What is a Preparation Portal

Preparing for due diligence can be a challenging and time-consuming process. There are many aspects to consider, from financials to legal issues to operations. Collecting and organising all of the necessary information can be daunting, especially for larger companies who need to forge while the iron is hot.

Fortunately, a preparation portal provides a centralised location for companies to upload and organise all key due diligence documentation. This creates a more efficient and faster process for document management and allows companies to focus on other important matters.

• What a data room means and how they are used 
• What goes in a data room
• Their features and benefits 
• Why data rooms are more secure than standard cloud storage services 
• How to set up a data room 
• How data rooms are evolving and able to support more than just due diligence

What is a preparation portal?

A preparation portal is an early-stage data room that can only be accessed by the team preparing the documentation related to the upcoming transaction.

A preparation portal allows you to gather and organise all the necessary documentation ahead of the transaction. This gives the sell-side time to locate all critical business documentation required for the due diligence process and the opportunity to arrange the portal so that everything is easy to find and organised in a way that makes sense.

Taking the time to set up a preparation portal will pay dividends when it comes time to conduct or share your due diligence findings with potential buyers.

How is the preparation portal different from a virtual data room?

In essence, the preparation portal provides the sell-side with all the functionalities present in the full-scale data room. You can upload, organise, and index the documentation including checklists, contact lists, and templates.

Your live virtual data room will benefit from the support of the preparation portal in your due diligence process. When you’re ready to invite potential buyers to the table, thanks to the preparation portal, you can easily upgrade to a full-scale data room, and your live data room will be ready in no time.

So if you're looking for a way to streamline your due diligence process, a preparation portal is definitely worth considering.

When is the right time to launch a preparation portal?

You never know when an opportunity may arise, so it's a good idea to begin preparations early, even before you consider selling your business, entering a merger, or a joint venture.

To get tips and best practices to help you prepare and execute a seamless and successful due diligence download ‘Your guide to preparing for successful due diligence'.

Start preparing for your next transaction