Ever wonder why B2B buyers eye your security credentials before sealing the deal? Here's the naked truth: data protection isn’t optional anymore. A staggering 87% of consumers see data privacy as a human right, and 97% of U.S. consumers are worried about it. Scary, right?
Without SOC 2 or ISO 27001, you're showing up to a trust party empty-handed. You could have the best product in the world, but without security credentials? Good luck.
Both frameworks help you:
- Build trust with customers and vendors
- Stay compliant with legal requirements
- Strengthen your security posture
- Unlock new business opportunities
ISO 27001 is the global favorite, while SOC 2 is the go-to for U.S.-centric companies. As one expert puts it: “SOC for U.S., ISO for everywhere else.”
Here’s the kicker: they share about 96% of the same controls. So why not go for both and cut down compliance costs using the same team and tools? In today’s paranoid, data-driven world, these certifications are your golden ticket to the trust club.
What is SOC 2 and Who Needs It?
"SOC 2 is favored by North American companies, especially in sectors like cloud services, SaaS, and IT services, where detailed reports on internal controls are crucial." — Conformance1 Team, Cybersecurity compliance experts
SOC 2 isn't just another boring acronym - it's become the security holy grail for businesses handling your precious data. Cooked up by the American Institute of Certified Public Accountants (AICPA), this framework basically checks if you're actually protecting customer information or just pretending to. And guess what? Even though nobody legally forces you to get SOC 2, try competing without it in North America. Good luck with that!
SOC 2 Type 1 vs Type 2: Snapshot or Full Movie?
Want the real difference between SOC 2 Type 1 and Type 2? It's simple.
Type 1 reports are like that perfect Instagram photo - everything looks great in that single moment. "Are your security controls properly designed?" That's all they ask. Faster and cheaper, making it a tempting first step.
Type 2 reports, though? They're watching you for months. Not just asking if your controls look good, but if they actually work over time (typically 3-12 months). No wonder most clients now toss Type 1 reports in the trash - they want the real deal.
Choosing between them? Consider this:
- Type 1 is like fast food - quick and cheap
- Type 2 is like a proper meal - takes longer but actually satisfies
- Your customers increasingly demand Type 2 - because they're not stupid
Why US SaaS Companies Can't Live Without SOC 2
American SaaS companies don't just like SOC 2 - they're obsessed with it. Here's why:
- No SOC 2, no big deals: Many enterprises won't even glance at vendors without it - harsh but true
- Instant trust builder: Shows everyone you're not just talking about security, you're doing it
- Kills those endless security questionnaires: Submit one SOC 2 report instead of answering 500 security questions
- Creates a security foundation that actually works: Builds practices that keep hackers crying into their keyboards
Truth is, if you're selling software in America without SOC 2, you're basically showing up to a gunfight with a spoon.
SOC 2 Trust Service Criteria – Without the Jargon

SOC 2 Trust Criteria.png
- Security (the main dish): Protects your systems from unauthorized access. Includes the basics like monitoring, risk assessment, and access controls.
- Availability (side option): Proves your systems stay up and running when promised. Cloud providers, this one's for you.
- Processing Integrity (specialty item): Confirms your processes are "complete, valid, accurate, timely, and authorized." Financial services eat this up.
- Confidentiality (extra protection): Guards business secrets through proper access limits and data handling.
- Privacy (cherry on top): Ensures personal information follows your stated policies. Essential if you're handling people's personal details.
Here's the kicker – only Security is mandatory. The rest? Pick and choose based on what your business and customers need. It's like a security buffet, but one where you better not skip the main course.
What is ISO 27001 and Why Europe Can't Get Enough of It
ISO 27001 is the global heavyweight champ of security standards, with more than 33,000 organizations worldwide flaunting this certification. While SOC 2 stays mostly in America's backyard, ISO 27001 crosses borders like a security passport that works everywhere.
ISMS: The Secret Sauce of ISO 27001
Ever heard of ISMS? It's the beating heart of ISO 27001 – an Information Security Management System that doesn't just care about your fancy tech. It pulls together your people, processes, AND technology into one security powerhouse.
