.

About us

DealDone is a specialized company that offers high-quality products in the field of information and data security. The DealDone team consists of people with many years of international experience in investment banking, investor relations, technology and cybersecurity. We offer services and software in the field of modern technologies for the circulation of confidential information, classified information, sensitive data and digitization, security, encryption and sharing of data and documents inside and outside the organization.

DealDone independently developed and introduced for sale the Virtual Data Room SECUDO solution. VDR SECUDO is a platform for secure exchange and processing of confidential information offered in the Software-as-a-Service model for business clients, in the form of virtual data rooms.


bottom of page