Debunking 5 Common SOC 2 Misconceptions
Discover how Taylor Herson, CEO of Eden Data, tackles SOC 2 misconceptions to help high-growth organizations better navigate their compliance journeys.Confused about SOC 2 compliance? You're not alone.
Many startups face a barrage of questions: What’s the difference between Type 1 and Type 2? Are pen tests necessary for compliance? Is there any difference between auditors? Wait, there’s a SOC 3? Ask five startups any of these questions and you’ll get six different answers. That’s a problem because SOC 2 compliance is becoming table stakes for B2B companies that want to do business with mid-market and enterprise buyers.
You definitely don’t need to be an expert in cybersecurity to get compliant, but there’s a handful of basic facts you should know so that you don’t delay or overspend on compliance. So let’s separate fact from fiction:
1. Getting SOC 2 Compliant Is a One-Time Initiative
Reality: There are actually two “Types” of SOC 2 compliance: one that verifies compliance at a point in time and one that verifies ongoing compliance. While Type 1 reports are a point in time, SOC 2 Type 2 reports cover an observation period.
“As an industry practice, Type 2 reports are the gold standard that will be required by most enterprise buyers, and are generally deemed valid for 12-months from the issuance date,” Glen Buchanon, Eden Data’s Head of Customer Experience, explains. “Continuous effort is required to maintain your security and compliance posture.”
2. Application Penetration Tests Aren’t Mandatory for SOC 2
Reality: True, they’re not technically required, but they’re valuable and may be required by enterprise buyers. So if you’re getting SOC 2 as an effort to establish and showcase your security posture, you should strongly consider working with a reputable pentesting firm focused on the application layer. They’ll use much more than automated tools, and will identify weak spots that can be exploited, and will provide interactive guidance on urgency and technical remediation.
“We strongly recommend application penetration testing—and some auditors, and definitely customers might even require it!” says Eden Data’s Operations Manager, McKensie Magee. “While an application pentest is not required for SOC 2, you are required to demonstrate automated scans for vulnerabilities, as well as a network penetration test. The difference is that a vulnerability scan identifies surface-level items, while a penetration test includes a live person actually digging into your network and application complexities.”
3. All SOC 2 Audits and Auditors Are Identical
Reality: While the SOC 2 framework itself is standardized, the quality and experience of the auditor significantly impact the report's value. The audit report is only as good as the auditor. So if you find a cheap no-name auditor, Your report might not even be accepted by enterprise buyers.
4. Each Company’s Soc 2 Compliance Is Identical
Reality: SOC 2 outlines five Trust Service Criteria, each with its own focus:
Security: Protecting data from unauthorized access, use, disclosure, disruption, modification, or destruction.
Availability: Ensuring systems and information are accessible to meet business needs.
Confidentiality: Keeping information confidential and only accessible to authorized users.
Processing Integrity: Guaranteeing data processing is complete, accurate, valid, timely, and authorized.
Privacy: Protecting the privacy of personal information collected and used by the organization.
While only Security is mandatory, you can choose to include additional criteria to comply with based on your specific needs and data practices. “Different companies would use different criteria based on a multitude of different factors such as company size, types of data they deal with, cloud environment, budget, clientele, and customer base,” explains Drew Landis, Security Advisor at Eden Data.
5. The Timeline for SOC 2 Is Always the Same
Reality: Your journey to SOC 2 compliance is unique. The timeline depends on your current security posture, compliance goals, and prioritization. Because fast-growing organizations have other priorities and frequently lack in-house compliance expertise, they partner with leading firms like Eden Data. Our customers complete SOC 2 compliance 3x faster than the industry average.
Ready to Learn More?
There’s many more SOC 2 myths worth dispelling before beginning your compliance journey. For a more in-depth exploration, check out our report on Busting 11 Misconceptions About Getting SOC 2 Compliant. Remember, achieving SOC 2 compliance doesn't have to be daunting. With the right resources and understanding, your startup can navigate the process with confidence and unlock new growth opportunities.