What is ISO 27001 and how is it different from SOC 2?

Key Differences

Aspect	SOC 2	ISO 27001
Origin	US (AICPA)	International (ISO/IEC)
Type	Attestation report	Formal certification
Auditor	CPA firm	Accredited certification body
Focus	Specific controls against TSC	Information Security Management System (ISMS)
Duration	Report valid for 12 months	Certificate valid for 3 years (annual surveillance)
Approach	Test controls → issue report	Implement ISMS → certify
Recognition	Primarily US and North America	Global, especially EU and Asia
Cost	$10K-$25K (auditor)	$15K-$40K (certification body)
Timeline	3-6 months (first time)	6-12 months (first time)

When to Choose SOC 2

• Your customers are primarily US-based
• Enterprise buyers ask for "SOC 2" specifically
• You want a faster, less formal process
• You're a startup with limited budget and need to move quickly

When to Choose ISO 27001

• Your customers are international (EU, UK, Asia-Pacific)
• Buyers specifically ask for ISO 27001
• You want a 3-year certification instead of annual reports
• You're pursuing government or highly regulated contracts

Control Overlap

About 70-80% of controls overlap between SOC 2 and ISO 27001. If you implement one, pursuing the other is significantly easier. Key shared areas:

• Access control
• Change management
• Risk assessment
• Incident response
• Vendor management
• Data protection

The Common Path for Startups

Most US B2B SaaS startups start with SOC 2 because US enterprise buyers ask for it first. If international expansion creates ISO 27001 demand, they add it later — reusing 70-80% of their SOC 2 controls and evidence.