Cybersecurity

ISO 27001 vs SOC 2: Which Certification Do You Need?

SOC 2 and ISO 27001 overlap heavily but answer different buyers. Compare scope, process, timelines and ongoing work, and pick the one your customers are actually asking for.

Quick answer

Choose based on your customers. SOC 2 is a CPA attestation report that US buyers, especially SaaS customers, usually ask for. ISO 27001 is an international certification of your information security management system, more common in Europe and global enterprise deals. Both cover similar controls, so many companies start with one and add the other later.

ISO 27001 vs SOC 2: Which Certification Do You Need?

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Your sales team just forwarded two security questionnaires. One asks for your SOC 2 Type 2 report. The other, from a prospect in Germany, asks for your ISO 27001 certificate. You have neither, and budget for maybe one this year.

This is one of the most common compliance decisions a growing SaaS or service company faces. The frameworks cover a lot of the same ground, but they’re built differently, issued by different kinds of auditors and expected by different buyers. This guide compares ISO 27001 vs SOC 2 side by side so you can pick based on customer demand, not guesswork.

The quick difference

SOC 2 is an attestation report. A licensed CPA firm examines your controls against the AICPA’s Trust Services Criteria and writes an opinion. There’s no pass-fail certificate. You get a detailed report that customers read, usually under NDA.

ISO 27001 (formally ISO/IEC 27001) is an international standard for an information security management system, or ISMS. An accredited certification body audits your ISMS and, if it meets the standard, issues a certificate you can show publicly.

Put simply, SOC 2 tells a customer how your controls performed, in detail. ISO 27001 tells them you run a managed, audited security program, with a certificate to prove it.

Key takeaway: Let your pipeline decide. If most of your buyers are US companies asking for SOC 2 reports, start there. If you sell to European or global enterprises that list ISO 27001 in their requirements, start there. The controls overlap enough that the second one gets easier.

Side-by-side comparison

SOC 2 ISO 27001
What it is Attestation report on controls Certification of an information security management system
Who sets the rules AICPA (Trust Services Criteria) ISO and IEC (international standard)
Who audits Licensed CPA firm Accredited certification body
What you receive A detailed report, usually shared under NDA A certificate you can share publicly, plus audit findings
Where it’s most expected US, especially SaaS and B2B services Europe, Asia and global enterprise buyers
Scope The system and services you define, against required Security criteria plus optional categories The ISMS scope you define, with a risk-based selection of controls
Controls You design controls to meet the criteria 93 reference controls in Annex A (2022 edition), chosen through risk assessment
Report types Type 1 (point in time) or Type 2 (over a period) Certification audit (stage 1 and stage 2)
Ongoing cycle New report each period, typically annually 3-year certificate with surveillance audits between
Customer effort to review Higher: they read the report and exceptions Lower: they check the certificate and its scope

How SOC 2 works

SOC 2 reports are built on the AICPA’s Trust Services Criteria. Security is always in scope. Availability, processing integrity, confidentiality and privacy are optional, and you include them when customers need them.

There are 2 report types:

  • Type 1 checks whether your controls are suitably designed at a single date.
  • Type 2 checks design and whether controls actually operated effectively over a period, commonly 3 to 12 months.

Most enterprise buyers want Type 2, because it shows your controls work in practice. The trade-off is time: you can’t get a Type 2 report until the observation period has run.

What customers value about SOC 2 is the detail. The report describes your system, lists your controls, shows the auditor’s tests and calls out any exceptions. A security reviewer can see exactly how you handle access reviews or change management. Our full SOC 2 compliance guide walks through the criteria and timeline.

How ISO 27001 works

ISO 27001 is about the management system around your security, not just the controls themselves. It requires you to:

  1. Define the scope of your ISMS: which teams, systems, locations and services are covered.
  2. Assess information security risks with a defined, repeatable method.
  3. Choose controls to treat those risks, using Annex A as a reference.
  4. Document a Statement of Applicability explaining which controls apply and why.
  5. Run the system: set objectives, train people, measure results, do internal audits and hold management reviews.
  6. Improve continuously, fixing nonconformities as you find them.

The current edition is ISO/IEC 27001:2022. Its Annex A reorganized the controls into 93 controls under 4 themes: organizational, people, physical and technological. Certificates issued against the older 2013 edition had to transition by October 31, 2025, so any current certificate you see should reference the 2022 version.

Certification usually happens in 2 stages. Stage 1 reviews your documentation and readiness. Stage 2 tests whether the ISMS is actually working. Once certified, you’re typically on a 3-year cycle, with surveillance audits in the years between and a recertification audit at the end.

Where they overlap (and where they don’t)

The overlap is large. Both expect you to manage access, protect data, handle incidents, manage vendors, secure change management, train staff and monitor systems. Many companies use one control set to satisfy both, and the AICPA publishes mappings between the Trust Services Criteria and other frameworks, including ISO 27001.

The real differences are in emphasis:

  • Risk management: ISO 27001 requires a formal risk assessment and treatment process at its core. SOC 2 includes risk assessment under its criteria but is less prescriptive about the management system.
  • Management system: ISO 27001 requires internal audits, management reviews and documented objectives. SOC 2 doesn’t require an ISMS in the same formal way.
  • Evidence depth: SOC 2 Type 2 tests samples of control operation over time and reports exceptions in detail.
  • Public proof: An ISO certificate can be posted on your website. A SOC 2 report is usually shared selectively under NDA, though a SOC 3 report offers a general-use summary.

If you’re starting from zero, it helps to build your program on a recognized framework first. Our explainer on the NIST Cybersecurity Framework is a good foundation for either path.

