In M&A due diligence, and other aspects of dealmaking, virtual data rooms play an essential role. They allow businesses to simplify processes, aid decision making, and accelerate closing of deals. Many companies struggle to figure out how much a virtual room will cost due to the variety of prices charged by different vendors.

The price of a data room can vary based on data rooms features like IP-based restrictions or customizable user roles. The capacity of a data room can also affect the price. A greater number of concurrent users, like increases storage space costs and will require more bandwidth to manage the workload.

Some virtual data room providers charge per-user, a model that differs between vendors. This pricing model is usually the most affordable option for projects with a restricted number of administrators. However it’s important to remember that certain data centers charge up to $250 per administrative user.

Another popular pricing model is based on storage volume. This model includes a fixed amount of data storage which is usually enough for most small to medium projects. If a business requires more storage space for its data they can purchase additional GBs from the vendor.

Flat-rate pricing is also very common. This is a method that allows companies to pay a fixed cost per month for a set number of users, admins as well as projects and storage. While this isn’t the cheapest, it’s appreciated by the majority of users since it stops them from being astonished by the high cost of invoices.