SOC 3: Everything You Need to Know
Learn what a SOC 3 report is, how it differs from SOC 2, and how to streamline the SOC 3 audit process to showcase your organization’s security posture.
TL;DR
SOC 3 is a public-facing summary of a completed SOC 2 audit.
SOC 2 reports are confidential and restricted, while SOC 3 reports are publicly shareable.
You must complete a SOC 2 audit before you can obtain a SOC 3 report.
Both SOC 2 and SOC 3 evaluate the same Trust Services Criteria.
Most SaaS and cloud companies use SOC 2 for customer due diligence and SOC 3 for public marketing.
The demand for strong data security is higher than ever as organizations face increasing scrutiny from customers, partners, and regulators. A SOC 3 report offers a clear way to demonstrate compliance, build trust, and showcase your security posture. Unlike the detailed SOC 2 report, a SOC 3 report is designed for general use and public sharing.
Whether you are considering your first SOC 3 or looking to streamline your next audit, understanding the differences between these reports is critical. This guide will help you identify which report you need and outline steps to achieve compliance effectively.
What Is a SOC 2 Report?
A SOC 2 report is a detailed, confidential document that assesses a service organization's security controls and protects sensitive data. Designed for restricted use, it provides existing customers, auditors, and regulators with an in-depth look at your security posture over a specific period. You must complete a SOC 2 audit before you can obtain a SOC 3 report.
What SOC 2 Covers (Trust Services Criteria)
SOC 2 evaluates controls based on one or more of the following Trust Services Criteria (TSC):
Security: Demonstrates how your organization prevents unauthorized access to systems and data.
Availability: Assesses your system's uptime and reliability to meet operational commitments.
Processing integrity: Verifies that system processes deliver accurate, timely, and authorized outcomes.
Confidentiality: Protects sensitive information from unauthorized disclosure.
Privacy: Ensures proper handling of personal information in compliance with regulations like HIPAA or GDPR.
What Is a SOC 3 Report?
A SOC 3 report is a high-level compliance document designed to showcase your organization's commitment to data security. Created for general use, it summarizes the findings of your previously completed SOC 2 audit. This version provides reassurance about your security controls to external stakeholders, such as potential customers, investors, and partners.
What a SOC 3 Report Includes
SOC 3 reports follow a standard structure that covers these key elements:
Auditor's opinion: A concise statement from a CPA firm affirming your adherence to the selected TSC.
Management's assertion: A declaration confirming that controls are in place and operating effectively.
Overview of controls: A summary highlighting measures for data security, risk management, and internal controls.
General use designation: Explicit labeling that the report is suitable for public sharing.
SOC 2 vs. SOC 3: Key Differences
Both SOC 2 and SOC 3 are rooted in the TSC established by the AICPA. Because you must undergo a SOC 2 audit to get a SOC 3 report, both versions evaluate similar information. However, these reports differ significantly in format, detail, and audience.
Feature | SOC 2 | SOC 3 |
|---|---|---|
Report detail | Comprehensive, technical | High-level summary |
Audience | Existing customers, auditors, regulators | General public, prospects, investors |
Distribution | Restricted (typically under NDA) | Publicly shareable |
Prerequisite | None | Requires completed SOC 2 audit |
Use case | Vendor due diligence, enterprise sales | Website, marketing, trust pages |
Cost | $20K–$50K+ | Minimal add-on to SOC 2 |
Level of Detail and Confidentiality
SOC 2 provides a detailed report intended for restricted use by specific stakeholders like existing customers or auditors. It dives into confidential information about your controls, test results, and the auditor's opinion. In contrast, SOC 3 is a high-level summary that omits sensitive information and is designed for public sharing.
Intended Audience and Distribution
SOC 2 targets user entities or stakeholders with a vested interest in understanding your internal controls. Meanwhile, SOC 3 is tailored for external audiences like prospective customers, investors, or partners. These groups need assurance about your security posture but don't require in-depth operational details.
