COMPLIANCE GUIDE

Complete Guide to SOC 2 Compliance in 2025

Published January 2025 · 15 min read

What is SOC 2?

SOC 2 (System and Organization Controls 2) is a compliance framework designed by the American Institute of CPAs (AICPA) to ensure service providers securely manage customer data. It's become the gold standard for SaaS companies selling to enterprise customers.

Type 1 vs Type 2

Type 1 (Point-in-Time)

  • • Single point in time assessment
  • • 4-8 weeks to complete
  • • $8,000-$20,000 cost
  • • Good for early-stage proof

Type 2 (6-12 Months)

  • • Operating effectiveness over time
  • • 6-12 month observation period
  • • $15,000-$50,000+ cost
  • • Industry standard requirement

Timeline to SOC 2

Most companies achieve SOC 2 Type 2 readiness in 6-8 months:

  • • Weeks 1-4: Readiness assessment and gap analysis
  • • Weeks 5-12: Control implementation and policy creation
  • • Months 4-9: Observation period with continuous evidence collection
  • • Months 10-12: Audit execution and report issuance

Common Mistakes to Avoid

  1. 1. Starting too late: Begin 6-12 months before you need the report
  2. 2. Manual evidence collection: Use automation to save 75+ hours/month
  3. 3. Choosing the wrong auditor: Get referrals from similar companies
  4. 4. Incomplete documentation: Missing evidence leads to audit delays
  5. 5. No advisor support: Expert guidance prevents costly mistakes

Ready to start your SOC 2 journey?

LowerPlane automates 30-50% of SOC 2 compliance and includes a dedicated advisor to guide you through the process.

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