Not sure about why you should undergo a SOC 2 audit? Well, continue reading this article as it shows the reasons why you should give SOC 2 audit a consideration.
SOC 2 provides guidelines to help those in many industries, stay compliant with protecting clients and business personal data. Also, SOC 2 checks for technical requirements and ensures systems are set up to provide confidentiality.
Not only that, but also about privacy, protection against customer breaches, and accessibility. While many business owners dread this type of audit, there are some compelling reasons they should consider having one carried out.
What Should You Know About SOC 2?
Table of Contents
SOC 2 is one of the most important and common compliance requirements for those in the industry of technology. All SaaS companies and those who use the cloud to store customer information will need to be aware of the SOC 2 Compliance guidelines and ensure they are following them correctly.
SOC 2 requires business owners to implement strategies and practices that help to use oversight to find problems. These guidelines want you to be able to continuously monitor for unauthorized use, malicious activity, and even misuse.
Why You Need a SOC 2 Audit
It is likely you are going to have some customers start to ask for your SOC 2 report if you are a SaaS company or one that works similarly. If you have never undergone an audit, you will have nothing to provide them.
Having this report available to your customers will give them the assurance their personal information is appropriately protected. The following are the reasons you need to seek one of these audits.
- #1. In many cases, your customers will want to seek your SOC 2 reports if they are publicly traded or regulated in any way. If your customers are asking for these reports, this is an important reason to seek an audit right away.
- #2. Having an audit carried out ensures you can proudly promote the safety of your cloud-based services. With this, your customers will feel more confident using your services to meet their needs.
- #3. When you have an audit carried out, you will be able to discover any issues that may be present so they can be corrected before major problems arise. An audit can protect the reputation of your company.
- #4. Peace of mind is a big reason many company owners seek a SOC 2 audit. When you pass the auditing process, this allows you to know the right steps are being taken to protect your customers.
- #5. Having a competitive advantage is vital in today’s business market. If a company is up against a competitor, non-compliance with SOC 2 can be problematic. Companies that have been audited are likely to be trusted more than those who have not. You need this competitive edge to be able to stand up against the competition.
Types of SOC 2 Reports
There are two main types of reports you can receive from an audit. Type I ensures the company’s service descriptions are accurate. Type II takes the information learned in the first report and expands upon it to ensure full compliance has been reached in all areas.
If your company has not yet undergone a SOC 2 audit, now is the time to schedule. Your customers depend on your company’s ability to protect their personal data against security breaches.
An audit can help you discover problem areas that may not have been fully noticed. It can also help to ensure you are fully compliant with all guidelines.