Developed by the American Institute of Certified Public Accountants (AICPA), SOC 2 (System and Organization Controls 2) is a voluntary compliance framework that focuses on the security of a service organization’s data management practices. SOC 2 revolves around five key Trust Service Criteria (TSC):
An independent SOC 2 report verifies your robust security practices, giving your clients peace of mind and fostering long-term trust.
Many leading companies require SOC 2 compliance from their service providers. Gain a competitive edge and stand out from the crowd.
The SOC 2 journey strengthens your overall security by identifying vulnerabilities and proactively safeguarding your data.
SOC 2 provides a structured framework for managing security risks and preventing costly data breaches and disruptions.
A strong security posture is essential for growth. SOC 2 compliance positions you as a trusted partner, attracting investors and fueling future expansion.
A SOC 2 report is an independent third-party validation of a service organization’s commitment to evidencing the design and effective operation of its controls. SOC 2 compliance has two types: Type 1 and Type 2
| Feature | SOC 2 Type 1 Report | SOC 2 Type 2 Report |
|---|---|---|
| Focus | Security Control Design | Security Control Effectiveness |
| Evaluation Period | Point-in-time snapshot | Defined period (typically 3-12 months) |
| Auditor’s Opinion | On the design of controls | On the operating effectiveness of controls |
| Purpose | Establish a baseline, demonstrate commitment | Provide in-depth verification |
| Ideal For | Organizations starting their SOC 2 journey | Businesses seeking a more comprehensive assessment |
| Cost | Typically less expensive | Typically more expensive |
| Time to Complete | Generally faster | Longer timeframe |
Achieving SOC 2 compliance is a strategic journey. With a well-defined roadmap, the process can be streamlined and efficient. Here’s a step-by-step guide to navigate the path to SOC 2 success
Conduct a thorough internal assessment to identify existing security controls and potential gaps in your compliance posture. This helps you understand your security landscape
Perform a gap analysis to identify areas where your controls fall short of SOC 2 requirements. This helps pinpoint weaknesses that need addressing.
Develop comprehensive policies and procedures to address identified gaps and align with the Trust Service Criteria. This forms the foundation of your security framework
Implement the defined controls and procedures throughout your organization, ensuring everyone is aware of their roles and responsibilities. It’s time to bring your security playbook to life
Choose an experienced SOC 2 auditor with industry expertise. This ensures that they are familiar with your specific Trust Service Criteria and can guide you to success
The auditor evaluates your security controls and documentation to ensure compliance. Be prepared to provide supporting evidence and answer questions
After the audit, address any deficiencies and establish ongoing monitoring to ensure your controls remain effective and continuously improve.
No, SOC 2 compliance is voluntary. However, many businesses, particularly in the technology and financial services sectors, require their service providers to be SOC 2 compliant.
The timeframe for achieving SOC 2 compliance can vary depending on the size and complexity of your organization, as well as the type of report you’re pursuing. A Type 1 report may take several months, while a Type 2 report can take up to a year or more.
The cost of SOC 2 compliance can encompass internal resources dedicated to preparing for the audit, as well as the fees associated with the independent auditor. The specific costs will vary depending on your chosen service provider.
A SOC 2 report typically has a validity period of one year. To maintain ongoing compliance, organizations need to undergo regular re-audits.
Yes, there is a distinction between SOC 1 and SOC 2. SOC 1 reports focus on internal controls over financial reporting, while SOC 2 reports address a broader range of security and data management controls relevant to service organizations.
