SOC 2 is the most widely-adopted and requested compliance certification for SaaS vendors in the United States. In this post, we will demystify the SOC 2 audit preparation process by walking you through best practices and sharing world-class wisdom we’ve garnered from working with our clients and audit partners.
Before we get started, if you’re new to SOC 2, we recommend that you have a read through our “Introduction to SOC 2: The Only Guide You’ll EVER Need” to gain a general understanding of the certification and its requirements.
If you already have some familiarity with SOC 2, let’s get to it…
Understanding the SOC 2 audit framework
The SOC 2 framework, developed by the American Institute of Certified Public Accountants (AICPA), is designed for service organizations that manage customer data in the cloud. SOC 2 is built on five key trust service criteria: security, availability, processing integrity, confidentiality, and privacy. While not every organization needs to address all five, most companies focus on at least the security and availability components. A SOC 2 audit evaluates internal controls relevant to these criteria, providing assurance that proper safeguards are in place.
As IT managers, understanding the criteria and the audit’s objectives is the first step. The auditor will assess how controls are designed and operating over time, ensuring that potential risks are mitigated and that sensitive data is properly protected. This process requires IT teams to have clear, enforceable policies and procedures, comprehensive documentation, and continuous monitoring mechanisms that can withstand scrutiny during an audit.
Key steps in preparing for a SOC 2 audit
Preparing for a SOC 2 audit is not just a checklist exercise, it’s a strategic process that ensures your organization can demonstrate strong security, privacy, and operational controls. The journey begins with defining the audit scope and objectives, identifying which systems and processes will be assessed, and selecting the relevant Trust Services Criteria. Conducting an internal readiness assessment at this stage allows IT managers to pinpoint existing controls, recognize gaps, and understand the level of compliance already in place. This early evaluation sets the foundation for a smoother audit process and minimizes surprises when the auditor begins the formal assessment.
Once the initial assessment is complete, the focus shifts to remediation and documentation. Organizations should perform a thorough gap analysis, addressing any deficiencies with targeted remediation plans and assigning clear ownership for corrective actions.
Step 1: 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?
Why is asking questions important?
Accurately defining your audit objectives will help you better determine the scope of your audit and what evidence and documentation you will need to submit to an auditor. For example, if your customer is concerned about data confidentiality, then you may want to consider adding the ‘Confidentiality’ and ‘Privacy’ categories, and their corresponding set of criteria, to your audit scope.
When should I start preparing for a SOC 2 audit?
Equally important as determining the scope of the audit is having a clear understanding of your audit target date. Generally speaking, since the audit process can be lengthy and can involve work you haven’t yet accounted for, you should get started as early as possible.
Additionally, some SOC 2 tasks may require the purchase of a third-party tool (for example, a tool that helps you with vulnerability scanning or endpoint management), and kicking off the process as soon as you can gives you more time to plan, discover, integrate, and become familiar with using such tools.
What type of audit should I pursue?
You can choose to pursue SOC 2 Type I, or SOC 2 Type II. There are valid reasons to choose either one, and your decision will depend on your specific requirements. A Type I audit is quicker than the more comprehensive Type II, mostly because the Type II process involves a three to six-month observation period, whereas in Type I your controls are verified only once. If your customer wants to see something quickly, you may decide to show a Type I attestation while you and your team work towards a Type II report.
Step 2: 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.
What do you mean by “scope”?
As part of a SOC 2 audit, you will show how your infrastructure, software, procedures, policies, people, and data adhere to the Trust Service categories (security, availability, confidentiality processing integrity and privacy) that are part of your scope. Reducing scope, by choosing fewer of these categories, means that fewer of your resources may need to be examined by an auditor. Your scope will be based on your objectives.
When it comes to SOC 2, there isn’t a one-size-fits all approach, so the good news is that you get to decide what aspects of your business you would like observed and audited as a part of this process. This is why we highly, highly recommend that you define your audit objectives well in advance.
Regardless of your chosen scope, the SOC 2 process requires commitment, and team members may need to take time away from their daily tasks to focus on preparing for an audit. You should account for a loss in productivity, and ensure you are staffed accordingly. You (and the rest of your team) are in it for the long haul. To quote a diabolical lion singing to a cackle of hyenas: be prepaaaaaaared!
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Learn MoreStep 3: 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. Hang tight! We’re going to show you how.
