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By: Jack Nichelson

Why SOC 2 Compliance Should Be a Top Priority


Whether you're a fast-moving startup or a well-established company, one thing is clear: security compliance is no longer optional. In an age where data breaches are costly and trust is everything, SOC 2 compliance is a must-have for any business that handles customer data. 

Too often, younger companies push off SOC 2 certification while chasing product-market fit while more mature businesses assume their existing controls are “good enough.” But the reality is this: SOC 2 isn’t just a checkbox—it’s a business enabler. It builds trust, opens doors and proves to clients, partners and investors that your organization takes security seriously. 

What Is SOC 2 and Why Does It Matter? 

SOC stands for System and Organizational Controls—a framework created by the American Institute of Certified Public Accountants (AICPA) that assesses how a company safeguards data. SOC 2 focuses on five trust service principles: security, availability, processing integrity, confidentiality and privacy. 

There are two types of reports: 

  • SOC 2 Type 1 examines whether the necessary controls are designed and in place. 

  • SOC 2 Type 2 evaluates whether those controls are functioning effectively over time. 

For any company working with sensitive data or seeking to do business with enterprise clients, a SOC 2 Type 2 certification is increasingly non-negotiable. It's often required in vendor assessments, funding rounds and regulatory audits. 

Who Needs SOC 2 Compliance? 

Short answer: every business that handles customer or third-party data—from tech startups to cloud providers, financial services firms to healthcare platforms. 

  • Startups need SOC 2 to gain trust and credibility quickly. 

  • Growing companies need it to break into enterprise accounts and expand. 

  • Established businesses need it to maintain client trust, reduce legal risk and streamline other regulatory requirements like HIPAA, GDPR or ISO/IEC 27001. 

The Certification Journey: What to Expect 

SOC 2 isn’t an overnight process—it’s a strategic investment that typically takes 8 to 18 months. Here’s how the process generally unfolds: 

1. Baseline and Gap Assessment (≈ 3 months) 

Identify gaps, align internal systems and lay the foundation for formal controls. 

2. SOC 2 Type 1 Audit (≈ 6 months) 

Create and document your governance program and implement security policies. 

3. Operational Period for Type 2 (6+ months) 

Demonstrate that your controls are working. Collect evidence of compliance in real time. 

4. SOC 2 Type 2 Audit (≈ 3 months) 

A third-party auditor reviews your documentation and performance. If successful, you're awarded the certification. 

This process not only builds a resilient infrastructure—it also sets a clear roadmap for sustainable growth and compliance. 

The Business Case for SOC 2 Compliance 

1. Win Business and Close Bigger Deals 

More customers—especially enterprise-level ones—are requiring SOC 2 reports before signing contracts. Without it, you may not even make the shortlist. 

2. Attract and Retain Investors 

Investors see SOC 2 compliance as a sign of maturity and operational control. It's often part of due diligence especially for late-stage or high-growth companies. 

3. Lower Your Risk 

SOC 2 provides a framework for protecting sensitive data and managing risk—reducing your exposure to costly breaches, lawsuits and brand damage. 

4. Operational Efficiency and Internal Clarity 

SOC 2 forces teams to document policies, implement structure and align on processes. This improves not only security but company-wide efficiency. 

5. Prepare for Future Compliance Needs 

SOC 2 sets the foundation for other certifications, including HIPAA for health-related businesses or ISO/IEC 27001 for broader security management. 

SOC 2 Is Not One-and-Done 

SOC reports typically cover a 12-month period, and controls must be re-evaluated regularly to maintain validity. Investors and customers may be wary of reports older than a year, which is why ongoing reviews and annual audits are the norm. Compliance is a journey, not a one-time sprint. 

Inversion6 Makes SOC 2 Simple 

Whether you're just starting out or fine-tuning an existing security program, Inversion6 brings deep expertise and a 100% SOC 2 success rate to the table. 

We support businesses at any stage of the SOC 2 process: 

  • Scoping your compliance journey 

  • Designing controls and documentation 

  • Preparing for and navigating audits 

  • Proving performance over time 

Our team of seasoned CISOs understands the challenges from both sides—implementation and oversight. We simplify the technical and regulatory complexity so you can focus on running your business. 

Shape 

Let’s Get You Certified. 
Contact Inversion6 today to start your SOC 2 journey—whether you're building your first controls or refining your enterprise-level security program. 

 

Post Written By: Jack Nichelson
Jack Nichelson is a Chief Information Security Officer for Inversion6 and a technology executive with 25 years of experience in the government, financial and manufacturing sectors. His roles have included leading transformation and management of information security and IT infrastructure, data management and more for organizations in numerous industries. Jack earned recognition as one of the “People Who Made a Difference in Security” by the SANS Institute and received the CSO50 award for connecting security initiatives to business value. Jack holds an Executive MBA from Baldwin-Wallace University, where he is an adviser for its Collegiate Cyber Defense Competition (CCDC) team. He is certified in the following: CISSP, GCIH, GSLC, CRISC, CCNP, CCDA, CCNA and VCP.

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