What does this ISMS thing actually make you do?
- Hunt down security risks like they owe you money
- Put up security fences where the bad guys might get in
- Keep checking if your security actually works (spoiler: it needs constant love)
- Document EVERYTHING (because if it's not written down, it didn't happen)
Security pros call this "defense in depth" - fancy talk for "we've got layers on layers of protection." Like an onion, but for keeping your data safe instead of making you cry.
ISO 27001:2022: The New Kid on the Block
The 2022 update shook things up. They ditched the old 114 controls and now have 93 - but don't be fooled! It's not laziness. They just got smarter about grouping them.
Instead of 14 confusing categories, there are now four themes that actually make sense: Organizational, People, Physical, and Technological. About time, right?
They've finally caught up with modern problems like cloud services and threat intelligence. Because let's face it - today's hackers aren't using the same playbook from 2013.
Why European Companies Are Head Over Heels for ISO 27001
European businesses have a serious crush on ISO 27001, and for good reason:
It's like ISO 27001 and GDPR went on a date and realized they're perfect for each other. European companies already jumping through GDPR hoops find ISO 27001 fits right into their compliance dance routine.
One security director put it perfectly: "Having ISO 27001 certification immediately puts European companies in a position to compete globally." It's their golden ticket to the international business chocolate factory.
Europeans love their systems and documentation (shocking, I know). ISO 27001's structured approach feels like home to them, while SOC 2's flexibility makes Europeans nervous - like serving pizza with pineapple.
When European companies are shopping for vendors, they ask for ISO 27001 like Americans ask for SOC 2. If you're eyeing European markets and don't have ISO 27001, you might as well show up to the party wearing last season's security practices.
SOC 2 vs ISO 27001: The Differences Nobody Tells You About
Let’s cut to the chase—SOC 2 and ISO 27001 provide different forms of proof and have distinct processes.
Certification vs. Attestation
ISO 27001 gives you a certification from an accredited body confirming your compliance with international security standards. SOC 2? You get an attestation report from a CPA firm, not a certification. Some clients will specifically ask for one or the other.
Audit Timelines
SOC 2 Type 1: 45 days to 3 months
SOC 2 Type 2: 3-12 months
ISO 27001: 6-24 months
Plus, ISO 27001 certification lasts for three years with annual check-ups, while SOC 2 reports are renewed every year.
Cost
SOC 2: $12,000-$30,000
ISO 27001: $50,000-$200,000
ISO 27001 costs 1.5 to 2 times more than SOC 2.
Documentation Requirements
ISO 27001 demands thorough documentation, like risk assessments and monitoring plans. SOC 2 focuses more on results than the detailed documentation process.
Report Granularity
SOC 2 reports offer detailed insights, including auditor opinions and test specifics. ISO 27001 certification provides a high-level overview, showing only the final grade without revealing the details.
What You Care About | ISO 27001 | SOC 2 |
---|---|---|
Where It Works | Everywhere on the planet | Mostly just North America |
What You Actually Get | A real certification from an accredited body | Just an attestation report from a CPA |
How Long It Takes | A marathon: 6-24 months | A quicker sprint: Type 1 (45 days-3 months) Type 2 (3-12 months) |
What It Costs | Expensive: $50,000-$200,000 | More affordable: $12,000-$30,000 |
Paperwork Headaches | Rigid and demanding: - Security policy documents - Risk assessments - Treatment plans - Statement of Applicability - Ongoing monitoring evidence | Flexible - just prove your controls work |
Report Details | High-level overview (hides the ugly bits) | Shows everything (warts and all) |
How Long It's Valid | 3 years (with yearly check-ups) | Just 1 year, then start over |
Who Typically Uses It | Global players, especially Europeans | American companies, especially SaaS and cloud |
Control Overlap | About 80% of security controls are basically the same thing | |
Who Checks Your Work | Accredited certification bodies | CPA firms with their accounting hats on |
SOC 2 and ISO 27001: Shocking Similarities Nobody Tells You About
Wait, what? These two security frameworks that everyone keeps pitting against each other actually have more in common than you'd think! Yup, the whole "either/or" debate hides a juicy truth that could save your company serious time and money.
