Introduction

SOC 2 has become a benchmark in security & compliance conversations, especially in the SaaS world. But many Organisations outside the Software-as-a-Service model are asking: Is SOC 2 only for SaaS businesses?

The short answer is no. While SOC 2 reports are most commonly associated with SaaS Providers, their applicability is much broader. Any organisation that stores, processes or transmits Customer Data in the cloud-or provides services that impact clients’ Information Security can benefit from SOC 2 compliance.

This article explores the true scope of SOC 2, who it’s for & why it matters beyond just SaaS companies.

What is SOC 2?

SOC 2 (System & organisation Controls 2) is a Security Framework developed by the American Institute of Certified Public Accountants (AICPA). It assesses a company’s controls related to five (5) Trust Services Criteria:

• Security
• Availability
• Processing Integrity
• Confidentiality
• Privacy

The purpose of SOC 2 is to verify that an organisation handles Customer Data in a secure, controlled & Privacy conscious way. It’s validated through an Audit by an independent CPA Firm & results in either a Type I (design of controls) or Type II (operating effectiveness over time) report.

Why SaaS Companies Are Closely Associated with SOC 2?

SaaS companies are often early adopters of SOC 2 compliance due to:

• Cloud-native environments: SaaS platforms operate primarily in the cloud & manage sensitive Customer Data.
• High Customer expectations: Enterprise clients often demand a SOC 2 Report as a condition for doing business.
• Recurring revenue models: Trust & long-term Client relationships are critical & SOC 2 demonstrates a commitment to security.

Because of these factors, SOC 2 has become almost a default expectation for B2B SaaS vendors.

Is SOC 2 Only for SaaS Companies?

No, SOC 2 is not exclusive to SaaS. The Framework is applicable to any service organisation that manages or impacts Client data, especially in a cloud or technology-driven context.

Industries That Can Pursue SOC 2:

• Managed Service Providers (MSPs)
• Data Analytics Platforms
• Cloud Hosting Providers
• Payment Processors
• Healthcare Technology Companies
• HR Tech & Payroll Firms
• AI/ML Service Platforms
• IoT & Edge Computing Vendors

Any third party whose systems interact with Customer Data may be asked to provide SOC 2 attestation.

Key Use Cases Outside of SaaS

1. Healthcare Tech (HIPAA + SOC 2)

Healthtech startups that integrate with hospitals or insurance providers often pursue both HIPAA compliance & SOC 2 to prove robust security across their platforms.

2. Fintech Companies

Even if not pure SaaS, Fintech companies offering API-driven services, payment rails or Risk analysis tools need SOC 2 to demonstrate data integrity & operational controls.

3. BPO & Outsourcing Firms

Organisations providing Customer service, data entry or back-office support frequently handle sensitive Client data. SOC 2 compliance ensures their processes are secure.

4. AI/ML as a Service

AI platforms ingest vast datasets-often proprietary or regulated. SOC 2 reassures clients about how that data is used, stored & protected.

Benefits of SOC 2 for Non-SaaS Businesses

Even outside the SaaS realm, SOC 2 delivers clear value:

• Improved internal security posture
• Competitive advantage during RFPs
• Faster procurement cycles with enterprises
• Customer Trust & credibility
• Streamlined compliance with other regulations (e.g., ISO 27001, GDPR)

It can also serve as a baseline for Risk Management & security maturity as the business scales.

When SOC 2 Might Not Be Necessary?

While broadly applicable, SOC 2 may not be the right fit for:

• Retail or consumer businesses with no B2B service component.
• On-premise service providers who don’t process or host Client data.
• Very early-stage startups with minimal infrastructure or Client data flows.

In such cases, other compliance paths (e.g., PCI DSS, ISO 27001 or simply a security assessment) might be more appropriate.

Takeaways

• SOC 2 is not limited to SaaS. 
• It’s a versatile Framework relevant to any technology-driven organisation that stores or processes sensitive Customer Data.
• Whether you’re a data processing vendor, cloud platform, Fintech startup or Healthcare BPO, SOC 2 compliance can enhance your trust profile, speed up deals & support growth-regardless of whether you are offering software as a service.

FAQs

Need help for Security, Privacy, Governance & VAPT? 

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

Organisations & Businesses, specifically those which provide SaaS & AI Solutions in the Fintech, BFSI & other regulated sectors, usually need a Cybersecurity Partner for meeting & maintaining the ongoing Security & Privacy needs & requirements of their Enterprise Clients & Privacy conscious Customers. 

SOC 2, ISO 27001, ISO 42001, NIST, HIPAA, HECVAT, EU GDPR are some of the Frameworks that are served by Fusion – a SaaS, multimodular, multitenant, centralised, automated, Cybersecurity & Compliance Management system. 

Neumetric also provides Expert Services for technical security which covers VAPT for Web Applications, APIs, iOS & Android Mobile Apps, Security Testing for AWS & other Cloud Environments & Cloud Infrastructure & other similar scopes. 

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