SOC 2 compliance is no longer a “nice to have” – it’s an essential requirement for SaaS providers and service organizations handling sensitive client data. Whether you’re a startup looking to build credibility or an established firm entering enterprise deals, SOC 2 offers a structured framework to demonstrate your commitment to security, privacy, and operational integrity.
This guide serves as a comprehensive roadmap for understanding SOC 2 from start to finish.
It begins with the fundamentals: what SOC 2 is, who needs it, and why it matters. You’ll get clarity on the five Trust Service Criteria – with security being mandatory – and how to choose between SOC 2 Type I and Type II based on your business needs and readiness. From there, the guide walks you through how to scope your audit, conduct a readiness assessment, develop key documentation, and gather evidence for auditors.
The final sections offer best practices on auditor selection, audit preparation, and maintaining SOC 2 over time. With practical checklists and plain-language explanations, the guide makes a complex process easier to manage. Whether you’re just beginning or aiming to mature your compliance program, this resource helps you navigate SOC 2 with confidence and clarity.
The basics of SOC 2
Before diving into the details of SOC 2 compliance, it’s important to establish a foundation of knowledge about the framework and its key concepts. In this section, we’ll cover the basics of SOC 2, including its purpose, principles, and two types. We’ll also explore the different types of SOC 2 reports and their intended audiences. Whether you’re new to SOC 2 or just need a refresher, this section will help you understand the fundamentals of this important framework.
What is SOC 2?
SOC 2 is the most widely-adopted and requested compliance framework for SaaS vendors in the United States. It’s applicable to those who store any kind of client data in the cloud or on-prem.
The framework outlines a number of Trust Service Criteria, grouped into five overarching categories with corresponding common criteria, for evaluation and reporting on the robustness of an organization’s systems (like your tech and business stack) and policies.
*In a SOC 2 audit, you are only required to show proof of adherence to the Security category.
Trust Service Criteria, or the five categories of SOC 2
- Security: Required. Demonstrates to an auditor that your systems are protected against unauthorized access and other risks that could impact your organization’s ability to provide services to your clients.
- Availability: Optional. Applicable when service organizations need to demonstrate that their systems meet a certain standard of high-availability.
- Confidentiality: Optional. Applicable to organizations that need to demonstrate that data classified as confidential is protected.
- Processing integrity: Optional. Applicable to organizations that must demonstrate that system processing is occurring accurately and in a timely manner.
- Privacy: Optional. Included when a service organization is in possession of personal information, to demonstrate this information is protected and handled appropriately.
At the end of the day, each individual business must choose which category, along with their corresponding set of common criteria, they would like an auditor to evaluate. There isn’t a one-size-fits-all approach, and you will need to decide what aspects of your business you would like observed and audited as part of this process, based on the commitments you have communicated to your customers and other stakeholders.
The Common Criteria, or CC-series
Security Criteria is designed to protect information and systems. The criteria used to test the Security Criteria are called the common criteria.
- CC1: Control Environment
- CC2: Communication and Information
- CC3: Risk Assessment
- CC4: Monitoring Activities
- CC5: Control Activities
- CC6: Logical and Physical Access Controls
- CC7: System Operations
- CC8: Change Management
- CC9: Risk Mitigation
To see the definition of each Common Criteria, their examples of controls, and the other additional specific criteria for availability, processing integrity, confidentiality, and privacy categories, click here.
Prepare to pass your SOC 2 audit
A successful SOC 2 audit shows customers and prospects that you’re serious about protecting their data. TrustCloud helps you achieve SOC 2 attestation faster, with less stress on each subsequent audit.
How to choose between SOC 2 Type I vs. SOC 2 Type II
Choosing between SOC 2 Type I and SOC 2 Type II depends on your organization’s goals, maturity level, and customer requirements. Both audit types serve specific purposes, and it’s not mandatory to pursue both.
Here are 6 clearly explained points to help organizations decide between SOC 2 Type I and SOC 2 Type II.
- Understand Your Stage of Growth
SOC 2 Type I is ideal if you’re early in your compliance journey. It shows you have the right controls designed and implemented—even if they haven’t yet been tested over time. For startups or younger companies, it’s a smart way to show commitment without the heavy lift of a long-term audit. - Evaluate Audit Duration and Depth
Type I audits are a snapshot—focused on a specific point in time. In contrast, Type II audits evaluate how well your controls perform over an extended period (typically 3–12 months). If you’re looking for a faster, less resource-heavy option, Type I fits the bill. But if you need deeper validation of your security operations, Type II is the way to go. - Match Audit Type to Customer Expectations
If you’re engaging with enterprise customers or security-conscious partners, a Type II report will carry more weight. It offers greater assurance by proving your controls consistently work in practice, not just on paper. This can reduce friction during sales and vendor reviews. - Think Long-Term Trust and Credibility
SOC 2 Type II is considered the gold standard, especially in regulated industries like fintech, healthcare, or enterprise SaaS. It builds stronger credibility with customers and partners by showing operational excellence over time, which is increasingly expected in mature markets. - Weigh Resource Commitment
Type I is quicker and less demanding in terms of time, effort, and documentation. Type II requires sustained monitoring, control execution, and evidence collection. If you have limited internal bandwidth, Type I can be a great stepping stone before moving to Type II. - Align with Your Compliance Roadmap
You don’t have to choose both at once. Many organizations start with Type I to get early traction and then graduate to Type II when ready. Choose the audit that best matches your current needs, compliance maturity, and business goals—not just what looks good externally.