But if you insist on DIYing your way through SOC 2 preparation, promise us that you will not use a spreadsheet.
How do I assess my readiness?
If you’re using a compliance automation tool (such as, say, TrustOps), you start by identifying the relevant controls that need to be adopted. Having the right controls is a vital part of the SOC 2 process, so let’s take a few minutes to outline these in more detail. We think it’ll be worth your time.
The beauty of doing a readiness assessment in a tool is that it can be done at any point in the process, as you will need it to chart your progress. However, the initial one will identify your gaps, so you know what you currently have and what you need to start creating.
What are controls?
Controls are a way to express elements of risk that can impact your business, and account for how these risks can be mitigated. Generally speaking, you may need to implement up to 100 controls as part of your SOC 2 program.
SOC 2 controls are grouped into Trust Service Criteria, and these criteria are then further grouped into the broad categories we mentioned above. The set of criteria you adopt will depend on which categories you’ve chosen to include within the scope of your audit, and being familiar with the available Trust Service Criteria can help you decide what’s right for you. We’ve outlined these criteria below.
Criteria common to all five Trust Service categories (also known as “common criteria”):
| Common Criteria | Title | Description | Example of Controls |
|---|---|---|---|
| CC1 Series | Control Environment | Covers the service organization’s commitment to integrity and ethical values, evidenced by the employee handbook, code of conduct, board of directors oversight, and the ongoing monitoring of hiring and employee performance standards. | Employee manual, code of conduct, employee confidentiality agreement, board of directors oversight, security awareness training, employee performance reviews |
| CC2 Series | Communication and Information | Support the proper functioning of internal controls by establishing communication channels for information surrounding quality control (lines of authority, boundaries of the system, relevant changes, etc.). | Customer support channel, release notification, escalation procedures |
| CC3 Series | Risk Assessment | Included to demonstrate that the service organization is assessing potential risks that will impact their operations, and putting plans in place to mitigate these risks. | Risk management, risk register, inventory management, fraud risks |
| CC4 Series | Monitoring Activities | Covers the ongoing evaluation of monitoring systems at the service organization, and notification procedures to alert relevant personnel in the event that a breakdown is detected. | Internal audit assessment review, vulnerabilities scanning, penetration testing, board of directors oversight |
| CC5 Series | Control Activities | Covers the process of identification, analysis, and mitigation of risks. The service organization should implement controls to mitigate the risks identified as part of the risk assessment it undertook. Controls are monitored on an ongoing basis, and risk assessment is performed at least annually. | Risk management, risk register, control owners |
| CC6 Series | Logical and Physical Access Controls | Restrict and manage logical and physical access, to protect your information assets and prevent any unauthorized access. | Multi-Factor Authentication (MFA), access review, terminated access, data retention, firewalls, IDS, Bring-Your-Own-Device (BYOD), data prevention tool |
| CC7 Series | System Operations | Manage your system operations to detect, monitor, and mitigate any deviations from set procedures. | Centralized logging and monitoring, incident response plan and testing, security events meeting |
| CC8 Series | Change Management | Design and implement a controlled change management process and prevent unauthorized changes. | Change management workflow, source code repository, automated deployment, production changes notification |
| CC9 Series | Risk Mitigation | Identify, select, and develop risk mitigation activities for risks that deal with business disruptions and the use of any vendor services. | Risk management, risk register, disaster recovery plan and testing, vendor risk assessment and due diligence |
Additional specific criteria for the availability, processing integrity, confidentiality, and privacy categories:
| Common Criteria | Title | Description | Example of Controls |
|---|---|---|---|
| A series | Availability | The availability principle focuses on the availability of your system. Monitor, evaluate, and maintain your infrastructure, software, and data to ensure you have the processing capacity and system components needed to meet your business objectives. | Capacity planning, backup plan and testing, failover |
| PI Series | Processing Integrity | The processing integrity principle focuses on the quality of delivered data. Any data processing should be timely, accurate, valid, and authorized. | Input and output processing, error report, output reconciliation process |
| C Series | Confidentiality | The confidentiality principle focuses on restricting access to and disclosure of confidential data so that only specific people can view it. Confidential data may include sensitive financial information, business plans, customer data in general, or intellectual property. | Confidentiality agreement, data retention, data disposal |
| P Series | Privacy | The privacy principle focuses on the system’s adherence to the client’s privacy policies and the generally accepted privacy principles (GAPP) from the AICPA. This SOC category considers methods used to collect, use, and retain personal information, as well as the process for disclosure and disposal of data. | Privacy policy, data disposal, access rights |
Thank you for sticking with us during that brief detour. Now back to our regularly scheduled SOC 2 tour, please keep your hands inside the vehicle at all times.
