Build Trust That Holds Up Under Due Diligence

SOC 2 (System and Organization Controls 2) is an audit report issued by a licensed CPA firm that evaluates how a service organization manages data to protect the privacy and security of its customers. It is governed by the AICPA and assesses controls related to one or more of five Trust Services Criteria: security, availability, processing integrity, confidentiality, and privacy. A SOC 2 report is not a certification. It is an independent auditor's opinion on whether your controls meet the stated criteria. If you want to go deeper, our complete guide to SOC 2 audits and compliance covers everything you need to know.

If you sell software or services to enterprise customers, you will almost certainly be asked for one. SOC 2 has become the de facto proof of security controls in the SaaS and technology space. The question is usually not whether you need it, but when. If a deal has stalled waiting on a vendor security review, or you are about to go upmarket, it is time.

Our 2-minute assessment walks through the common questions used to determine whether a SOC 2 report is needed or on the horizon. If you are still unsure, or not quite ready to commit to a full audit, reach out and we are happy to talk through your situation and point you in the right direction.

A Type I report describes your controls as of a single point in time: it is a snapshot. A Type II report covers a defined period (typically six to twelve months) and provides evidence that your controls actually operated effectively throughout that period. Enterprise buyers and sophisticated security teams almost always want Type II. Type I is useful as a first step when you need something quickly or you are building toward Type II. Read a deeper breakdown of Type I vs. Type II.

The AICPA defines five Trust Services Categories for SOC 2: Security (required in every engagement), Availability, Processing Integrity, Confidentiality, and Privacy. Security, also called the Common Criteria, covers access controls, risk management, and incident response. Most companies scope their first SOC 2 to Security alone. Additional categories are added when relevant to the services you provide or what your customers contractually require. See a full breakdown of all five categories.

A readiness assessment is not required, but it is strongly recommended for first-time engagements. It identifies gaps between your current controls and what the audit will test, so you can remediate before the observation period begins rather than discovering issues during fieldwork. Companies that skip readiness often face findings that delay their report. Think of it as a dry run that significantly de-risks the real audit, and here are practical steps to get your team prepared.

The timeline depends on two key factors: whether you are going through a readiness assessment first, and whether you are pursuing a Type I or Type II. Readiness alone typically requires at least 100 hours of your team's time to gather evidence, close gaps, and prepare documentation. A Type I can then take 3 to 6 months from kickoff to issued report. A Type II adds a defined observation period on top of that, typically six to twelve months of operating history, before the audit fieldwork even begins. We scope timelines to your business calendar so audit activity does not pile up during your busiest periods. See the phases of our audit process.

It depends on your scope, control environment complexity, the nature of the threats facing the systems in scope, and whether you need readiness work first. Costs can vary significantly, and engagements at larger or more complex organizations can run well beyond common estimates. Use our interactive pricing calculator to get a transparent estimate based on your specifics, with no obligation.

Only a licensed CPA firm can issue a SOC 2 report. The AICPA's attestation standards require that SOC 2 engagements be performed by a certified public accountant. Compliance platforms, consultants, and SaaS vendors can help you prepare, but they cannot issue the actual report. When evaluating auditors, look for firms with demonstrated SOC 2 experience, direct partner involvement, and no conflicts of interest from also selling readiness tools or software. Learn why your SOC auditor choice matters.

SOC 2 is an attestation, not a certification. The distinction matters. A certification (like ISO 27001) is issued by an accreditation body and results in a certificate you can display. An attestation is an independent opinion issued by a licensed CPA firm under the AICPA's attestation standards. The output is an audit report, not a certificate. There is no passing or failing score. The auditor opines on whether your controls were suitably designed and, in a Type II, whether they operated effectively over the examination period.

You may hear companies say they are "SOC 2 certified" but that phrasing is technically incorrect. The accurate term is that they have received a SOC 2 report or completed a SOC 2 examination. It is a meaningful distinction because the rigor, independence, and legal weight behind a CPA-issued attestation is different from a self-assessed or third-party certification.