SOC 2 Type 1 Requirements Explained

Quick Answer: SOC 2 Type 1 requires your organization to design and document security controls that satisfy the AICPA's Trust Services Criteria as of a specific point in time. You need to demonstrate that the right controls exist and are properly designed, covering at minimum the Security criterion, with optional criteria for Availability, Confidentiality, Processing Integrity, and Privacy.

SOC 2 Type 1 evaluates whether your security controls are properly designed at a single point in time. At minimum, you must satisfy the Security criterion, which includes dozens of individual control requirements across access management, risk assessment, monitoring, and incident response. Meeting these requirements is more involved than most organizations expect, and the documentation burden alone can stall unprepared teams.

This page breaks down exactly what SOC 2 Type 1 requires, where companies get stuck, and what your options are for getting through the process without losing months of productivity.

Key Takeaways

• SOC 2 Type 1 assesses whether your security controls are properly designed as of a specific date, not whether they have been operating over time.
• The Security criterion is mandatory for all SOC 2 reports, while Availability, Confidentiality, Processing Integrity, and Privacy are optional based on your service commitments.
• Most organizations complete SOC 2 Type 1 in one to three months once controls and documentation are in place, though readiness gaps can extend that timeline significantly.
• Building SOC 2 compliance in-house typically requires at least one dedicated hire at $84,000 to $132,000 per year, plus months of ramp-up time before any audit-ready work begins.
• A managed compliance partner handles the design, documentation, and auditor coordination for you, often at a lower total cost than a single internal hire.

What Are SOC 2 Type 1 Requirements?

SOC 2 Type 1 requirements are defined by the AICPA's Trust Services Criteria (TSC), which serve as the standard against which your controls are evaluated. The Security criterion, also called the Common Criteria, is required for every SOC 2 report. The remaining four criteria are optional and selected based on what your organization has committed to in its service agreements.

Here is a breakdown of each criterion and what it covers:

For Type 1 specifically, the auditor evaluates whether your controls are suitably designed to meet each applicable criterion as of the report date. This is different from Type 2, which tests whether those controls actually operated effectively over a six to twelve month period.

The Security criterion alone contains 33 Common Criteria organized across nine categories, including logical access, system operations, change management, and risk mitigation. If you add optional criteria, the total number of applicable controls increases. For a detailed look at SOC 2 Trust Services Criteria, the AICPA publishes the full criteria set, and BEMO's compliance team can help you determine which apply to your business.

Challenges Companies Face When Getting SOC 2 Compliant

Most companies underestimate what SOC 2 Type 1 actually demands before they start. The audit itself is just the last step in a process that touches nearly every part of your organization.

• Underestimating scope: The Security criterion alone requires dozens of documented controls, and most organizations have significant gaps in policies, access management, or monitoring before they begin.
• No internal expertise: SOC 2 preparation spans IT, security, legal, and HR. Very few small or mid-size companies have staff with deep experience across all four areas simultaneously.
• Auditor back-and-forth: Even after you believe your controls are ready, auditors frequently request additional evidence or clarification, which can push your timeline out by weeks.
• Tool sprawl: Selecting, configuring, and integrating the right security and GRC tools is its own project. Getting Drata or a similar platform connected to your environment takes time and technical skill.
• Choosing the right TSC scope: Deciding which optional criteria to include is not always straightforward. Including too many adds work; excluding relevant ones can weaken your report's value to customers.
• Evidence collection volume: Even for Type 1, you need documented proof that each control exists and is designed correctly. Pulling that evidence together without automation is time-consuming and error-prone.

What Does It Take to Meet SOC 2 Type 1 Requirements?

Getting to a Type 1 report means building a control environment that an independent auditor can evaluate and attest to. The work spans several distinct areas, and each one has its own complexity.

Documentation and Policy Development

You need written policies covering every area the TSC touches, including access control, incident response, risk management, vendor management, and acceptable use. These cannot be generic templates pulled from the internet. Your policies need to reflect how your actual systems and processes work. BEMO creates 18 or more IT policies during implementation to make sure this foundation is solid before any audit work begins.

Technical Controls and Tooling

The Security criterion requires concrete technical controls, not just written policies. You need multi-factor authentication, role-based access controls, encryption at rest and in transit, intrusion detection, and logging across your environment. Configuring these correctly in Microsoft 365, Entra ID, Intune, and Defender takes real engineering time and expertise.

Auditor Coordination and Evidence Collection

Once your controls are in place, you need to collect and organize evidence that proves they exist. For Type 1, this means screenshots, configuration exports, policy documents, and access reviews tied to a specific date. Working with an auditor partner like Sensiba, A-LIGN, or Johanson Group requires clear communication and organized submissions to avoid delays.

Staff Training and Awareness

Your people are part of the control environment. Employees need documented security awareness training, and you need records showing completion. This is often an afterthought, but auditors look for it. Tools like KnowBe4 make this trackable and repeatable.

In-House vs Managed: Approaches to SOC 2 Compliance

There is no single right way to pursue SOC 2 Type 1. Your best path depends on your team's existing capabilities, your timeline, and how much internal bandwidth you can realistically dedicate to compliance work.

