System and Organization Controls 2 (SOC 2) is one of the most widely adopted cybersecurity frameworks among service organizations. For startups, pursuing SOC 2 early can help establish strong security practices, build customer trust, and avoid scrambling to meet compliance expectations as the business grows.
This guide covers key SOC 2 considerations for startups, including:
- The basics of SOC 2 for startups, its main goals, and types of reports
- Why and when startups should pursue SOC 2
- Typical SOC 2 costs and timelines for startups
- A five-step process to achieving compliance tailored to the unique needs of startups
What is SOC 2?
SOC 2 is a cybersecurity framework and attestation program aimed at service organizations that collect, process, or store data. Its main goal is to help organizations build a solid security posture that ensures the responsible handling, security, and privacy of sensitive data.
To obtain a SOC 2 attestation or obtain a report, you must complete an attestation engagement performed by an licensed, independent CPA firm. This means you should familiarize yourself with the best practices for external and internal compliance audits before beginning the compliance process.
Tip: If you’re considering SOC 2 for your startup, one of your first decisions is whether to pursue a Type 1 or Type 2 report.
{{cta_withimage1="/cta-blocks"}} | SOC 2 compliance checklist
SOC 2 Type 1 vs Type 2 for startups: How to choose
You can choose between two types of SOC 2 attestation:
- Type 1: Evaluates the design and implementation of your controls at a specific point in time
- Type 2: Assesses and tracks the effectiveness of your controls over a longer time frame (typically 3–12 months)
Both types deliver the benefits of SOC 2 compliance, though Type 2 provides more assurance because it monitors how your controls and processes operate over time. You can see if your controls remain effective in different scenarios, which reduces the risk of unaddressed vulnerabilities and related disruptions.
For most startups, the practical question is: which report to pursue first? The right choice depends on factors like sales cycles and expectations of your target customers. For example, if an enterprise deal is blocked and you need proof fast, a Type 1 is the quicker route and serves as an effective bridge. However, if there’s no immediate deadline, proceeding directly to a Type 2 usually saves time and money overall. Approximately 98% of Fortune 500 buyers and 85% of mid-market buyers require a Type 2 report. So, pursuing a Type 1 first could mean incurring the cost of a second audit if customers later require a Type 2 report.
Why should startups adopt SOC 2?
Startups should implement SOC 2 mainly because it helps build trust with prospective customers. Aligning with the framework significantly improves your security posture, which is a notable revenue driver that helps you unlock new deals and close them faster.
While all organizations can benefit from SOC 2, it’s especially valuable for SaaS startups that want to scale quickly by removing security-related barriers during the sales process. By establishing administrative, technical, and procedural controls and building repeatable processes early, you can reduce the risk of security-related disruptions and position yourself as a reliable vendor. This can be implemented using controls that map to the Trust Services Criteria.
Additional advantages of SOC 2 compliance include:
- Resilience against evolving security threats: SOC 2’s Trust Services Criteria (TSCs) encourages organizations to implement robust security controls that help adapt to and mitigate evolving threats
- Security program visibility: SOC 2 offers a transparent way to demonstrate how your organization manages data and security risks, so customers, investors, and other stakeholders have better visibility into your security posture
- Improved operational continuity: SOC 2 helps build a strong foundation for incident management and ensures that you can respond and recover from realized threats faster and with fewer consequences
- Streamlined security workflows: SOC 2 outlines baseline criteria to address key security concerns with industry-leading best practices and defensible processes
- Competitive advantage: Showcasing your SOC 2 report to prospective customers can replace extensive security questionnaires and give you a notable competitive advantage over competitors that haven’t adopted the framework
When do startups need SOC 2?
For startups, the sales pipeline is often the trigger for pursuing SOC 2. It’s best to align early, instead of waiting for it to be the cause of a stalled or unsuccessful deal.
Specific situations make SOC 2 a business requirement, such as an enterprise or mid-market prospect entering a procurement process that requires a security review. Procurement teams at large companies may pause vendor onboarding until a SOC 2 report is on file. This requirement applies to both big and small companies, including startups.
This pattern tends to hold as startups move upmarket. Enterprise buyers typically have stringent vendor risk management programs and may expect an onboarding vendor to meet baseline requirements such as SOC 2 and ISO 27001.
Investor due diligence can raise similar expectations. Certain investors consider SOC 2 a confirmation of operational maturity. However, since most startups feel the pressure from sales first, this tends to be a secondary trigger.