How to decide: 5 questions

Work through these with your sales and leadership teams.

1. What are customers actually asking for?

Pull the last 6 to 12 months of security questionnaires, RFPs and lost-deal notes. Count how often each framework comes up. This single step settles the decision for most companies.

2. Where are your customers?

US buyers often default to SOC 2. Buyers in Europe, the UK and parts of Asia are more likely to ask for ISO 27001. If you’re expanding internationally, factor in where your next deals are coming from.

3. How much detail do your buyers want?

Security teams at large US enterprises often prefer the detail of a SOC 2 Type 2 report. Procurement teams that want a simple yes-or-no check often prefer a certificate.

4. How mature is your security program?

ISO 27001’s management system requirements, like internal audits and management reviews, take more organizational discipline. A SOC 2 Type 1 can be a faster first milestone for an early-stage company, followed by a Type 2.

5. Do you need both soon?

If you expect to need both within 2 years, design your controls once, map them to both frameworks and consider an audit firm that can perform both, so evidence collection overlaps.

Costs: what drives the price

Prices vary widely by company size, scope and auditor, so treat any single number with caution. The main cost drivers are similar for both:

  • Audit fees: CPA firm fees for SOC 2, or certification body fees for ISO 27001. Scope and the number of locations and systems drive these.
  • Readiness work: Gap assessments, policies, and fixing control gaps, whether done internally or with consultants.
  • Tooling: Many companies use compliance automation platforms to collect evidence, plus security tools such as identity management, endpoint protection and logging.
  • Staff time: Engineering, IT and HR time to implement controls and gather evidence is often the biggest hidden cost.
  • Ongoing cycle: SOC 2 typically means a new report every year. ISO 27001 means surveillance audits and a recertification audit every 3 years.

The overlap means the second framework is usually cheaper than the first, because most controls and evidence already exist.

Where to start

Whichever you choose, the first 90 days look similar:

  1. Collect customer demand data and pick your first framework.
  2. Define scope narrowly: the product and systems customers care about.
  3. Run a gap assessment against the Trust Services Criteria or ISO 27001 requirements.
  4. Write core policies, starting with an information security policy, access control and incident response. Our guides on writing a cybersecurity policy and creating an incident response plan help here.
  5. Fix the big gaps first: multi-factor authentication, access reviews, logging, backups, vendor reviews and security training.
  6. Select an auditor early. For SOC 2, that’s a licensed CPA firm. For ISO 27001, use a certification body accredited by a recognized accreditation body.
  7. Start the clock. Book a SOC 2 Type 1 or Type 2 observation window, or schedule ISO stage 1 and stage 2 audits.

Many buyers will also look at your cloud setup and testing practices, so our cloud security checklist and comparison of vulnerability scans vs penetration tests are useful next reads.

The bottom line

SOC 2 and ISO 27001 prove similar things in different formats to different audiences. SOC 2 gives US buyers a detailed CPA report. ISO 27001 gives global buyers a recognized certificate backed by a formal management system. Look at who’s asking, start with that framework and build your controls so the second one is mostly paperwork.

Sources

Questions readers ask

Frequently asked questions

Is SOC 2 or ISO 27001 better?

Neither is better overall. SOC 2 is usually preferred by US buyers, especially for SaaS, because the detailed CPA report shows how controls performed. ISO 27001 is more widely recognized internationally and provides a public certificate. Pick the one your customers ask for most, then plan for the other if your market expands.

Can I get ISO 27001 and SOC 2 at the same time?

Yes. Many companies build one control set mapped to both frameworks and run audits in the same year, sometimes with a firm that can do both. You'll still need 2 separate audits: a SOC 2 examination by a CPA firm and an ISO 27001 certification audit by an accredited certification body. Shared evidence cuts the extra effort significantly.

Is SOC 2 a certification?

No. SOC 2 is an attestation report, not a certification. A licensed CPA firm examines your controls against the AICPA's Trust Services Criteria and issues an opinion in a report. You can say you have a SOC 2 report, but there's no official SOC 2 certificate. ISO 27001, by contrast, does result in a certificate.

How long does ISO 27001 certification take?

It depends on your starting point and scope. Companies need time to define the ISMS, assess risks, write the Statement of Applicability, run internal audits and hold a management review before the 2-stage certification audit. A company with existing security practices moves faster than one starting from scratch. Once certified, the certificate runs on a 3-year cycle with surveillance audits.

Do US companies need ISO 27001?

Not by law. Neither ISO 27001 nor SOC 2 is legally required for most US businesses. Companies pursue them because customers require proof of security. US firms selling into Europe, the UK or large multinational enterprises often find ISO 27001 requested in contracts and RFPs, while purely domestic SaaS companies are more often asked for SOC 2.

What's the difference between SOC 2 Type 1 and Type 2?

A Type 1 report checks whether your controls are suitably designed at a single point in time. A Type 2 report also tests whether those controls operated effectively over a period, commonly 3 to 12 months. Enterprise buyers usually want Type 2, but a Type 1 can be a useful first step while your observation period runs.

Does ISO 27001:2013 still count?

No. The transition period for ISO/IEC 27001:2013 certificates ended on October 31, 2025, so valid certificates should now reference the 2022 edition. If a vendor shows you a 2013-based certificate, ask for their current certificate and confirm its scope and expiry date with the issuing certification body.

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Manishdai
Written by

Manishdai

Manishdai writes about the technology that is reshaping every industry — from AI agents and cloud platforms to healthtech, fintech and the IT companies building it all across the United States.