SOC 2 vs ISO 27001: Which Framework is Right for Your Organization?

Two Frameworks, Different Purposes

When organizations begin their security compliance journey, two frameworks consistently rise to the top of the conversation: SOC 2 and ISO 27001. Both demonstrate a commitment to security, but they serve different purposes and audiences.

Understanding these differences helps you invest in the right framework—or combination of frameworks—for your business objectives.

SOC 2: The American Standard for Service Organizations

SOC 2 (System and Organization Controls 2) was developed by the American Institute of CPAs (AICPA). It's specifically designed for service organizations that store, process, or transmit customer data.

Key Characteristics

Trust Services Criteria. SOC 2 evaluates controls across five categories: Security (required), Availability, Processing Integrity, Confidentiality, and Privacy. Organizations choose which criteria to include based on their services.

Attestation, not certification. A licensed CPA firm audits your controls and issues an attestation report. This report is valid for 12 months and describes your control environment in detail.

Type I vs Type II. Type I reports assess controls at a specific point in time. Type II reports evaluate control effectiveness over a period (typically 6-12 months). Most customers require Type II.

Highly customizable. SOC 2 doesn't prescribe specific controls. Your auditor evaluates whether your controls adequately address the Trust Services Criteria for your specific environment.

Best For

• SaaS companies serving U.S. customers
• Organizations where customers request SOC 2 reports
• Companies wanting flexibility in control design
• Businesses planning to expand into enterprise markets

ISO 27001: The Global Information Security Standard

ISO 27001 is an international standard published by the International Organization for Standardization (ISO). It provides a framework for establishing, implementing, maintaining, and continually improving an Information Security Management System (ISMS).

Key Characteristics

Certification-based. Unlike SOC 2's attestation model, ISO 27001 results in formal certification from an accredited certification body. Certifications are valid for three years with annual surveillance audits.

Annex A controls. ISO 27001:2022 includes 93 controls across four themes: Organizational, People, Physical, and Technological. Organizations must address each control or document why it doesn't apply (Statement of Applicability).

Risk-based approach. The standard emphasizes risk assessment as the foundation for control selection. Your security program should be driven by identified risks, not checkbox compliance.

Process-focused. Beyond technical controls, ISO 27001 requires documented processes for risk management, incident response, business continuity, and continuous improvement.

Best For

• Companies operating internationally
• Organizations in European markets (especially with GDPR considerations)
• Businesses wanting a comprehensive security management system
• Companies seeking long-term certification vs. annual reports

Head-to-Head Comparison

Factor	SOC 2	ISO 27001

Geographic focus	Primarily North America	Global recognition
Output	Attestation report	Certification
Validity	12 months	3 years (with surveillance)
Cost	$30K-$100K+ annually	$20K-$80K+ for certification
Timeline	3-6 months typically	6-12 months typically
Flexibility	High (custom controls)	Moderate (Annex A framework)
Maintenance	Annual audit	Annual surveillance + 3-year recertification

Can You Do Both?

Absolutely—and many organizations do. The frameworks share significant overlap, particularly in security controls. Organizations pursuing both can leverage:

Control mapping. Many controls satisfy requirements in both frameworks. A well-designed access control program, for example, addresses SOC 2's Security criteria and ISO 27001's access management controls.

Integrated audits. Some firms offer combined assessments, reducing audit fatigue and costs.

Unified documentation. Policies, procedures, and evidence can serve both frameworks with proper organization.

At PartnerAlly, we help organizations manage multi-framework compliance efficiently. Our platform automatically maps controls across frameworks, identifying where a single control satisfies multiple requirements.

Making Your Decision

Choose SOC 2 if:

• Your primary market is North America
• Customers specifically request SOC 2 reports
• You want faster time-to-compliance
• You need flexibility in control design

Choose ISO 27001 if:

• You operate internationally
• European customers are a priority
• You want a comprehensive security management system
• Long-term certification value matters more than annual reporting

Choose both if:

• You serve both U.S. and international markets
• Enterprise customers require multiple attestations
• You want maximum market access
• You have resources to maintain both programs

Getting Started

Regardless of which framework you choose, success requires:

1. Executive sponsorship. Compliance isn't an IT project—it's a business initiative requiring leadership support.

2. Gap assessment. Understand your current state before planning remediation.

3. Realistic timeline. First-time compliance takes longer than renewals. Plan for 6-12 months.

4. The right tools. Manual compliance doesn't scale. Invest in platforms that automate evidence collection and control monitoring.

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Not sure which framework fits your needs? PartnerAlly supports both SOC 2 and ISO 27001 with unified control management. Contact us for a personalized assessment.