The DIY path gives you full control but demands significant internal investment. A GRC platform like Drata or Vanta automates evidence collection, but you still own the engineering, policy work, and auditor relationship. A managed compliance partner handles all of that on your behalf, which matters most if your team is already stretched or if you are working toward a deadline tied to a customer contract.

Getting Started With SOC 2 Compliance

If you are ready to move forward, the process breaks down into four clear steps:

1. Book a GAP Assessment: Evaluate your current security posture against SOC 2 Type 1 requirements and identify which controls are missing or incomplete.
2. Get Your Implementation Roadmap: Receive a prioritized plan that covers which controls to build, which tools to deploy, which policies to write, and what your realistic timeline looks like.
3. Deploy Controls: Stand up the technical controls, configure your environment, implement GRC automation, and complete all required documentation.
4. Achieve and Maintain Compliance: Coordinate with your auditor to complete the Type 1 assessment, then put ongoing monitoring and maintenance in place to stay ready for Type 2.

Why Choose BEMO for SOC 2 Compliance

The challenges covered above, from documentation gaps to auditor back-and-forth to tool configuration, are exactly where most in-house efforts stall. BEMO's SOC 2 compliance service is built to handle all of it without putting the burden back on your team.

Here is what working with BEMO looks like in practice:

• Dedicated team assigned to your account: You get a Customer Success Manager, Project Manager, Delivery Engineer, Security Engineer, SOC Analyst, IT Manager, Support Engineer, and virtual CISO working on your compliance program.
• Microsoft-native security stack: BEMO deploys and configures M365, Entra ID, Purview, Microsoft Sentinel, Intune, and Defender as the technical foundation for your controls.
• BEMO is certified themselves: BEMO holds SOC 2 Type 2 and ISO 27001 certifications, so they are not guiding you through a process they have not completed themselves.
• GRC automation with hands-on management: BEMO uses Drata for automated evidence collection, but their compliance engineers actively manage it rather than leaving you to figure it out.
• Full auditor coordination: BEMO works directly with auditor partners including Sensiba, A-LIGN, and Johanson Group on your behalf, managing the evidence submission and review cycles.
• Cost advantage: Starting at approximately $4,800 per month, BEMO's full-service model costs less than hiring a single compliance professional at $84,000 to $132,000 per year, and you get an entire team from day one.
• Proven track record: BEMO has been named to the Inc. 5000 four consecutive years and was featured by Satya Nadella at the Microsoft Secure 2024 Summit.

Start Your SOC 2 Type 1 Compliance Journey

BEMO assigns a dedicated team to your account and owns the outcome of getting you compliant. You do not manage the process alone.

Book a meeting with BEMO to get a GAP assessment and see exactly where you stand against SOC 2 Type 1 requirements.

Frequently Asked Questions About SOC 2 Type 1 Requirements

What Are the SOC 2 Type 1 Requirements Exactly?

SOC 2 Type 1 requirements are based on the AICPA's Trust Services Criteria. The Security criterion is mandatory and covers 33 Common Criteria across access management, risk assessment, system monitoring, change management, and incident response. Optional criteria for Availability, Confidentiality, Processing Integrity, and Privacy may also apply depending on your service commitments. The auditor evaluates whether your controls are suitably designed as of a specific date.

How Is SOC 2 Type 1 Different From Type 2?

The core difference is time. A Type 1 report assesses whether your controls are properly designed at a single point in time. A Type 2 report goes further by testing whether those controls operated effectively over a six to twelve month observation period. Most organizations pursue Type 1 first to establish their control environment, then progress to Type 2 to satisfy enterprise customer requirements.

How Long Does It Take to Complete SOC 2 Type 1?

Once your controls and documentation are in place, the actual audit for Type 1 can move quickly. The preparation phase, meaning building controls, writing policies, and configuring tools, typically takes one to three months if you are starting from a reasonably mature security posture. Organizations with significant gaps may need more time. Working with a managed compliance partner can compress this timeline by removing the back-and-forth that slows most teams down.

What Does a SOC 2 GAP Assessment Include?

A GAP assessment compares your current security controls against the applicable Trust Services Criteria and identifies what is missing or incomplete. It covers your IT infrastructure configuration, access control practices, policy documentation, monitoring capabilities, and vendor management processes. The output is a prioritized list of what needs to be built or fixed before an auditor can issue a clean report.

Do Small Businesses Need SOC 2 Type 1?

SOC 2 is not legally required, but it is increasingly expected by enterprise customers, especially in SaaS, cloud services, and managed services. If a prospect or customer has asked for your SOC 2 report, that is a clear signal you need it. For a deeper look at whether your business should pursue certification, see our guide on who needs SOC 2 certification.

Why Choose a Managed Compliance Partner for SOC 2?

Most small and mid-size businesses do not have staff with the combined IT, security, legal, and HR expertise that SOC 2 preparation requires. A managed compliance partner provides that expertise without the cost and delay of multiple hires. With BEMO, you get a full team assigned to your account from day one, including a virtual CISO, security engineer, and dedicated auditor coordination, starting at approximately $4,800 per month.