A lot of fast-growing companies face the ISO 27001 vs SOC 2 debate when deciding which type of compliance to pursue. And it’s a tough decision to make — partly because the two frameworks are so similar.

Both frameworks:

• Prove to clients that you can be trusted with their data
• Cover foundational security principles like data integrity, availability, and confidentiality
• Require an independent audit by a certified third party
• Need significant time, effort, and money to achieve

Are you better off pursuing ISO 27001 certification or a SOC 2 report? Which holds more weight with your customers? Is one more difficult to get than the other?

Check out this video for a quick answer to if ISO 27001 or SOC 2 is the right fit for your organization.

Or use this SOC 2 vs ISO 27001 comparison to understand the key differences between the two frameworks to help you decide.

ISO/IEC 27001 explained

ISO/IEC 27001:2022 is the international standard for building, maintaining, and continuously improving an information security management system (ISMS).

It requires organizations to establish formal policies and processes for managing information security risks. To become certified, a company must undergo an external two-stage audit from an accredited certification body.

The 2022 revision streamlined the number of Annex A controls from 114 to 93, grouped into four categories: Organizational, People, Physical, and Technological. The update reflects modern security challenges, including cloud services, remote work, and threat intelligence.

Certification is valid for three years, with annual surveillance audits required to maintain compliance.

SOC 2 explained

SOC 2 (System and Organization Controls 2) is an auditing framework developed by the American Institute of Certified Public Accountants (AICPA).

It evaluates how a service organization manages data using the Trust Services Criteria (TSC): security, availability, processing integrity, confidentiality, and privacy.

Unlike ISO/IEC 27001, which is international, SOC 2 is more common in North America.

There are two types of SOC 2 reports:

• SOC 2 Type I: Evaluates the design of security controls at a specific point in time.
• SOC 2 Type II: Evaluates the effectiveness of those controls over a defined period (usually 6–12 months).

SOC 2 assessments must be performed by a licensed CPA firm.

Key differences: ISO 27001 vs SOC 2

While ISO/IEC 27001 and SOC 2 share the goal of proving strong data security practices, they differ in structure, scope, and global recognition. Understanding these distinctions can help you decide which framework better fits your business needs and customer expectations.

Let's break down the most important differences side by side.

Scope and purpose

• ISO/IEC 27001 requires companies to build and maintain a holistic ISMS, embedding information security into organizational culture.
• SOC 2 focuses on demonstrating that a company’s existing controls meet the AICPA Trust Services Criteria.

Audit process

• ISO/IEC 27001 certification requires a two-stage external audit by an accredited certification body, with surveillance audits each year.
• SOC 2 requires an independent audit from a licensed CPA firm. Type I audits assess design; Type II audits assess operating effectiveness over time.

Report validity

• ISO/IEC 27001 certification lasts three years (with surveillance audits annually).
• SOC 2 reports are valid for 12 months and must be renewed each year.

Global recognition

• ISO/IEC 27001 is widely recognized internationally and often required by enterprises worldwide.
• SOC 2 is primarily recognized in North America, though increasingly accepted globally for SaaS and cloud providers.

Framework structure

• ISO/IEC 27001 sets requirements for an ISMS and includes 93 Annex A controls.
• SOC 2 is principles-based and evaluated against the Trust Services Criteria, with flexibility to adapt controls to the organization.

Which framework should you choose?

Deciding between ISO/IEC 27001 and SOC 2 isn’t just about which one seems easier to achieve. It’s about which standard aligns with your customers, your market, and your growth goals. Both frameworks prove that you take security seriously, but they do so in slightly different ways.

If your customer base is primarily in North America, especially if you’re a SaaS company or IT services provider, a SOC 2 report may be the fastest way to earn trust and win deals. SOC 2 is widely recognized by U.S. companies and is often a standard expectation in B2B sales conversations.

On the other hand, if you’re targeting international markets (particularly Europe, Asia, or global enterprises) ISO/IEC 27001 certification will likely carry more weight. Many multinational corporations treat ISO standards as the benchmark for vendor due diligence.

That said, there isn’t always a strict either/or. Some organizations pursue both SOC 2 and ISO/IEC 27001 to cover all bases. The good news is that the frameworks overlap significantly, so once you’ve achieved one, the path to the other is shorter and less resource-intensive.

To help guide your decision, here are some questions you can ask:

• Who are our customers today, and where are we planning to expand?
• Do prospects or partners explicitly ask for SOC 2 or ISO/IEC 27001?
• Is our sales team losing deals because we can’t show a security certification?
• Do we need an internationally recognized certification (ISO) or a U.S.-centric audit report (SOC 2)?
• What level of ongoing effort can we dedicate to maintaining certification or renewing reports?
• Would achieving one framework give us a strategic advantage over competitors in our industry?

If your growth strategy is global, ISO/IEC 27001 certification is often the smarter long-term investment. If your customer base is mostly U.S.-based tech companies, SOC 2 may be all you need. And if you want to maximize credibility with the broadest possible audience, pursuing both frameworks can eliminate security concerns in any sales cycle.