If you're raising capital for your company then a data room can be a useful tool. A data room is a digital storage space for the information your potential investors may want to see as part of doing their due diligence (investigation) into whether your company is a good investment.
Some documents you might include in your data room are:
- pitch deck
- financials
- company documents (eg. share register, shareholders' agreement, IP materials etc)
Here are the steps to set up your data room:
- Create the data room: Use the 'Document vault' to create a folder called 'Data Room' with administrator only access. Add your documents to the folder.
- Add prospect investors: Under 'Associates' - add your investor contacts as a 'new associate' using the 'Potential investor' associate type.
- Create a data room audience group: Under 'Audience groups' create a group by selecting the potential investor entities.
- Give access to the data room: In the 'Document vault' change the audience group of your data room folder to your new potential investor audience and update.
- Publish a dashboard welcome message: Using 'Info tiles' publish a note on their dashboard using your new 'potential investors' audience group.
- (Optional) Communications: Email your potential investors to let them know the data room is ready to view.
1. Create the data room folder
Select 'Document vault' from your left side menu.
Click on the 'Create folder' button.
Name your folder (eg. Data Room) and click the 'Create' button.
Click the 'Upload document' button and drag and drop your files into the document window (you can add one or more documents at a time).
Select the name of your data room folder in the 'Upload to folder' dropdown list.
Click the 'Upload' button.
2. Create prospect investors
Each of your potential investors will be added as an 'Associate'.
Select 'Associates' from your left side menu.
Click the 'Add new associate' button.
If the potential investor is already connected to your company (for example they are an existing shareholder) then you can select the name from the 'Associate' dropdown list. Otherwise click on the 'Create new associate' button. Enter the stakeholder type (eg. individual, company), name, email and address. Click 'Save'.
Select the 'Associate type' 'Potential investor' from the dropdown list.
Click on the 'Submit' button.
If your potential investor is a new entity on Orchestra, they will be sent an invitation email.
Your 'Potential investors' will be grouped by their own category on your 'Associates' page.
Please note: If any of your 'potential investor' entities are newly affiliated with your company's Orchestra profile (for example they were not already a shareholder, associate or option holder) then they are charged at $2/stakeholder per month for as long as the investor entity has access. You can delete your potential investor entities when you have completed the round.
3. Data room audience group
Set up an audience group for the potential investors you added as associates.
Select 'Administration' > 'Audience groups' from your left side menu.
Click the 'Create audience group' button.
Give your audience group a name, such as 'Potential Investors'. Add 'Permitted entities' by typing to search for the name of the potential investor associates you have added.
Click on the 'Create' button.
4. Give access to the data room
Select 'Document vault' from your left side menu.
Click on the pencil 'Edit' icon for your data room folder.
Change the audience group from 'Administrator only' to your 'potential investors' audience group that you created.
Click the 'Update' button.
5. Publish a welcome message - Info tiles
An 'Info tile' can be used to guide your potential investors to the Data Room and provide contact information.
Select 'Communications' and then 'Info tiles' from your left side menu.
Click on the 'Create info tile' button.
Give your info tile a 'Title', a 'Description' and select your potential investors 'Audience group' from the drop down list.
Click the 'Create' button.
The info tile appears on the dashboard of your potential investors when they login to Orchestra.
6. Send a notice out that it’s ready
Send a communication to your potential investors to let them know that the data room is ready to view.