Articles on: Best Practices

How to Efficiently Use a Staging Folder in DealRoom

How to Create and Use a Staging Folder in DealRoom

An important aspect of successful M&A deal-making involves thoroughly reviewing and controlling documents uploaded from your team before sharing them with potential buyers. In DealRoom, one way to accomplish this is to create a "Staging Folder".

What is a Staging folder?

In general, a staging environment is an M&A best practice whereby folder structures and files can be easily organized, reviewed, and renamed in the data room before they are made “live” to interested buyers. Think of it as a dedicated preparation space.

How does a Staging folder in DealRoom work?

DealRoom provides robust permission controls, allowing you to limit viewing access for specific files and folders to certain parties. By creating a "Staging" folder visible only to selected team members (not buyers), you can efficiently upload and prepare documents. Once ready, seamlessly move them to folders visible to buyers.

Tip: Place the staging folder at the bottom of your folder structure to maintain a seamless numbering order for buyers. This helps prevent them from noticing any gaps.

How do I set up a Staging Folder?

Setting up a staging folder is a straightforward process. Follow these steps:
In the project room, navigate to the Data Room tab at the top.
Click New folder.

Name the folder something like "Staging (No Buyer Access)".
Optionally, create subfolders for different departments within this Staging folder. You can do this by clicking New Folder at the top or clicking the 3 dot menu for more options.

Grant exclusive access to your team members for uploading documents. For example, I can give my HR group access to view and upload their documents solely to the HR subfolder in the Staging Folder. To do this, go to the Permissions tab at the top.
Select the HR group from the left menu.
Choose File Permissions from the top.
Access the Staging folder permissions and click the pencil icon (Edit Access) for the specific HR subfolder. This ensures that the HR team can only see and upload to the Staging folder and their designated subfolder, maintaining confidentiality.

Repeat the process for other groups in your team.

What to do when ready to present files to the buyer?

Once your staging folder is prepared, you can take either of these two actions to make them accessible to the buyer:

Move the Folder: Select the documents in the staging folder, click on Move at the top, and choose the destination folder with buyer access.

Copy the Folder: Select the documents or folders in the staging folder, click on the 3 dots option to open a dropdown menu, and then click "Copy". Choose the buyer-accessible folder as the destination.

This streamlined process ensures a systematic transition from staging to live, enhancing control and confidentiality in your deal-making process.

If you have any questions or concerns, please don't hesitate to reach out to our support team.

Relevant Articles:
Leveraging DealRoom for Sell-Side Success
How do I set permissions?
I can't view a file, folder, or request

Updated on: 13/12/2023

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