How Long to Keep Business Files

How Long to Keep Business Files

In the course of carrying out activities, enterprises accumulate a large number of documents and there is a need to organize a secure data repository. In this case, a digital data room is a perfect alternative, So, how long to keep business files in a data room?

Virtual data room: access your files in a few clicks

Nowadays business owners are required to keep certain documents and business records. They are subject to retention periods, i.e. the periods during which these documents, records, and books are to be archived or kept. Depending on the type of document, a 6-year or 10-year retention period applies here. These retention periods and obligations must be observed, otherwise, there is a risk of significant adverse effects,

What most companies want in a document management strategy is secure and seamless mobile access to business files. A web-based software solution like a virtual data room eliminates the worry of taking documents out of the office while empowering businesses in the vertical market to become more efficient and productive.

When storing business documents, you must also ensure that at any time during the retention period they are available, complete, legible, unchanged, reproducible, and suitable for machine use. This should allow for a complete and understandable check. If the retention period for business documents has expired, business documents may be destroyed. Of course, only if you no longer need them. If these documents contain sensitive data, such as internal company data or personal data, these business documents must be destroyed following the General Data Protection Regulation (GDPR).

How to store business records in data room achieve?

An electronic data repository is a storage system for accounting, personnel, and other documentation that allows you to significantly optimize and automate the management processes of a modern organization. The main task of the software is the prompt provision of access for all departments to the necessary documents and the safety of documentation. One of the most important reasons for creating an electronic archive in an organization is a significant reduction in the time it takes to search and process information.

For each type of document, a card template is created using visual tools, where the names of the document attributes are presented in a backward graphical form. When a document is entered into the data room, the required template is taken and the card is filled in (attribute values are entered). Once completed, the card is linked to the document itself.

The use of a virtual data room repository for storing business files simplifies the workflow in the following way:

  • The organization of an electronic archive of documents allows you to systematize documentation, distribute it by type and storage period, which contributes to the standardization of document processing processes.
  • Backing up information significantly reduces the risk of losing it, and it is many times less expensive than creating paper backups of a conventional archive.
  • The use of an electronic archive makes the management of service information more efficient and simple, solves the problem of document flow optimization, reduces the time it takes to search for the necessary papers, eliminates the loss of important documents and their unauthorized change.
  • Due to the restriction of access rights, logging of user actions, and automatic backup, a high level of information security is ensured.

Besides, storing documents in their original format and automatically recognizing multiple file formats is a big advantage of electronic document management systems.