Read the “What is a SOC 2 Report? (With examples)” article to learn more!
A Type I audit can be the right choice for you if:
- You’re pursuing a SOC 2 audit for the first time, and don’t have the requisite organizational maturity to pass all of the required controls
- You need a report quickly
- You’re going after small-to-medium-sized enterprise deals
- Before preparing for a full audit, you want to show that you understand the necessary procedures to achieve the SOC 2 standard
- SOC 2 Type II Report: SOC 2 Type II reports assess the efficacy of an entity’s security and other applicable criteria since the last SOC 2 audit. Most SOC 2 reports are renewed annually. However, it is up to the company to decide to go under audit earlier if there is a necessity.
You will need a Type II attestation if:
- You have mature information security programs, systems, and processes, and can prove that you’re consistently adhering to controls over a long period
- You have other compliance frameworks in the mature state that can contribute to your SOC 2 controls
- You are planning a major funding round or exit
- You’re pursuing enterprise-level deals
In Type I, your controls are verified only once. In contrast, the SOC 2 Type II audit process involves a typical three-to-six month (though it can range up to 12 months) observation period, during which a third-party auditor verifies the effectiveness of your continued adherence to controls throughout the observation period.
Choosing between SOC 2 Type I or SOC 2 Type II doesn’t have to be hard, but there are some key differences between the two, so be sure to ask the question, “Why are we pursuing this, and do we have the resources to do it right?”
Read the “What is a SOC 2 Report? (With examples)” article to learn more!
How TrustCloud accelerates SOC 2 readiness
SOC 2 certification isn’t a slog when TrustCloud is at the wheel; it becomes swift, strategic, and stress-free. The platform automates over 100 critical security controls and uses API-powered evidence collection to keep your audit documentation fresh and hands-off, even during high-stakes prep.
TrustCloud also offers a dynamic gap analysis and tailored compliance roadmap, integrating effortlessly with systems like Slack and Jira to streamline task management. Want to show off your security posture?
Activate a TrustShare portal that publishes your SOC 2 badge and live insights, reducing questionnaires and accelerating trust with your customers.
SOC 2 overview and guides
The SOC 2 Overview and Guides provide a comprehensive introduction to the SOC 2 compliance readiness process, essential for SaaS vendors in the United States.
Starting your SOC 2 Journey
Now that you have a basic understanding of the framework and its requirements, it’s time to begin your compliance journey. In this section, we’ll provide guidance on how to best prepare for the audit, auditor selection, and share what auditors look for.
How to prepare for a SOC 2 audit
Preparing for a SOC 2 audit can seem like a challenge, but with the right approach, it can be broken down into five manageable steps.
- Define your audit objectives
Before you throw yourself and your team into the bottomless pit known as audit preparation, you may want to take a few minutes (or days) to get aligned around why you’re pursuing a SOC 2 attestation in the first place. Do you have a regulatory reason to become SOC 2 compliant, and are there specific requirements you are aiming to satisfy? Was this requested by a customer? If so, what information is your customer hoping to learn from the audit, and by what date are they expecting to see a report? - Determine the scope of your audit
Once you’ve defined your audit objectives, you will need to determine scope. As you may expect, the bigger the scope, the more time-consuming the process. Unless you’ve got unlimited resources, you will need to tightly manage the scope of your audit. - Conduct a readiness assessment
When first considering a SOC 2 audit, conducting a readiness assessment lets you quickly identify your gaps and better plan how to allocate your resources. There are quite a number of criteria for you to map your business stack to, and it may seem overwhelming, but you don’t have to do it by yourself. - Document policies and procedures
Now that you have a good sense of what you want to accomplish, what controls you need to adopt, and where your gaps are, the next step is to start creating the plethora of documentation needed to meet your audit requirements. This documentation usually takes the form of a set of policies and procedures. - Evidence collection
Written policies must be supported by evidence. Anything mentioned in your policy has to be backed by clear, verifiable supporting documentation.