80% Control Overlap: The Secret Nobody's Sharing
Here's something the consultants charging you double don't want you to know – nearly 80% of security controls between these frameworks address the exact same security needs! They're just dressed in different outfits.
What does this hidden overlap mean for you? Pure gold:
- Slash implementation time by up to 40% (think months saved!)
- Cut your compliance costs by roughly 30-35% (hello, budget relief!)
- Stop duplicating documents like a madman - collect evidence once, use it twice
It's like finding out your favorite expensive health food and the cheaper alternative actually contain the same ingredients. Why pay twice for essentially the same protection?
Both Need Someone Else's Stamp of Approval
Neither framework trusts you to grade your own homework – both demand independent third-party verification. Self-certification? Not a chance.
The only real difference is who signs off:
- ISO 27001: Accredited certification bodies (super official folks)
- SOC 2: Licensed CPA firms (bean counters with security knowledge)
Not Required, But Actually... Required
Funny thing - technically, nobody's legally forcing you to get either certification. Yet somehow 85% of enterprise buyers now demand to see your SOC 2 or ISO 27001 paperwork before they'll even consider working with you.
Optional in theory. Mandatory in reality.
The Trust Accelerator Nobody Talks About
Both certificates serve as business lubricant - helping deals slide through approvals 50% faster. And a whopping 62% of businesses say the biggest win was increased customer confidence.
Think about it – implementing both standards is like showing up to a security potluck with two different dishes made from mostly the same ingredients. Everyone's impressed by your effort, but you know the secret – you cooked once, served twice.
For companies playing in both American and global markets, this two-for-one approach isn't just smart – it's practically free money.
SOC 2 vs ISO 27001: Pick One? Pick Both? Let's Get Real
Can't decide which security certification to chase? Join the club.
Let's cut through the noise and talk about what actually matters for YOUR business. Because picking the wrong one is like buying a Ferrari for off-roading—expensive and embarrassingly wrong.
Where Are Your Customers?
- North America? SOC 2 is the go-to.
- Global audience? ISO 27001 speaks internationally.
Industry Standards
- SaaS in North America? SOC 2 is the industry standard.
- Global companies? ISO 27001 is expected.
- Regulated industries? They have their own security demands.
How Mature Is Your Security Program?
- New security program? SOC 2 is a good starting point.
- Mature security program? ISO 27001 demands a higher level of readiness.
Growth Plans
- Scaling fast? SOC 2 is quicker to implement.
- Going global? ISO 27001 is your key to international expansion.
- Want both? Dual certification boosts your security profile.
What Are Others Doing?
- Startups in regulated industries? ISO 27001 helps speed up deals.
- US-based SaaS startups? SOC 2 first, then ISO 27001 as they grow.
- Global enterprises? Both certifications are the norm.
The truth is, it’s not "either/or" anymore—it’s "when do we get both?"
How to Choose Between ISO 27001 and SOC 2 (or Maybe Grab Both)
So, what’s the final word on SOC 2 vs ISO 27001? Simple: it’s not a fight—it’s a strategy. If you’re only operating in the U.S., SOC 2 gets the job done faster, cheaper, and checks all the boxes your clients are asking for. But if your ambitions go beyond borders—or even just flirt with Europe—you’ll need ISO 27001 in your corner. These certifications aren't competitors; they’re teammates in your trust-building playbook.
And here’s the kicker: with 80% of their controls overlapping, going after both isn’t double the work—it’s a smart, scalable move. Implementing them together can slash your compliance costs, speed up sales cycles, and make your security posture bulletproof.
In a world where 85% of enterprise buyers demand a cert before they even reply to your email, playing the “wait and see” game is just bad business. So whether you're a fast-scaling startup or a global powerhouse in the making, the real question isn't if you need SOC 2 or ISO 27001—it’s how soon can you get both.
Frequently Asked Questions

Robin Joseph
Senior Security Consultant