ISO 27001 vs SOC 2

Which certification does your business actually need? Here is an honest cost and scope comparison to help you decide.

Updated 26 March 2026

Which Should You Choose?

Scenario

Selling to European enterprise or government

Recommendation: ISO 27001

European procurement processes frequently require ISO 27001 certification. SOC 2 is often not recognised or accepted.

Scenario

Selling US SaaS to enterprise buyers

Recommendation: SOC 2 Type II

US enterprise security reviews almost always request SOC 2 Type II. ISO 27001 is seen as a bonus but rarely a requirement.

Scenario

Global SaaS or cloud platform

Recommendation: Both ISO 27001 + SOC 2

Pursuing both maximises deal velocity in all markets. The controls overlap significantly, so the combined incremental cost is lower than doing each independently.

Scenario

UK-based business, any sector

Recommendation: ISO 27001 first

Post-Brexit, the UK retained ISO 27001 as its standard for government supply chains (Cyber Essentials Plus is the lighter-touch alternative). SOC 2 has limited traction in UK procurement.

Scenario

Healthcare (US HIPAA environment)

Recommendation: SOC 2 + HIPAA BAA

HIPAA requires Business Associate Agreements. SOC 2 with Privacy TSC demonstrates compliance to US healthcare buyers more directly than ISO 27001.

Scenario

Defence or national security supply chain

Recommendation: ISO 27001 (check CMMC/DSPF requirements)

Defence supply chains in the UK, EU, and Australia mandate ISO 27001. US defence requires CMMC, which is a separate framework above and beyond both standards.

Detailed Comparison

Attribute

ISO 27001

SOC 2

Origin and recognition

International standard (ISO/IEC). Recognised globally, required by many European procurement teams.

US-originated (AICPA). Standard for US enterprise SaaS sales and cloud service providers.

What it covers

Information security management system (ISMS) across all information assets - people, processes, and technology.

Security controls at a service organisation specifically covering security, availability, processing integrity, confidentiality, and privacy.

Output

A certificate from an accredited certification body, valid for 3 years with annual surveillance audits.

An attestation report (Type I or Type II) from a licensed CPA firm. Not a certification - it is an audit opinion.

Audit frequency

Year 1: certification audit. Year 2 and 3: surveillance audits. Year 3: recertification audit.

Type I is a point-in-time assessment. Type II covers a period (typically 6-12 months). Renewed annually.

Cost range (small org)

$15,000-$50,000 first year. $5,000-$20,000 annual surveillance.

$20,000-$60,000 for Type II. $10,000-$30,000 annual renewal.

Cost range (mid-market)

$50,000-$150,000 first year. $20,000-$60,000 annual surveillance.

$40,000-$120,000 for Type II. $25,000-$70,000 annual renewal.

Timeline

6-18 months for first certification, depending on size and maturity.

3-6 months for Type I. 9-15 months for Type II (including observation period).

Controls framework

ISO 27001 Annex A: 93 controls across 4 themes (Organisational, People, Physical, Technological).

AICPA Trust Services Criteria. Security TSC is mandatory; others are optional based on scope.

Who issues it

Accredited certification bodies (BSI, Bureau Veritas, DNV, Lloyds Register, TUV, LRQA, etc.).

Licensed CPA firms with AICPA membership and relevant SSAE 18 authority.

Best for

Companies selling into Europe, government, finance, healthcare, or any regulated sector. General-purpose security credibility.

US SaaS companies selling to enterprise buyers, especially in tech, fintech, and cloud services.

Cost at a Glance

Small (under 50 staff)

ISO 27001$15k-$50k
SOC 2 Type II$20k-$60k
Both combined$30k-$80k

Mid-Market (50-250 staff)

ISO 27001$50k-$150k
SOC 2 Type II$40k-$120k
Both combined$70k-$200k

Large (250+ staff)

ISO 27001$150k-$500k+
SOC 2 Type II$80k-$250k
Both combined$180k-$600k

First-year costs only. When pursuing both, overlap in controls and evidence collection typically saves 25-35% versus two fully independent implementations.

Not sure which is right for your business?

Use the calculator to estimate your ISO 27001 cost, or get a free 30-minute scoping call to map out the right certification path.