Your team should prepare by gathering all relevant documentation and materials needed to add credibility to your policies and procedures. At the end of the day, passing an audit doesn’t simply require that you tell an auditor what you’re doing — you must show them tangible proof.
Read the “SOC 2 Overview and guides” to learn more!
Choosing your auditor
Going through an audit can be a nerve-racking process. When it comes to SOC 2, the one thing you have to remember is that at its core, an audit is an auditor’s informed opinion on how well your organization’s controls meet the relevant TSCs.
There are a few things you should consider when selecting an auditor, such as accreditation, experience, and fit.
What do auditors look for?
Auditors are looking for evidence that proves you’re adhering to the policies and procedures you have selected. Auditors are guided by the IIA standard Code of Ethics, which tasks auditors with being independent and objective. The documentation you developed as evidence is seen by an auditor as proof that a particular control exists, and helps them evaluate operational effectiveness (whether or not the control is performing as it should).
In order to satisfy the auditor’s needs, it’s imperative that documentation is both complete and accurate. The source of the information in the document has to be identified and verified, the content of the document must be written with integrity, and the documentation has to be easily accessible and retrievable for audit purposes. At the end of the day, you want your auditor to come to the same conclusion about the state and health of your information security program as you would. It’s your job to help them come to that conclusion.
At the end of this long journey, once an auditor has reviewed your work and determined that your controls, policies, and procedures meet all requirements, they will give you their stamp of approval. You can now shout from the rooftops (or post on your website) that you are SOC 2 compliant… for now. And then you can start planning for next year’s audit.
SOC 2 checklist & terminology
Now that you have a good understanding of SOC 2 and its importance for businesses that store or process sensitive data, you may still be a little lost, and that’s okay. In this section, we’ll provide you with a checklist of key items to consider and tasks to complete when preparing for a SOC 2 audit.
Additionally, we’ll define some important terminology that you may come across during the audit process. By following this checklist and understanding the key terms, you’ll be well-prepared to navigate the SOC 2 audit and ensure that your business is compliant with the SOC 2 standards.
Looking for automated, always-on IT control assurance?
TrustCloud keeps your compliance audit-ready so you never miss a beat.
Learn MoreSOC 2 audit checklist (with a downloadable PDF)
Here are the different areas covered by our SOC 2 checklist:
- Scope
- Type
- Gap Analysis
- Control Implementation
- Audit Ready
- Maintenance
SOC 2 simplified glossary
Here are some of the terms and acronyms you may come across:
- AICPA: stands for the American Institute of Certified Public Accountants. SOC audit and reporting standards that define the criteria for managing customer information were designed by this member association.
- SOC 2: “Service Organization Control” 2 is a comprehensive framework applicable to any service provider that stores any kind of client data in the cloud or on-prem. This includes the vast majority of SaaS start-ups. The SOC 2 framework is built on the concept of Trust Service Criteria (TSC), which are grouped into five overarching categories. Each TSC is further divided into corresponding common criteria (often described as CC 1.1, CC 2.0, etc.). The individual common criteria are used for evaluating and reporting on the robustness of an organization’s systems (this usually means your technology and business stack) and policies.
- SOC 2 Audit Firm: SOC 2 audit firms are regulated by the AICPA, and they are required to be independent CPAs. The SOC 2 auditor you choose to work with will examine your controls (which will include evidence collection) to determine whether they are functioning properly. Documents that the auditor may review include:
- Organizational chart
- Inventory of assets
- Processes for onboarding and offboarding
- Processes for managing change
- SOC 2 Report: A SOC report is an audit report done by an objective, third-party firm that would be responsible for assessing your cybersecurity practices. All companies that hold customer information throughout their operation should consider scheduling and go through an audit. Depending on the maturity of the company, the intended audience for the report, and the scope, there are two types of SOC 2 reports to choose from: SOC 2 Type 1 and SOC 2 Type 2.
- SOC 2 Type I Report: A SOC 2 Type I report examines the controls that govern an entity’s security and other applicable criteria at a point in time. This involves an auditor performing a walkthrough of your processes to understand and attest to the design of your internal controls. Therefore, it would usually be the first-ever SOC 2 report for a company.
- SOC Trust Services Criteria: There are five Trust Service Criteria (TSC) or Trust Service Principles (TSP) within the SOC 2 framework. All organizations, independent of size, industry, or customer needs pursuing a SOC 2 have to include the Security Criteria. The others are optional and guided by the business and customer requirements. The five Trust Services Criteria (or Trust Service Principles) are:
- Security: Organizations are assessed on their ability to protect against unauthorized access, unauthorized disclosure of information, and damage to systems that could compromise the availability, integrity, confidentiality of customer data.
- Availability: Information and systems are available for operation and use to meet the demands of its customers. If your organization is responsible for hosting the data that your customers need as a part of utilizing your services, you may consider including this criterion.
