What Makes Firmex Virtual Data Room different from generic Online File Sharing?  Process IP.

Dec 20, 2010 - by Joel Lessem

I get many people asking me how is Firmex different from Box.net, SharePoint or other generic file sharing platforms?  Perhaps a recent conversation I had with KKR-ACCEL, a mid-market private equity firm, describes it well.  They look for organizations that deliver “vertical IP”. Vertical IP means they are non-generic and automate specific processes in a given industry.  Firmex is similar, but automates specific processes that are cross-industry.  We have what you could call “process IP”.  Our client support staff is regularly asked how to set up a structured document sharing environment for an M&A transaction, an insolvency file, a procurement process, a financial audit or litigation case.  We have built-in templates for these types of processes.  The common attributes are that they all generally involve a lot of sensitive documents with complex document security and access rights, a large group of participants, and a mission-critical project.

Organizations are rapidly moving data online, not just as temporary staging area but as a permanent secure and reliable repository.  We are seeing this from organizations ranging in size from small businesses to Fortune 500 companies.  With Software as a Service, organizations can plug in “best of breed” document sharing products that best fit specific business processes without any burden on IT. While generic online file sharing applications will prosper, I also foresee a “long tail” of document sharing solutions that have “process-specific IP” for more complex business processes and user support needs.