Another driver for pursuing SOC 2 early is cost efficiency. SOC 2 is easier and less expensive to implement when a company and its tech stack are still relatively simple. At this stage, there’s less infrastructure to document and fewer processes to retrofit for compliance. If you wait until an enterprise deal depends on it, you’ll need to compress months of preparation into weeks, which can increase both the cost and operational burden of compliance.
The earlier you start, the more flexibility you have to plan around your compliance budget and timelines.
SOC 2 compliance for startups: cost and timeline reality check
Startups should budget $20,000 to $80,000+ all-in for their first year of SOC 2, covering auditor fees, tooling, and remediation. Lean, security-criterion-only Type 1 engagements tend to fall at the lower end of that range. The final cost depends on:
- Scope of the engagement (how many of the five Trust Services Criteria are pursued)
- The auditor tier
- Operational complexity
- Your readiness level
As far as timelines are concerned, a Type 1 typically takes three to five months from a standing start (10–12 weeks if basic controls are already in place). A Type 2 adds an observation window (minimum of three month observation period), putting a realistic timeline for a first Type 2 report at roughly four to six months. Using SOC 2 compliance software for startups can speed up preparation and evidence collection, while complex or largely manual environments may take longer. For early-stage startups, the time required to establish a SOC 2 program also depends heavily on the team’s GRC knowledge and their understanding of what effective controls look like. This includes interpreting contractual, regulatory, and industry requirements and translating them into appropriate controls and processes.
Given the cost and timelines, startups should plan well in advance to avoid having to rush the process.
“
To start preparing for SOC 2, an organization should work backward from the date it hopes to have its SOC 2 attestation, while accounting for the implementation effort, holidays, and competing product priorities.”
Vanta can help startups streamline SOC 2 preparation with compliance automation. The platform centralizes compliance workflows and evidence, reducing busywork with automation and providing visibility into progress toward your target audit date.
{{cta_simple1="/cta-blocks"}} | SOC 2 product page
SOC 2 checklist for startups: 5 steps to follow
To meet the SOC 2 requirements for startups, you should take these steps:
- Understand the SOC 2 Trust Services Criteria (TSCs)
- Perform a gap analysis
- Develop a gap remediation plan
- Collect evidence
- Find a SOC 2 auditor and schedule the audit\
1. Understand the SOC 2 Trust Services Criteria
SOC 2 was built on five trust services criteria outlined in the following table:
Each TSC includes various controls you should implement to ensure your organization fulfills it without gaps. Only the Security criterion also referred to as “Common Criteria” is mandatory for SOC 2 compliance, while the rest are scoped according to their applicability to your organization’s security posture and data practices.
While adhering to all TSCs is ideal, it may not always be possible for a new startup. Prioritize the criteria that have the greatest impact on your overall security posture.
2. Perform a gap analysis
After reviewing the relevant SOC 2 TSCs and their controls, compare them to your current security standing to identify potential compliance gaps. The best way to do this is through a comprehensive security review guided by the framework’s controls.
Some of the key components of your security posture that you’ll review include:
- Data collection and management policies
- Access to sensitive data
- Technical security controls (firewalls, encryption, etc.)
- Risk management practices
Conducting robust security reviews can be challenging and resource-intensive without adequate guidance and well-documented procedures. To complete them more efficiently, consider adopting a leading compliance automation solution.
3. Develop a gap remediation plan
Once you’ve identified all SOC 2 compliance gaps, use the results of your security review to devise an effective gap remediation plan. If you’re unsure where to start, it’s best to prioritize gaps that fall under the security criterion, as it is the only one that’s universally mandatory.
Startups often underestimate the level of knowledge required to effectively implement and document SOC 2 security processes. Building a compliant program requires risk-based decision-making, including determining which controls are appropriate for your organization and how they should operate. Compliance software can streamline this work, but it cannot make those decisions for you.
Another factor to consider is gap size. It’s best to start with small but impactful gaps that don’t require extensive work before moving on to those that might call for significant process overhauls. This way, you can introduce changes gradually and avoid operational disruptions.
Before executing your gap remediation strategy, get buy-in from the affected teams. Doing so gets everyone on the same page and helps you make the necessary changes more efficiently.
4. Collect evidence
During a SOC 2 audit, the auditor will look for extensive evidence that meets your controls associated with your Trust Services Criteria. Besides observed evidence they’ll collect as they assess your controls, the auditor might also request documented evidence, such as:
- Administrative security policies
- Backup logs
- Service-level agreements
- Vendor agreements
To expedite the audit, document SOC 2 control implementation and gather all the evidence necessary to demonstrate SOC 2 compliance.
