INSIGHT

SOC 2 vs ISO 27001: Which Security Framework Fits Your Business? 

Lauren Bradner • December 19, 2025

Services: ISO Certification Preparation

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Your prospects are asking about your security practices. You know you need compliance, but which framework should you pursue first? 

SOC 2 and ISO 27001 are two of the most recognized security frameworks in the world. Both demonstrate your commitment to protecting customer data. Both require significant investment. And both can open doors to new business opportunities. 

But they’re not identical, and choosing the wrong one could mean missing out on key prospects or wasting valuable resources. This article breaks down the core differences of SOC 2 vs ISO 27001, helps you understand which standard aligns with your business goals, and shows you how to make the right choice for your organization. 

What Is SOC 2? 

SOC 2 is a security framework developed by the American Institute of Certified Public Accountants (AICPA). It focuses on how you protect customer data from unauthorized access, security incidents, and vulnerabilities.  

When you complete a SOC 2 audit, you receive a report that demonstrates your controls are working effectively over a defined period of time. This report shows prospects and customers that you take data security seriously all the time, not just when you are being audited. 

SOC 2 is the standard framework for service organizations in North America. If you’re selling to US-based companies, they’ll likely request your SOC 2 report during their vendor evaluation process. 

“SOC 2 provides assurance that your data protection isn’t just policy, it’s practice. That credibility is what gives it it’s strength in the North American market.” – Lauren Bradner – Director, IT Security Compliance Operations 

What Is ISO 27001?  

ISO 27001 is an international standard created by the International Organization for Standardization. It outlines requirements for building and maintaining an Information Security Management System (ISMS). 

Unlike SOC 2, ISO 27001 results in a formal certification. This certificate proves you’ve established a comprehensive system for managing information security risks. 

ISO 27001 carries strong recognition worldwide, particularly in Europe and Asia. International prospects often require this certification before they’ll consider doing business with you. 

“ISO 27001 represents global trust. One certification speaks to regulators and clients worldwide, and reflects a mature, risk-based approach to protecting data.” – Lauren Bradner 

How SOC 2 and ISO 27001 are Similar 

These frameworks share more similarities than differences. Both require independent third-party audits. Both focus on core security principles like confidentiality, integrity, and availability. Both demand substantial time and financial investment. 

The AICPA’s mapping analysis shows approximately 80% overlap between the two frameworks. They share nearly all the same controls, with only about 4% variation. This overlap means the work you do for one framework often applies to the other. 

Both frameworks also require you to document your security practices, train your team, and continuously monitor your controls. You’ll need to demonstrate strong risk management and maintain detailed evidence of your security efforts. 

SOC 2 vs ISO 27001: Key Differences 

Geographic Recognition 

Your target market should drive your decision. SOC 2 dominates in North America, where it’s become the expected standard for service providers. ISO 27001 holds more weight internationally. 

That said, many US companies accept ISO 27001, and international organizations may accept SOC 2. The deciding factor is what your specific customers require. 

Framework Flexibility 

SOC 2 gives you more flexibility. You choose which of the five Trust Services Criteria to include in your audit. Only Security is mandatory. You can add Availability, Confidentiality, Privacy, and Processing Integrity based on what your services require. 

ISO 27001 takes a more prescriptive approach. It requires 93 specific controls known as Annex A controls. If you exclude any controls, you must document and be able to justify why they don’t apply to your organization. 

Scope and Documentation 

SOC 2 audits typically have a narrower scope. You’ll need a management assertion, system description, and control matrix. Additional documentation depends on which Trust Services Criteria you select. 

ISO 27001 requires more comprehensive documentation. You’ll create an information security policy, risk assessment, risk treatment plan, formal internal audit process, and Statement of Applicability. You also need a plan for continuous improvement of your ISMS. 

Report Type 

ISO 27001 provides a certificate that confirms your compliance. It’s a binary result:you’re either certified or you’re not. 

SOC 2 produces an attestation report that details the auditor’s opinion on your controls. This report provides more granular information about which aspects of your security program passed evaluation. 

Renewal Requirements 

Both assessment types require annual third-party audits. SOC 2 Type II reports need full annual renewal to stay current. ISO 27001 certificates last three years, but still require annual surveillance audits (50% control testing) to verify ongoing compliance. After three years, you’ll complete a full recertification audit. 

Learn more about our ISO Certification Preparation Services

Which Security Framework Should You Choose? 

Start by asking yourself these questions: 

• Where are your customers located? US companies typically require SOC 2, while international clients expect ISO 27001. 
• What are your customers explicitly requesting? Listen to what prospects ask for during their due diligence process. 
• What’s standard in your industry? SaaS companies often need SOC 2, while global enterprises expect ISO 27001. 
• Where do you plan to expand? If you’re targeting international markets, ISO 27001 may be more valuable long-term. 
• How mature is your security program? SOC 2 can be a good starting point, while ISO 27001 typically requires more operational maturity. 
• Do you prefer flexibility or structure? SOC 2 adapts to your specific services, while ISO 27001 provides detailed requirements. 

Many organizations eventually pursue both frameworks. The overlap between them means your work on one framework accelerates progress on the other. Having both certifications demonstrates a robust security program and builds trust with customers worldwide. 

Get Compliant with BPM  

Choosing between SOC 2 and ISO 27001 depends on your customers, your market, and your business goals. But you don’t have to make this journey alone. 

BPM guides organizations through both SOC 2 and ISO 27001 compliance processes. We help you understand which framework fits your business, prepare for your audit, and maintain compliance over time. Our team works alongside yours to build security programs that not only meet compliance requirements but also strengthen your overall security posture. To discuss which framework is right for your business, contact us.