Once you’ve selected the controls appropriate to your business and goals, the next step is to determine which systems and business processes need to conform to these controls, and add them to your compliance program. There isn’t always a clearly-defined way to meet these controls, as the SOC 2 criteria are open to interpretation. It is up to you to achieve the goals set by each criterion by properly implementing the appropriate controls.
For your initial readiness assessment, our recommendation is to use existing systems and processes rather than try to create new ones. This approach will provide you with a baseline, on which you can later improve.
Finally, you’ll need to validate the mapping between the controls you’ve implemented and the criteria requirements.This helps the auditor understand your approach, and frame what you’ve created within the framework offered by SOC 2.
Using a tool such as TrustOps helps you make this process a lot faster. We’ve done the legwork of figuring out how your compliance program maps to various standards, and once we learn about your stack, can show you where you stand. It looks something like this:
And if you’re not using a compliance automation tool…? Well… once you hit bottom, give us a call.
Step 4: 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.
What are policies?
Policies are the set of overarching rules that describe what you, as a company, are doing to mitigate the risk expressed by one or more related controls. As a general guideline, you may need to have 15 – 20 policies in place.
What are procedures?
Procedures are the ‘how’ to the policy’s ‘what’. Think of a policy as the “map”, and procedures as the “step-by-step directions,” the policy paints in broad strokes, while relevant procedures fill in the implementation details. As usual, this isn’t a one-size-fits-all situation, your procedure can be documented in any format, as long as it is available to all your employees and accurately reflects how you do things internally.
While written policies have traditionally been used to train employees on your organization’s expectations, they also act as crucial measuring tools for auditors, who evaluate whether your organization meets its compliance requirements. Without clear documentation, an auditor will have a difficult time ascertaining whether you’re doing what you say you are.
Step 5: Evidence collection
Written policies must be supported by evidence. Anything mentioned in your policy has to be backed by clear, verifiable supporting documentation.
What is evidence?
Evidence is simply proof that you are doing what you say you do.
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.
For example, if you tell the auditor that you walk every new hire through an onboarding deck, your evidence should include the deck, as well as records of calendar meetings during which the deck was presented. When collecting evidence, it’s helpful to think: how can I prove or demonstrate that I am doing what I’ve said I’m doing?
Once you’ve collected and stored all your evidence, and can consistently pass all necessary checks, it’s time to select an auditor.
How do I choose my 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:
- Accreditation: Ensure that your auditor is a licensed CPA. Only a CPA can sign off on a SOC 2 audit.
Find a reputable firm. It doesn’t have to be a brand-name firm like KPMG; one with a good reputation will suffice. If you need guidance in this area, we’re happy to provide some recommendations. - Experience matters. An auditor with more experience is likely to have a better and more thorough understanding of SOC 2, how to evaluate controls against your organization, and the best practices that apply.
- Fit. Auditors are like snowflakes; no two are alike. It’s important that your auditor understands your business, so they can expertly assess if there are any gaps or deficiencies.
What do auditors look for?
TL;DR. 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).
Using a combination of techniques, an auditor obtains an in-depth understanding of your program and how it fits into the SOC 2 framework. These techniques may include:
- Observation: Observing you perform a task relevant to specific control.
- Inquiry: Interviewing you or your team to learn about a specific process.
- Inspection: Requesting evidence of compliance with a control.
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.
Required documentation for a SOC 2 audit
SOC 2 audits rely heavily on clear, consistent, and well-maintained documentation to validate that an organization’s controls meet the Trust Services Criteria. Auditors assess not only whether controls exist, but whether they are formally defined, consistently followed, and evidenced over time.
For IT managers and compliance teams, preparing the right documentation is essential to demonstrating operational maturity and control effectiveness. Comprehensive records help auditors trace policies to execution, evaluate risk management practices, and confirm accountability. The following documentation categories represent core artifacts that organizations must maintain to support a successful SOC 2 audit and sustain long-term compliance.
