What is SOC 2® Compliance? Guide for founders.

Why you're probably Googling this?

You just got off a sales call, and your prospective customer asked the dreaded question:

"Are you SOC 2® compliant?"

If you're the CEO or CTO of a growing SaaS business, this probably isn't the first time. As customer expectations and security concerns rise, SOC 2 compliance is becoming a non-negotiable trust signal.

But what does it actually mean to be SOC 2 compliant?

This post gives you a clear, jargon-free breakdown of what SOC 2 is, why it matters, and how to get there, even if you're a small startup with no security team.

What is SOC 2 Compliance?

SOC stands for System and Organization Controls. SOC 2 is a framework created by the AICPA (American Institute of Certified Public Accountants) to evaluate how well a service organization handles customer data based on five "Trust Services Criteria."

SOC 2 is not a certification you pass or fail. It's an audit conducted by an independent CPA firm. The output is a report that you can share with customers, showing how your systems, processes, and controls meet (or don't meet) security best practices.

There are two types of SOC 2 reports:

• Type I: A snapshot of your controls at a point in time
• Type II: An evaluation of your controls over a period of time (typically 3–12 months)

The 5 Trust Services Criteria

The SOC 2 framework revolves around five categories:

1. Security (required): Protecting against unauthorized access
2. Availability: Ensuring systems are available as promised
3. Processing Integrity: System processing is complete, accurate, and timely
4. Confidentiality: Restricting access to sensitive information
5. Privacy: Proper handling of personal information

Every SOC 2 audit must include Security; the others are optional, depending on your service model.

What you get when you pass the audit and you're SOC 2® compliant.

Completing a SOC 2 audit can transform how your business is perceived and how it operates.

Here's what going through a SOC 2 audit actually gives you:

• A powerful trust signal. A SOC 2 report shows your customers and partners that you take data protection seriously and are willing to validate it through a third-party assessment.
• Faster deal cycles. With a SOC 2 report in hand, you can skip long back-and-forths on security questionnaires and speed up procurement with large customers.
• Operational maturity. The audit process forces you to define and refine your internal policies, access controls, onboarding flows, and vendor management.
• A competitive edge. In many industries, SOC 2 is no longer optional. Being compliant can open doors to enterprise clients who require it from all vendors.
• Investor and partner confidence. SOC 2 compliance demonstrates that your company is building for the long term, with security, risk management, and accountability built in.

For more on structured risk thinking, check out our post: What is a Risk Register?

How to Get SOC 2 Compliance (Simplified Path)

Getting SOC 2 compliant is a project that touches your technology, your processes, and your people. Here's how to approach it in a practical and manageable way:

1. Define your scope. Start by identifying which systems, services, and teams will be included in your SOC 2 audit. This means clearly outlining where sensitive customer data lives, who interacts with it, and what infrastructure supports it.
2. Build your internal policies and controls. You'll need documented policies for areas like access control, incident response, change management, and more. These policies should reflect how your company operates and how you intend to meet the SOC 2 Trust Services Criteria.
3. Start collecting evidence. Evidence is the lifeblood of your SOC 2 audit. This includes logs, screenshots, system configurations, process documentation, and records that prove your controls are actually working. The more automated and organized this process, the easier your audit will be.
4. Conduct a readiness assessment. Think of this like a mock audit. It's your chance to identify gaps and weaknesses before an external auditor does. Some companies do this manually; others use compliance automation tools to speed it up.
5. Choose and work with a licensed CPA firm. Only a CPA firm can issue a valid SOC 2 report. Pick one with experience in your industry and good communication practices. They'll review your evidence, test your controls, and compile your official audit report.
6. Close the gaps and finalize your report. After the audit, there may be remediation work to do, fixing broken processes or improving documentation. Once that's complete, you'll receive your final SOC 2 report.

👉 Use our SOC 2 Audit Checklist to walk through each step in more detail.

Need to do this without a dedicated security team? We got you: How Startups Can Get SOC 2 Without a Security Team

What Happens After the Audit?

Many teams mistakenly see SOC 2 as a finish line. In reality:

• SOC 2 Type II requires continuous monitoring
• Your report expires (typically after 12 months)
• Expect customers to request updated reports regularly

Tools like Humadroid can help you maintain policy acknowledgments, asset tracking, and evidence collection between audits.

Want to stay audit-ready without drowning in spreadsheets? See how Humadroid helps startups stay on top of compliance.