While doing so, try to replace disparate systems like spreadsheets and email chains as much as possible because they might hinder your control monitoring efforts. Instead, use centralized documentation systems that create a single source of truth and streamline evidence collection and management.
5. Find a SOC 2 auditor and schedule the audit
While the main job of a SOC 2 auditor is to validate the effectiveness of your controls and issue an opinion on whether your controls are designed and effectively meet the Trust Services Criteria. Not all auditors provide the same level of guidance, so consider their reputation and industry experience when choosing one. Confirm that your auditor is a licensed CPA firm enrolled in AICPA peer review.
“
To start preparing for SOC 2, an organization should work backward from the date it hopes to have its SOC 2 attestation, while accounting for the implementation effort, holidays, and competing product priorities.”
Next, schedule a compliance audit so that you can plan your preparation activities. Ideally, you’ll schedule it well in advance to give yourself the time to complete all necessary work, including:
- Performing a final security review to ensure there aren’t any leftover gaps
- Collecting all the documentation necessary to demonstrate SOC 2 compliance
- Preparing the relevant departments and team members for the audit
These tasks might be time-consuming if done manually and can cause haphazard workflows if rushed. To maximize efficiency and reduce uncertainty, support your compliance process with a top GRC solution.
{{cta_withimage1="/cta-modules"}} | SOC 2 compliance checklist
Get SOC 2 compliant effortlessly with Vanta
Vanta is a leading trust management platform that simplifies the SOC 2 compliance process by automating related workflows. For startups with lean teams, the platform can reduce the burden of compliance processes without adding significant security overhead.
Vanta can support tasks that the founder or a generalist engineer would have to manage, such as evidence collection. It does this through various automation features included in its dedicated SOC 2 product, the most useful of which include:
- Vanta AI, which reviews vendors, monitors your environment, and flags where controls or evidence need attention
- Smart policy builder that generates SOC 2-relevant policies
- Over 400 integrations that support evidence collection and continuous visibility
- A centralized dashboard that replaces manual, point-in-time checks
- Seamless support for SOC 2 audits throughout the process
Vanta’s Trust Center helps you showcase your compliance status to prospects, while you can use the Vanta AI Agent to complete time-consuming security reviews faster.
These features remove the guesswork from the SOC 2 compliance process and help teams spend less time on mundane or repetitive work. When you’re ready to schedule your SOC 2 audit, you can leverage Vanta’s partner network to find a trusted auditor and complete your attestation.
For more information about Vanta’s SOC 2 product and a hands-on experience, schedule a custom demo.
{{cta_simple1="/cta-blocks"}} | SOC 2 product page
FAQs
When should a startup get SOC 2 compliance?
As a startup, you should consider SOC 2 compliance when enterprise or mid-market deals enter your pipeline. Larger buyers have procurement teams that routinely require a SOC 2 report before onboarding a vendor. Starting before the first blocked deal keeps compliance from stalling revenue, as it’s generally easier and less expensive to implement while your tech stack is still small.
How much does SOC 2 cost for a startup?
Most startups spend roughly $20,000–$80,000+ all-in for their first year, depending on report type, scope, and auditor. The cost of lean Type 1 engagements sits at the lower end.
How long does SOC 2 take for a startup?
A Type 1 typically takes three to five months from scratch, or 10–12 weeks with basic controls in place. A Type 2 report, on the other hand, requires an observation window of at least three months, making four to six months a realistic first-report timeline with automation.
Should a startup get a Type 1 or Type 2 report first?
Get a Type 2 report right away unless an immediate deal requires proof fast. It’s the report most enterprise buyers ultimately require, and a Type 1 first often means paying for two audits. Pursuing a Type 1 report first could make sense as a bridge when revenue is blocked.
Does a startup need all five Trust Services Criteria (TSCs)?
No, a startup doesn’t need all five trust services criteria since only Security is mandatory. The other four are optional and should be included based on which ones are relevant to your business. Most startups scope their first audit to Security alone (plus criteria their customer contracts require) to keep cost and timeline lean, then expand in later audit cycles.
Streamlining SOC 2 compliance
An actionable guide to SOC 2 compliance for startups
Streamlining SOC 2 compliance
An actionable guide to SOC 2 compliance for startups
Download the checklist
Looking to automate SOC 2 audit prep?
