For growing companies, achieving SOC 2 compliance can build trust with customers, partners, and stakeholders. But when it comes to choosing between a Type 1 and Type 2 report, many organizations aren’t sure where to start. In this article, Boulay’s Risk Advisory team highlights the differences between the two types and more importantly, why a SOC 2 report matters.
Type 1: A Snapshot in Time
A SOC 2 Type 1 report evaluates the design of your security controls at a specific point in time. It answers the question: Are the right controls in place today? It’s often the first step for organizations early in their compliance journey or preparing for rapid growth. Type 1 reports are faster to complete and ideal for demonstrating initial commitment to security and compliance.
Type 2: Proof Over Time
A SOC 2 Type 2 report goes further. It tests whether your controls operate effectively over a defined period, typically three to twelve months. Type 2 provides deeper assurance to customers and partners by answering: Do your controls work consistently in practice?
Why the Difference Matters
If your customers expect long-term operational excellence, they’ll likely ask for a Type 2 report. It demonstrates maturity, reliability and a culture of compliance. While Type 1 can be a great starting point, many companies eventually pursue Type 2 to stay competitive in regulated or security-sensitive industries.
Connect with our SOC 2 Professionals
Both SOC 2 Type 1 and Type 2 play key roles in a company’s risk management and compliance strategy. Choosing the right one depends on your stage of growth, customer expectations and internal resources. For many organizations, Type 1 is a gateway to a more robust, Type 2-compliant future.
Need help assessing your SOC 2 readiness? Our Risk Advisory team can guide you through the process—from planning to audit prep to long-term compliance support. To learn more about our SOC reporting and ISO 27001 certification services, connect with us today.