Cost and Audit Process
SOC 3 is a low-cost add-on to a SOC 2 audit. Because the SOC 3 report is derived directly from the same examination, the incremental cost is typically minimal. The underlying SOC 2 audit generally ranges from $20,000 to $50,000 depending on scope and complexity.
Who Needs a SOC 3 Report?
SOC 3 reports are ideal for organizations looking to publicly showcase their security practices. Choose SOC 3 if you want publicly shareable proof of compliance without exposing detailed audit findings. Common examples of businesses that benefit include:
SaaS companies
Cloud service providers
Healthcare organizations
Industries like healthcare and cloud computing often use SOC 3 to demonstrate compliance with frameworks like GDPR or HIPAA. It's a valuable tool for building public trust and attracting new customers through transparent compliance demonstration.
SOC 1, SOC 2, and SOC 3: How All Three Compare
SOC 1 focuses on internal controls over financial reporting and is used by payroll processors and claims administrators. SOC 2 assesses how an organization manages data security using the AICPA's Trust Services Criteria. SOC 3 is a public-facing summary of a SOC 2 report designed for general audiences.
Most SaaS and cloud companies need SOC 2 to satisfy customer due diligence requirements. SOC 3 is an optional complement that amplifies trust-building efforts through public disclosure. For a deeper comparison, see our dedicated SOC 1 vs. SOC 2 guide.
How to Get a SOC 3 Report
A SOC 3 report is derived directly from a completed SOC 2 audit, meaning there is no separate SOC 3 examination. Once your organization undergoes a SOC 2 audit, your auditing firm can issue a SOC 3 report based on those findings. This process requires minimal additional effort and cost.
To prepare for a SOC 2 audit, you must document your control environment and map controls to the Trust Services Criteria. You will also need to gather evidence of control operation and conduct internal testing. After your external audit is complete and the SOC 2 report is issued, you can request the SOC 3 summary.
Post-audit, you should continue monitoring your controls through internal audits and maintain evidence documentation. It is also critical to train your team on compliance responsibilities. This ensures sustained control effectiveness and simplifies future audits.
How Drata Streamlines SOC 2 and SOC 3 Compliance
Achieving SOC 2 and SOC 3 compliance doesn't have to be a heavy lift. Drata automates evidence collection, continuously monitors control performance, and maintains audit-ready documentation year-round. By centralizing control evidence, Drata reduces the time and cost of audits while strengthening your overall security posture.
Frequently Asked Questions
Can you have a SOC 3 without a SOC 2?
No, a SOC 3 report is derived directly from a completed SOC 2 audit. You must complete a SOC 2 examination before a SOC 3 can be issued.
What is SOC 1, SOC 2, and SOC 3?
SOC 1 evaluates financial reporting controls, while SOC 2 assesses data security against the Trust Services Criteria. SOC 3 is simply a public-facing summary of a SOC 2 report designed for general audiences.
What does a SOC 3 report cover?
A SOC 3 report covers the same Trust Services Criteria as SOC 2, including Security, Availability, Processing Integrity, Confidentiality, and Privacy. However, it presents these findings at a high level without detailed control descriptions.
Is SOC 2 legally required?
SOC 2 is not mandated by law, but enterprise buyers routinely require it as a condition of vendor contracts. Achieving SOC 2 compliance also helps demonstrate alignment with regulatory frameworks like HIPAA and GDPR.
Does getting a SOC 3 require a separate audit?
No, a SOC 3 report is produced from the exact same examination as your SOC 2 audit. Organizations typically request both from their auditing firm during the same engagement for a small additional fee.
How much does a SOC 3 report cost?
Because SOC 3 is issued alongside a SOC 2 audit, the incremental cost is typically just a few thousand dollars. The underlying SOC 2 audit generally ranges from $20,000 to $50,000 depending on scope and complexity.