System and Organization Controls 2 (SOC 2) is one of the most widely adopted cybersecurity frameworks among service organizations. For startups, pursuing SOC 2 early can help establish strong security practices, build customer trust, and avoid scrambling to meet compliance expectations as the business grows.
This guide covers key SOC 2 considerations for startups, including:
- The basics of SOC 2 for startups, its main goals, and types of reports
- Why and when startups should pursue SOC 2
- Typical SOC 2 costs and timelines for startups
- A five-step process to achieving compliance tailored to the unique needs of startups
What is SOC 2?
SOC 2 is a cybersecurity framework and attestation program aimed at service organizations that collect, process, or store data. Its main goal is to help organizations build a solid security posture that ensures the responsible handling, security, and privacy of sensitive data.
To obtain a SOC 2 attestation or obtain a report, you must complete an attestation engagement performed by an licensed, independent CPA firm. This means you should familiarize yourself with the best practices for external and internal compliance audits before beginning the compliance process.
Tip: If you’re considering SOC 2 for your startup, one of your first decisions is whether to pursue a Type 1 or Type 2 report.
{{cta_withimage1="/cta-blocks"}} | SOC 2 compliance checklist
SOC 2 Type 1 vs Type 2 for startups: How to choose
You can choose between two types of SOC 2 attestation:
- Type 1: Evaluates the design and implementation of your controls at a specific point in time
- Type 2: Assesses and tracks the effectiveness of your controls over a longer time frame (typically 3–12 months)
Both types deliver the benefits of SOC 2 compliance, though Type 2 provides more assurance because it monitors how your controls and processes operate over time. You can see if your controls remain effective in different scenarios, which reduces the risk of unaddressed vulnerabilities and related disruptions.
For most startups, the practical question is: which report to pursue first? The right choice depends on factors like sales cycles and expectations of your target customers. For example, if an enterprise deal is blocked and you need proof fast, a Type 1 is the quicker route and serves as an effective bridge. However, if there’s no immediate deadline, proceeding directly to a Type 2 usually saves time and money overall. Approximately 98% of Fortune 500 buyers and 85% of mid-market buyers require a Type 2 report. So, pursuing a Type 1 first could mean incurring the cost of a second audit if customers later require a Type 2 report.
Why should startups adopt SOC 2?
Startups should implement SOC 2 mainly because it helps build trust with prospective customers. Aligning with the framework significantly improves your security posture, which is a notable revenue driver that helps you unlock new deals and close them faster.
While all organizations can benefit from SOC 2, it’s especially valuable for SaaS startups that want to scale quickly by removing security-related barriers during the sales process. By establishing administrative, technical, and procedural controls and building repeatable processes early, you can reduce the risk of security-related disruptions and position yourself as a reliable vendor. This can be implemented using controls that map to the Trust Services Criteria.
Additional advantages of SOC 2 compliance include:
- Resilience against evolving security threats: SOC 2’s Trust Services Criteria (TSCs) encourages organizations to implement robust security controls that help adapt to and mitigate evolving threats
- Security program visibility: SOC 2 offers a transparent way to demonstrate how your organization manages data and security risks, so customers, investors, and other stakeholders have better visibility into your security posture
- Improved operational continuity: SOC 2 helps build a strong foundation for incident management and ensures that you can respond and recover from realized threats faster and with fewer consequences
- Streamlined security workflows: SOC 2 outlines baseline criteria to address key security concerns with industry-leading best practices and defensible processes
- Competitive advantage: Showcasing your SOC 2 report to prospective customers can replace extensive security questionnaires and give you a notable competitive advantage over competitors that haven’t adopted the framework
When do startups need SOC 2?
For startups, the sales pipeline is often the trigger for pursuing SOC 2. It’s best to align early, instead of waiting for it to be the cause of a stalled or unsuccessful deal.
Specific situations make SOC 2 a business requirement, such as an enterprise or mid-market prospect entering a procurement process that requires a security review. Procurement teams at large companies may pause vendor onboarding until a SOC 2 report is on file. This requirement applies to both big and small companies, including startups.
This pattern tends to hold as startups move upmarket. Enterprise buyers typically have stringent vendor risk management programs and may expect an onboarding vendor to meet baseline requirements such as SOC 2 and ISO 27001.
Investor due diligence can raise similar expectations. Certain investors consider SOC 2 a confirmation of operational maturity. However, since most startups feel the pressure from sales first, this tends to be a secondary trigger.
