SOC 2 and ISO 27001 Certification both are valuable in order to demonstrate your company’s commitment and importance of data security. However, many people still don’t understand the difference that SOC 2 vs ISO 27001 holds. In this article, you will understand the key differences and similarities of SOC 2 vs ISO 27001.
What is SOC2 and ISO 27001?
Firstly, SOC2 is a voluntary framework developed by the American Institute of Certified Public Accountants (AICPA). In addition, the SOC 2 compliance is essential in evaluating how service organizations handle customer data. The SOC2 Compliance is used to demonstrate quality systems in place for five Trust Services Criteria:
- Security (mandatory)
- Availability
- Processing integrity
- Confidentiality
- Privacy
On the other hand, ISO 27001 is an internationally recognized standard. ISO 27001 Certification requires organizations to establish, maintain, and continuously improve an Information Security Management System (ISMS). In addition, the companies have to maintain comprehensive risk management across 93 controls in Annex A.
SOC2 vs ISO 27001 : What’s the difference?
| Detail | SOC 2 Compliance | ISO 27001 Certification |
| Result | Attestation report | Formal certification |
| Geographic Focus | North America (primarily US) | Global recognition |
| Audit Cycle | Annual examinations | 3-year certification with surveillance audits |
| Issuing Body | AICPA | International Organization for Standardization |
| Best For | US-based service providers | International organizations |
What are the similarities between SOC 2 and ISO 27001?
SOC2 vs ISO 27001 are highly different but still there are some similarities which are worth noting and highlight the benefits of getting both.
- Interestingly, SOC 2 Compliance and ISO 27001 certification have approximately 80% alignment between controls and criteria.
- In order to get ISO 27001 Certification and do SOC 2 Compliance, you need to get independent third-party assessments done.
- Extensive policies, procedures, and evidence is required for both SOC 2 and ISO 27001 Certification.
- Continuous monitoring and improvement required in order to maintain SOC 2 compliance and ISO 27001 Certification.
How to choose SOC 2 vs ISO 27001 Certification?
You must choose SOC 2 Compliance in case:
- Your primary customer base is in the United States.
- You’re a cloud service provider or SaaS company.
- Your customers or targeted buyers specifically request SOC 2 Type II reports
- You need flexibility in selecting applicable Trust Services Criteria.
You must consider ISO 27001 Certification in case:
- You serve international clients, especially in Europe or Asia.
- You need a certification that is recognized and famous across the globe.
- Your organization requires comprehensive ISMS implementation.
You can also consider SOC 2 and ISO 27001 Certification together in case:
- Your business is expanding in both Europe and North America.
- Your customer base has lots of variety.
- You want maximum market credibility and brand reputation.
FAQs: SOC 2 vs ISO 27001 Certification
Can businesses implement the same control framework for both SOC 2 and ISO 27001?
Yes, businesses can implement the same control framework for both SOC 2 and ISO 27001 as there is 80% overlap of frameworks. However, expert consultation is recommended in this regard.
What is the difference between SOC 2 Type I and Type II audits?
Type I examinations assess whether your controls are properly designed at a specific point in time. Type II examinations evaluate both design and operating effectiveness over a period (typically 3-12 months), providing stronger assurance to customers.
Does ISO 27001 certification require implementing all 93 Annex A controls?
No. ISO 27001 uses a risk-based approach.
How long will it take to get SOC 2 Compliance or ISO 27001 Certification?
Initial implementation typically takes 3-6 months for soc 2 compliance. However, it takes 6-12 months for ISO 27001. But it really depends on your existing security posture.
Can I maintain both certifications simultaneously with the same audit firm?
While possible, SOC 2 audits require CPA firms registered with the AICPA, whereas ISO 27001 certification requires accredited certification bodies. Working with E-Startup will be beneficial in the maintenance of both certifications at the same time.
If you need further assistance or have any doubts, our experts are here to help you. Call us: 8881-069-069.
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