- Processing Integrity: Consider this criterion if you are in a transaction-based business. This principle verifies that system processing is complete, valid, accurate, timely, and authorized to meet the objectives.
- Confidentiality: Information designated as confidential is protected to meet the entity’s objectives. To achieve organizational success, sensitive information must be appropriately safeguarded from unwanted access.
- Privacy: Personal information is collected, used, retained, disclosed, and disposed of to meet the entity’s objectives. If you collect the personal information of customers to provide services, this may be a consideration.
Turning audit prep into a repeatable playbook
The biggest difference between teams that glide through SOC 2 and those that scramble is whether they treat “getting ready” as a one‑off project or a reusable playbook. Instead of reinventing the wheel each year, high‑performing teams document their readiness steps: scoping systems, mapping controls, assigning owners, and centralizing evidence in a single system of record. That playbook becomes muscle memory. New hires can see what “good” looks like, and leadership gets a predictable timeline instead of last‑minute surprises or emergency all‑hands requests the month before fieldwork starts.
Once you have this playbook, you can improve it with each audit cycle. Capture where auditors asked the most questions, which controls generated the most back‑and‑forth, and where evidence was hardest to collect. Then tune your processes and automation to address those friction points long before the next audit window. Over time, “how to pass the SOC 2 audit” becomes less about heroics and more about execution: you follow a tested recipe, supported by tooling, that steadily reduces risk, effort, and stress for both your security team and the rest of the business.
Summing it up
Successfully navigating a SOC 2 audit isn’t about ticking boxes, it’s about building a security foundation that delivers confidence and credibility. By defining your scope, performing robust gap analysis, putting strong controls and documentation in place, and training your team, you’re doing more than preparing for an audit; you’re investing in sustained operational excellence.
Whether you’re a startup showing early security maturity or an enterprise proving consistent control effectiveness, the right preparation unlocks business momentum. A smooth audit not only reinforces trust with customers and partners, it strengthens your security posture, streamlines compliance work, and powers long-term growth.
When you pass your SOC 2 audit with clarity and calm, you’re not just certified; you’ve earned a stronger, more resilient chapter in your company’s story.
FAQs
What is SOC 2 and who needs it?
SOC 2 is a compliance framework developed by the AICPA (American Institute of Certified Public Accountants) designed to evaluate how well a service organization manages customer data. It’s most relevant to SaaS providers and service-based businesses that store or process client data in the cloud or on-premises. Any organization handling sensitive information – especially in highly regulated industries or enterprise-level partnerships – can benefit from becoming SOC 2 compliant to prove their commitment to security and data integrity.
What are the five Trust Service Criteria in SOC 2?
The five Trust Service Criteria (TSC) are
- Security (Required): Protection against unauthorized access or changes.
- Availability (Optional): Ensures systems are available as promised.
- Processing Integrity (Optional): Confirms data is processed accurately and on time.
- Confidentiality (Optional): Safeguards confidential business information.
- Privacy (Optional): Protects personal information collected from users.
Organizations can choose additional criteria based on their services and customer expectations.
What is the difference between SOC 2 Type I and Type II?
- SOC 2 Type I assesses whether the design of security controls meets the required criteria at a single point in time.
- SOC 2 Type II evaluates how effectively those controls operate over a period (typically 3 – 12 months).
Type I is often used by startups or companies early in their compliance journey. Type II is more comprehensive and preferred by enterprise customers.
How should I define the scope of my SOC 2 audit?
Defining the scope of your SOC 2 audit involves determining which systems, processes, and services will be included in the evaluation. This decision should align with your organization’s objectives and the specific Trust Services Criteria relevant to your operations. For instance, if your clients are concerned about data confidentiality, you might include the “Confidentiality” and “Privacy” criteria in your audit scope. Clearly defining the scope ensures that the audit is focused, manageable, and aligned with your business needs.
What is a readiness assessment, and why is it necessary?
A readiness assessment is a preparatory evaluation that helps identify gaps between your current practices and SOC 2 requirements. This assessment allows you to address potential issues before the formal audit, reducing the risk of non-compliance. It’s recommended to conduct a readiness assessment 12–18 months before your planned audit date to provide ample time for remediation. Utilizing automated tools can streamline this process, offering a detailed breakdown of action items needed to become audit-ready.
What documentation is required for a SOC 2 audit?
Documentation is a critical component of the SOC 2 audit process. Required documents typically include policies and procedures related to security, availability, processing integrity, confidentiality, and privacy. Additionally, evidence of control implementation and operation, such as access logs, incident response records, and system configurations, must be maintained. Proper documentation demonstrates that controls are not only designed but also effectively implemented and operating as intended, providing auditors with the necessary information to assess compliance.
