Introduction

For B2B SaaS Providers, securing Client trust is essential in a competitive landscape. Achieving SOC 2 Type 2 Certification is one of the most credible ways to prove Data Protection capabilities. However, a critical & recurring concern for many companies is: How much does SOC 2 Type 2 Certification cost?

This article offers a practical & detailed exploration of the various costs associated with SOC 2 Type 2 Certification. We will break down the typical expenses, identify hidden charges & provide cost-saving strategies tailored to B2B SaaS businesses.

Understanding SOC 2 Type 2 Certification

SOC 2 Type 2 Certification evaluates how effectively a company implements & maintains its Security Controls over a defined period, typically between three (3) and twelve (12) months. Created by the American Institute of Certified Public Accountants [AICPA], the certification assesses adherence to five (5) trust principles: security, availability, processing integrity, confidentiality & Privacy.

Unlike SOC 2 Type 1, which looks at design effectiveness at a specific point in time, Type 2 tests the ongoing operational effectiveness of controls. This makes Type 2 more rigorous and, naturally, more costly.

Why SOC 2 Type 2 Matters for B2B SaaS Providers/

In the B2B SaaS space, Data Security is non-negotiable. Customers & partners increasingly demand SOC 2 Type 2 Certification as a baseline requirement before entering into agreements. It proves that your Organisation has mature, reliable systems to safeguard User data.

Aside from trust-building, SOC 2 Type 2 Certification enables quicker procurement cycles, reduces the need for repetitive Security Assessments & demonstrates Compliance maturity.

So, how much does SOC 2 Type 2 Certification cost? Let’s explore the cost elements.

Key Cost Components in SOC 2 Type 2 Certification

There is no one-size-fits-all cost for certification. The answer to how much does SOC 2 Type 2 Certification cost depends on several variables: company size, current Compliance posture, chosen Audit firm & supporting tools. Broadly, the expenses fall under these categories:

• Internal preparation & readiness
• External Audit & assessment
• Technology & tooling
• Staff training & resource allocation
• Ongoing Compliance & renewal

Internal Preparation & Readiness Costs

Preparation is often underestimated. Companies must identify control gaps, document Policies, implement procedures & train Employees. This can involve engaging consultants, virtual Chief Information Security Officers [vCISOs], or internal Compliance leads.

Depending on complexity, readiness costs for small to mid-sized SaaS firms range between $ 10,000 & $ 30,000. This phase includes:

• Gap assessments
• Risk evaluations
• Policy creation
• Control implementation

Audit Firm Selection & Audit Fees

The centerpiece of the Certification Process is the Audit itself. Engaging a licensed CPA firm is mandatory. Audit fees vary based on Organisation size, system complexity, scope & duration of the Audit period.

For B2B SaaS companies, typical ranges are:

• Small firms: $ 10,000 to $ 20,000
• Mid-sized firms: $ 15,000 to $ 30,000

Some auditors may charge more if the environment includes multiple services, geographies or Third Party integrations.

Technology & Tooling Expenses

To streamline SOC 2 processes, many SaaS companies invest in Compliance platforms & automation tools. These tools assist with Evidence Collection, monitoring, Access Controls, asset management & alerting.

Annual tooling costs usually fall between $ 5,000 & $ 20,000. Companies using DevOps pipelines or Infrastructure as Code [IaC] can reduce manual effort with integrations & automated control validations.

Hidden & Recurring Costs

Beyond Audit & preparation, hidden costs can significantly affect how much SOC 2 Type 2 Certification costs. These include:

• Employee Training Programs
• Time spent by internal teams on documentation & reviews
• External remediation efforts if gaps are found
• Legal reviews of controls & Policies

Also, SOC 2 Type 2 Certification must be renewed annually, which includes additional Audit cycles & continued operational overhead.

Cost-Saving Tips for SOC 2 Type 2 Compliance

While the total cost can be high, several practical strategies can help reduce expenses:

• Leverage open-source tooling where feasible
• Start with SOC 2 Type 1 as a foundational exercise
• Use shared responsibility models in cloud platforms
• Bundle Compliance initiatives, like pairing SOC 2 with ISO 27001
• Pre-select auditors familiar with SaaS infrastructure to reduce review time

Careful project planning & early-stage investment in scalable systems can also reduce long-term costs.

Is SOC 2 Type 2 Certification Worth the Investment?

Despite the cost, SOC 2 Type 2 Certification offers strong ROI for SaaS companies. It enhances market credibility, reduces security friction during Client onboarding & streamlines Compliance workflows. For companies targeting enterprise customers or regulated sectors, it’s often a prerequisite.

Ultimately, how much does SOC 2 Type 2 Certification cost should be viewed not just as an expense, but as a strategic investment in trust & long-term growth.

Takeaways

• SOC 2 Type 2 Certification typically costs between $ 10,000 & $ 30,000
• Expenses vary based on Audit scope, internal readiness & supporting technologies
• Hidden costs & ongoing renewal fees must be factored into budgeting
• Effective planning & smart tooling choices can significantly lower costs

FAQ

Need help? 

Neumetric provides organisations the necessary help to achieve their Cybersecurity, Compliance, Governance, Privacy, Certifications & Pentesting goals. 

Organisations & Businesses, specifically those which provide SaaS & AI Solutions, usually need a Cybersecurity Partner for meeting & maintaining the ongoing Security & Privacy needs & requirements of their Clients & Customers. 

SOC 2, ISO 27001, ISO 42001, NIST, HIPAA, HECVAT, EU GDPR are some of the Frameworks that are served by Fusion – a centralised, automated, AI-enabled SaaS Solution created & managed by Neumetric. 

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