- Security Policies and Procedures
Security policies and procedures define how an organization protects systems and data from unauthorized access. These documents outline standards for network security, data protection, encryption, endpoint security, and incident prevention. Auditors rely on them to confirm that security controls are formally established, consistently applied, and aligned with SOC 2 requirements. - Risk Assessments and Mitigation Plans
Risk assessment documentation demonstrates that the organization actively identifies and manages security risks. Records should include risk evaluation methodologies, identified threats, likelihood and impact analysis, and mitigation strategies. Auditors review these materials to ensure risks are regularly assessed and that appropriate controls are implemented and tracked to reduce exposure. - Incident Response Documentation
Incident response documentation provides evidence that the organization is prepared to detect, respond to, and recover from security incidents. This includes incident response plans, incident logs, root cause analyses, and post-incident reviews. Auditors assess these records to verify timely response, accountability, and continuous improvement after incidents. - Access Control Logs
Access control logs document who has access to systems, what permissions they hold, and when access is granted or revoked. These records support the principle of least privilege and demonstrate effective identity and access management. Auditors use them to verify that access is properly authorized, monitored, and promptly removed when no longer required. - Configuration Management Records
Configuration management records track system settings, infrastructure changes, and software versions. Documentation should include change approvals, implementation dates, and rollback procedures. Auditors review these records to ensure systems are securely configured, changes are controlled, and unauthorized or untested modifications are prevented. - Monitoring and Audit Logs
Monitoring and audit logs provide visibility into system activity, network traffic, and data transfers. These logs demonstrate that continuous monitoring controls are in place to detect anomalies and potential threats. Auditors rely on them to confirm real-time oversight, alerting mechanisms, and the ability to investigate suspicious activity. - Training Materials and Records
Training documentation shows that employees are educated on security responsibilities, policies, and compliance obligations. This includes training materials, attendance records, and completion tracking. Auditors assess these records to confirm that personnel understand their roles in maintaining security and that awareness programs are conducted regularly. - Change Management Policies
Change management policies define how system and process changes are requested, reviewed, approved, and implemented. Documentation ensures changes are controlled, tested, and documented to prevent unintended security impacts. Auditors use these policies to verify that operational changes do not compromise system integrity or availability.
Maintaining accurate and up-to-date SOC 2 documentation is a cornerstone of effective governance and risk management. Well-organized records streamline the audit process, reduce remediation efforts, and demonstrate control maturity. More importantly, they support continuous improvement, accountability, and resilience, enabling organizations to maintain trust with customers and stakeholders long after the audit is complete.
Read the “The role of Board of Directors in SOC 2 compliance: necessity or strategic advantage?” article to learn more!
Best practices for a successful SOC 2 audit
Beyond the essential steps and documentation, several best practices can help IT managers navigate the complexities of a SOC 2 audit while ensuring that internal controls remain robust and effective.
- Establish a Dedicated Audit Team
Forming an internal audit team, comprising IT, compliance, and risk management experts, can streamline the preparation process. This dedicated team is responsible for:- Coordinating the readiness assessment and remediation initiatives.
- Serving as the primary point of contact between the auditors and the organization.
- Maintaining and updating the project timeline, ensuring that all tasks are completed ahead of the audit.
Your team’s expertise and focus signal to auditors that your organization takes SOC 2 compliance seriously.
- Communicate Early and Often
Effective communication between all stakeholders is crucial during the SOC 2 audit preparation process. IT managers should:- Hold regular meetings with cross-functional teams to discuss progress and challenges.
- Update senior management on the status of remediation efforts and provide risk assessments.
- Keep employees informed of any changes to policies or procedures that may affect their daily operations.
Open communication channels help mitigate misunderstandings, streamline remediation efforts, and foster a culture of compliance throughout the organization.
- Invest in Technology and Automation
Automation is a key lever in ensuring consistent and reliable documentation of controls and evidence. IT managers should consider investing in dedicated compliance and security tools that:- Automate the gathering of evidence from logs, configuration changes, and access control systems.
- Monitor real-time compliance through dashboards that present audit-relevant metrics.
- Alert teams immediately when policies or configurations deviate from the expected baseline.
Automation not only speeds up the evidence collection process but also provides a higher degree of accuracy compared to manual processes.
- Conduct Periodic Internal Audits
Relying solely on the annual SOC 2 audit is insufficient for maintaining a secure environment. Perform periodic internal audits to:- Test the effectiveness of controls on an ongoing basis.