Another driver for pursuing SOC 2 early is cost efficiency. SOC 2 is easier and less expensive to implement when a company and its tech stack are still relatively simple. At this stage, there’s less infrastructure to document and fewer processes to retrofit for compliance. If you wait until an enterprise deal depends on it, you’ll need to compress months of preparation into weeks, which can increase both the cost and operational burden of compliance.
The earlier you start, the more flexibility you have to plan around your compliance budget and timelines.
SOC 2 compliance for startups: cost and timeline reality check
Startups should budget $20,000 to $80,000+ all-in for their first year of SOC 2, covering auditor fees, tooling, and remediation. Lean, security-criterion-only Type 1 engagements tend to fall at the lower end of that range. The final cost depends on:
- Scope of the engagement (how many of the five Trust Services Criteria are pursued)
- The auditor tier
- Operational complexity
- Your readiness level
As far as timelines are concerned, a Type 1 typically takes three to five months from a standing start (10–12 weeks if basic controls are already in place). A Type 2 adds an observation window (minimum of three month observation period), putting a realistic timeline for a first Type 2 report at roughly four to six months. Using SOC 2 compliance software for startups can speed up preparation and evidence collection, while complex or largely manual environments may take longer. For early-stage startups, the time required to establish a SOC 2 program also depends heavily on the team’s GRC knowledge and their understanding of what effective controls look like. This includes interpreting contractual, regulatory, and industry requirements and translating them into appropriate controls and processes.
Given the cost and timelines, startups should plan well in advance to avoid having to rush the process.
“
To start preparing for SOC 2, an organization should work backward from the date it hopes to have its SOC 2 attestation, while accounting for the implementation effort, holidays, and competing product priorities.”
Vanta can help startups streamline SOC 2 preparation with compliance automation. The platform centralizes compliance workflows and evidence, reducing busywork with automation and providing visibility into progress toward your target audit date.
{{cta_simple1="/cta-blocks"}} | SOC 2 product page
SOC 2 checklist for startups: 5 steps to follow
To meet the SOC 2 requirements for startups, you should take these steps:
- Understand the SOC 2 Trust Services Criteria (TSCs)
- Perform a gap analysis
- Develop a gap remediation plan
- Collect evidence
- Find a SOC 2 auditor and schedule the audit\
1. Understand the SOC 2 Trust Services Criteria
SOC 2 was built on five trust services criteria outlined in the following table:
Each TSC includes various controls you should implement to ensure your organization fulfills it without gaps. Only the Security criterion also referred to as “Common Criteria” is mandatory for SOC 2 compliance, while the rest are scoped according to their applicability to your organization’s security posture and data practices.
While adhering to all TSCs is ideal, it may not always be possible for a new startup. Prioritize the criteria that have the greatest impact on your overall security posture.
2. Perform a gap analysis
After reviewing the relevant SOC 2 TSCs and their controls, compare them to your current security standing to identify potential compliance gaps. The best way to do this is through a comprehensive security review guided by the framework’s controls.
Some of the key components of your security posture that you’ll review include:
- Data collection and management policies
- Access to sensitive data
- Technical security controls (firewalls, encryption, etc.)
- Risk management practices
Conducting robust security reviews can be challenging and resource-intensive without adequate guidance and well-documented procedures. To complete them more efficiently, consider adopting a leading compliance automation solution.
3. Develop a gap remediation plan
Once you’ve identified all SOC 2 compliance gaps, use the results of your security review to devise an effective gap remediation plan. If you’re unsure where to start, it’s best to prioritize gaps that fall under the security criterion, as it is the only one that’s universally mandatory.
Startups often underestimate the level of knowledge required to effectively implement and document SOC 2 security processes. Building a compliant program requires risk-based decision-making, including determining which controls are appropriate for your organization and how they should operate. Compliance software can streamline this work, but it cannot make those decisions for you.
Another factor to consider is gap size. It’s best to start with small but impactful gaps that don’t require extensive work before moving on to those that might call for significant process overhauls. This way, you can introduce changes gradually and avoid operational disruptions.
Before executing your gap remediation strategy, get buy-in from the affected teams. Doing so gets everyone on the same page and helps you make the necessary changes more efficiently.
4. Collect evidence
During a SOC 2 audit, the auditor will look for extensive evidence that meets your controls associated with your Trust Services Criteria. Besides observed evidence they’ll collect as they assess your controls, the auditor might also request documented evidence, such as:
- Administrative security policies
- Backup logs
- Service-level agreements
- Vendor agreements
To expedite the audit, document SOC 2 control implementation and gather all the evidence necessary to demonstrate SOC 2 compliance.
