complianceNovember 21, 2025Sameer Shrestha

SOC 2 vs ISO 27001: Which One Should Your Startup Do First?

Stuck Between SOC 2 and ISO 27001? Here’s the Truth No One Tells You

If you're building a SaaS startup, chances are you've already felt the pressure:

A customer asks, “Are you SOC 2 compliant?”
Another asks, “Do you have ISO 27001?”
And suddenly… you're on Google trying to understand two frameworks that look the same but definitely are not.

‍Here’s what most founders do:

They guess.
They pick the wrong one.
And they spend months doing unnecessary work.

‍Let’s fix that.

‍This guide explains SOC 2 and ISO 27001 in plain English, shows who each one is really made for, and helps you choose the right starting point based on your startup’s goals, not generic compliance advice.‍

SOC 2 Explained Like You’re a Startup Founder
What SOC 2 actually is?

SOC 2 is an audit that proves your startup keeps customer data safe.
But here’s the part most people miss:

SOC 2 is NOT a certification, it’s a report.
And it’s designed specifically for cloud-based SaaS companies.

It evaluates whether your security controls work in real life, not just on paper.

SOC 2 is built around the Trust Services Criteria, which include:

  • Security (mandatory)
  • Availability
  • Confidentiality
  • Processing Integrity
  • Privacy

Most startups only choose the Security category for their first SOC 2, and that’s totally fine.

Who SOC 2 is really For?

Think of SOC 2 as the “golden ticket” for SaaS startups selling to the U.S. market.

Choose SOC 2 if:

  • You're selling B2B SaaS
  • Your customers are primarily in North America
  • Enterprise sales are getting blocked because you don’t have it
  • You need something fast to move deals forward

If the phrase “We need SOC 2 before we sign” has ever landed in your inbox, SOC 2 is your framework.

ISO 27001: The Framework for Startups With Global Ambition

What ISO 27001 really means?

ISO 27001 isn’t an audit report, it’s a full security management system.
If SOC 2 tells customers “We are secure,” ISO 27001 tells them:

“We have a long-term, structured, globally recognized security program.”

It covers:

  • Risk assessments
  • Policies
  • People processes
  • Technical controls
  • Continuous improvement

ISO forces you to think like a mature organization, not a scrappy startup duct-taping policies together.

Who ISO 27001 is built for?

ISO 27001 is the right move if:

  • You’re selling globally (especially Europe or Asia)
  • You handle sensitive, regulated, or international data
  • Large enterprises or government agencies are your target
  • You want a structured ISMS that scales

If you're thinking big and global ISO 27001 is the foundation.

SOC 2 vs ISO 27001: What’s the Real Difference?

Both build trust.
Both win deals.
But they serve different missions.‍

How to decide what to do first?

Here is the decision-making framework founders love:

1. Are your customers mostly in the U.S.? → Do SOC 2 first.

SOC 2 has become the standard for B2B SaaS in North America.

If your sales team is hearing “We need SOC 2 before closing,” the decision is simple.

2. Selling globally or handling EU data? → ISO 27001 first.

ISO is recognized in 160+ countries and aligns well with GDPR.

If you want global credibility → ISO.

3. Need something fast to unlock deals? → SOC 2 first.

SOC 2 Type I can be completed quickly with the right automation.

4. Want a long-term security program? → ISO 27001 first.

ISO builds a structure (ISMS) that powers every other compliance framework.‍

5. Eventually need both? (Most scaling startups do.)

Then here’s the ideal path:

If you're early stage →

SOC 2 → ISO 27001

If you're mid/late stage →

ISO 27001 → SOC 2

Either way, ZeroTB makes both much easier, more on that below.

What About Cost & Timeline? Here’s the Startup Reality?

SOC 2 Timeline

  • Type I: 2–4 weeks
  • Type II: 3–12 months

ISO 27001 Timeline

  • 3–6 months (implementation + certification)

Ready to Pick the Right Framework?

ZeroTB Makes It Easy.

Whether you start with SOC 2 or ISO 27001, ZeroTB helps you:

  • Automate policies
  • Map controls
  • Collect evidence
  • Stay audit-ready 365 days a year

Start your free ZeroTB account today and cut your compliance prep time by up to 70%.