- Identify and remediate vulnerabilities before they become systemic issues.
- Ensure alignment with updated regulatory requirements and industry standards.
These internal audits serve as checkpoints that help maintain long-term compliance and provide a continuous improvement feedback loop.
- Focus on Continuous Improvement
SOC 2 compliance should not be viewed as a one-off project that ends with receiving the audit report. Instead, IT managers need to embed compliance into the organizational culture. Steps to foster continuous improvement include:- Establishing clear performance metrics to evaluate the effectiveness of controls.
- Regularly reviewing and revising policies based on audit findings or shifts in the threat landscape.
- Encouraging a culture where employees are aware of and contribute to the organization’s security posture.
This proactive approach ensures that your organization is always audit-ready and resilient against emerging threats.
- Leverage External Expertise
Sometimes the best way to ensure successful SOC 2 compliance is to work with external experts who can offer an unbiased perspective. Consider:- Hiring consultants who specialize in SOC 2 audits to help with the readiness assessment.
- Engaging third-party security experts to review your technical controls.
- Participating in industry forums or user groups to stay updated on best practices and emerging trends.
External expertise not only brings additional insights but also provides reassurance to auditors that your organization is committed to excellence.
Summing it up
Preparing for a SOC 2 audit is a multifaceted challenge that requires careful planning, detailed documentation, comprehensive stakeholder engagement, and ongoing commitment to continuous improvement. For IT managers, mastering this process is critical not only for compliance but also for reinforcing the organization’s security posture and building trust with clients.
By defining the audit scope, conducting readiness assessments, developing a thorough documentation process, and investing in both technology and training, IT managers can ensure a smoother audit experience. Moreover, establishing clear internal teams, fostering open communication, and avoiding common pitfalls will offer an enduring advantage in today’s ever-evolving cyber threat landscape.
Ultimately, the SOC 2 audit is more than just a compliance exercise, it is a stepping stone towards heightened operational efficiency and risk management. With the right strategies in place, your organization can leverage the audit to not only meet regulatory requirements but also drive long-term improvements in your IT infrastructure.
As you move forward with your SOC 2 preparations, remember that the journey towards compliance is continuous. Staying updated on industry trends, investing in modern security tools, and regularly reassessing your systems will serve you well in achieving both short-term success and long-term resilience. With dedication and a proactive approach, your organization can navigate the complexities of a SOC 2 audit while establishing a robust, secure foundation for future growth.
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.
Just remember that we’re here to help.
Frequently asked questions
What are the key steps in preparing for a SOC 2 audit?
Preparing for a SOC 2 audit involves several critical steps to ensure readiness and compliance. The first step is to define your audit objectives, determining the scope of the audit and the specific Trust Services Criteria (TSC) that apply to your organization. Next, conducting a readiness assessment helps identify existing controls and any gaps that need to be addressed. This is followed by documenting policies and procedures that align with the selected TSC.
Implementing necessary controls and training employees on best practices are also essential steps. Finally, organizing evidence and scheduling the audit with a qualified firm completes the preparation process. By following these steps, organizations can ensure a smooth and successful SOC 2 audit.
How can a readiness assessment aid in SOC 2 audit preparation?
A readiness assessment is a crucial step in preparing for a SOC 2 audit. It serves as a diagnostic tool to evaluate the effectiveness of existing controls and identify any gaps or weaknesses. By conducting this assessment, organizations can gain a clear understanding of their current compliance status and areas that require improvement. The insights gained from the readiness assessment enable organizations to implement necessary changes and enhancements before the formal audit, reducing the risk of non-compliance and increasing the likelihood of a successful audit outcome. This proactive approach ensures that organizations are well-prepared and aligned with SOC 2 requirements.
What role does documentation play in the SOC 2 audit process?
Documentation plays a pivotal role in the SOC 2 audit process. It provides evidence that the organization’s controls are designed and operating effectively to meet the Trust Services Criteria. Proper documentation includes policies, procedures, system configurations, and logs that demonstrate compliance. During the audit, auditors review this documentation to assess the organization’s adherence to SOC 2 standards. Well-organized and comprehensive documentation not only facilitates the audit process but also serves as a valuable resource for continuous improvement and future audits. Therefore, maintaining accurate and up-to-date documentation is essential for demonstrating a commitment to security, availability, processing integrity, confidentiality, and privacy.