While doing so, try to replace disparate systems like spreadsheets and email chains as much as possible because they might hinder your control monitoring efforts. Instead, use centralized documentation systems that create a single source of truth and streamline evidence collection and management.
5. Find a SOC 2 auditor and schedule the audit
While the main job of a SOC 2 auditor is to validate the effectiveness of your controls and issue an opinion on whether your controls are designed and effectively meet the Trust Services Criteria. Not all auditors provide the same level of guidance, so consider their reputation and industry experience when choosing one. Confirm that your auditor is a licensed CPA firm enrolled in AICPA peer review.
“
To start preparing for SOC 2, an organization should work backward from the date it hopes to have its SOC 2 attestation, while accounting for the implementation effort, holidays, and competing product priorities.”
Next, schedule a compliance audit so that you can plan your preparation activities. Ideally, you’ll schedule it well in advance to give yourself the time to complete all necessary work, including:
- Performing a final security review to ensure there aren’t any leftover gaps
- Collecting all the documentation necessary to demonstrate SOC 2 compliance
- Preparing the relevant departments and team members for the audit
These tasks might be time-consuming if done manually and can cause haphazard workflows if rushed. To maximize efficiency and reduce uncertainty, support your compliance process with a top GRC solution.
{{cta_withimage1="/cta-modules"}} | SOC 2 compliance checklist
Get SOC 2 compliant effortlessly with Vanta
Vanta is a leading trust management platform that simplifies the SOC 2 compliance process by automating related workflows. For startups with lean teams, the platform can reduce the burden of compliance processes without adding significant security overhead.
Vanta can support tasks that the founder or a generalist engineer would have to manage, such as evidence collection. It does this through various automation features included in its dedicated SOC 2 product, the most useful of which include:
- Vanta AI, which reviews vendors, monitors your environment, and flags where controls or evidence need attention
- Smart policy builder that generates SOC 2-relevant policies
- Over 400 integrations that support evidence collection and continuous visibility
- A centralized dashboard that replaces manual, point-in-time checks
- Seamless support for SOC 2 audits throughout the process
Vanta’s Trust Center helps you showcase your compliance status to prospects, while you can use the Vanta AI Agent to complete time-consuming security reviews faster.
These features remove the guesswork from the SOC 2 compliance process and help teams spend less time on mundane or repetitive work. When you’re ready to schedule your SOC 2 audit, you can leverage Vanta’s partner network to find a trusted auditor and complete your attestation.
For more information about Vanta’s SOC 2 product and a hands-on experience, schedule a custom demo.
{{cta_simple1="/cta-blocks"}} | SOC 2 product page
FAQs
When should a startup get SOC 2 compliance?
As a startup, you should consider SOC 2 compliance when enterprise or mid-market deals enter your pipeline. Larger buyers have procurement teams that routinely require a SOC 2 report before onboarding a vendor. Starting before the first blocked deal keeps compliance from stalling revenue, as it’s generally easier and less expensive to implement while your tech stack is still small.
How much does SOC 2 cost for a startup?
Most startups spend roughly $20,000–$80,000+ all-in for their first year, depending on report type, scope, and auditor. The cost of lean Type 1 engagements sits at the lower end.
How long does SOC 2 take for a startup?
A Type 1 typically takes three to five months from scratch, or 10–12 weeks with basic controls in place. A Type 2 report, on the other hand, requires an observation window of at least three months, making four to six months a realistic first-report timeline with automation.
Should a startup get a Type 1 or Type 2 report first?
Get a Type 2 report right away unless an immediate deal requires proof fast. It’s the report most enterprise buyers ultimately require, and a Type 1 first often means paying for two audits. Pursuing a Type 1 report first could make sense as a bridge when revenue is blocked.
Does a startup need all five Trust Services Criteria (TSCs)?
No, a startup doesn’t need all five trust services criteria since only Security is mandatory. The other four are optional and should be included based on which ones are relevant to your business. Most startups scope their first audit to Security alone (plus criteria their customer contracts require) to keep cost and timeline lean, then expand in later audit cycles.
Explore more SOC 2 articles
Introduction to SOC 2
Preparing for a SOC 2 audit
SOC 2 reporting and documentation
Streamlining SOC 2 compliance
SOC differences and similarities
Additional SOC 2 resources
Get started with SOC 2
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