7 min read

Why Get SOC 2 Certification: 6 Crucial Benefits for B2B Companies

BEMO on May 01, 2025

If your organization handles sensitive customer data, you’re under more scrutiny than ever, from clients, partners, and regulators alike. In 2023 alone, security breaches hit record highs, exposing over 1 billion records and costing an average of $4.9 million per incident.

In this environment, your partners and customers increasingly demand verifiable proof of your security posture before trusting you with their data.

SOC 2 certification has become the gold standard for building that trust, especially for SaaS companies, cloud service providers, and government contractors. In fact, many enterprise procurement teams now automatically disqualify vendors who can’t produce a valid SOC 2 report.

Why get SOC 2 certification when it requires significant investment in time, expertise, and resources? The answer extends far beyond simply meeting a checkbox requirement. For your organization, SOC 2 certification is essential for market access, security maturity, and business growth.

So, why is SOC 2 important?

Key Takeaways

SOC 2 certification builds trust and opens access to enterprise clients by proving your security practices meet strict standards.
The process strengthens your internal security posture and often uncovers gaps that would otherwise go unnoticed.
SOC 2 helps streamline compliance with frameworks like HIPAA, GDPR, and ISO 27001 by creating a strong foundational control structure.
Reducing breach risks through SOC 2 compliance saves money on incident response, legal liability, and reputational damage.
Type 2 certification offers stronger assurance than Type 1, making it the preferred option for long-term security validation.
Government contracts and enterprise tech sales often require SOC 2, especially for SaaS and data-handling vendors.
Automated platforms and expert partners like BEMO simplify the path to certification and ongoing compliance.

What Makes SOC 2 Certification Essential?

SOC 2 (Service Organization Control 2) is an auditing procedure developed by the American Institute of Certified Public Accountants (AICPA) that evaluates how service organizations manage and protect customer data.

Unlike some compliance frameworks that focus primarily on specific technical controls, SOC 2 takes a principles-based approach centered around five Trust Services Criteria: security, availability, processing integrity, confidentiality, and privacy.

The average cost of a data breach has increased 15% over the past three years. This escalating financial risk makes security not just an IT concern but a business imperative. SOC 2 certification addresses this by providing a framework to protect your organization and your customers from these costly incidents.

6 Compelling Reasons Why You Should Get a SOC 2 Certification

Let’s take a closer look at the major reasons why getting SOC 2 certified is so important, including winning new business, building credibility, and strengthening your security posture.

1. Meeting Client Requirements and Winning New Business

If you're a B2B service provider, particularly in SaaS, cloud hosting, or data analytics, you've likely encountered SOC 2 as a prerequisite in vendor security questionnaires. Many enterprise clients won't even consider vendors without this certification.

According to research by Drata, 87% of companies reported losing business or other negative outcomes due to inadequate security compliance. SOC 2 certification helps overcome this hurdle, opening doors to lucrative enterprise contracts and government opportunities.

"SOC 2 certification has become a fundamental market expectation," explains BEMO's guide on who needs SOC 2 certification. "Without it, businesses increasingly find themselves excluded from consideration before conversations even begin."

2. Building Unshakable Trust and Credibility

In a time where data breaches make headlines weekly, customers are increasingly cautious about who they trust with their information. One example of a very costly data breach is in 2024, where the UnitedHealth Group lost $2.87 billion due to a massive data breach.

SOC 2 certification provides independent verification that your security practices meet rigorous standards, creating a powerful trust signal that differentiates your business from competitors.

This third-party validation proves you've invested in protecting customer data and have the controls to back up your security claims. For startups and growing companies in particular, SOC 2 certification can level the playing field with larger competitors by demonstrating enterprise-grade security capabilities.

3. Strengthening Your Security Posture

Why is SOC 2 compliance important beyond the certificate itself? The process of achieving compliance forces organizations to take a comprehensive look at their security practices and make meaningful improvements.

The SOC 2 framework requires:

Formal risk assessment processes
Documented security policies and procedures
Access control mechanisms
Regular monitoring and testing
Incident response planning
Vendor management controls

These requirements create a security-forward culture and establish processes that reduce vulnerabilities. Many organizations discover and address critical security gaps during SOC 2 preparation that might otherwise have led to breaches.

4. Streamlining Compliance Efforts

While the primary focus of SOC 2 is security, the framework aligns well with other common compliance requirements. Your organization can leverage SOC 2 controls to support compliance with frameworks like:

HIPAA for healthcare data
GDPR and state privacy laws (CCPA, CPRA, etc.)
ISO 27001 for global security standards
NIST Cybersecurity Framework
Industry-specific regulations

According to a report by Deloitte, companies with integrated compliance programs spend 30% less on their overall compliance activities. By building a strong foundation with SOC 2, you create a compliance infrastructure that makes additional certifications easier to achieve.

5. Reducing Security Incidents and Their Costs

The structured approach of SOC 2 compliance directly contributes to fewer security incidents. By implementing strong controls around user access, system monitoring, change management, and incident response, organizations can prevent many common attack vectors.

Verizon's Data Breach Investigations Report notes that 82% of breaches involve human elements such as social engineering, errors, or misuse. SOC 2's focus on organizational controls and processes directly addresses these human-centered vulnerabilities.

Beyond prevention, SOC 2 certification can reduce the financial impact when incidents do occur:

Lower incident response costs through preparation
Reduced legal liability through documented due diligence
Potential insurance premium savings
Minimized reputational damage

6. Creating Competitive Advantage

Why is SOC 2 Type 2 required by so many businesses? Because it demonstrates consistent security operations over time, unlike Type 1's point-in-time assessment. This longitudinal validation provides stronger assurance that security practices are embedded in your organization's operations.

This level of verification creates meaningful competitive differentiation:

Faster sales cycles with security-conscious customers
Higher conversion rates on enterprise deals
Ability to charge premium pricing for security-verified services
Enhanced brand reputation in the marketplace

When SOC 2 Certification Becomes Essential

While SOC 2 benefits virtually any organization handling customer data, certain situations make it particularly crucial:

For Government Contractors and Suppliers

The cybersecurity requirements for government contracts have grown increasingly stringent. While CMMC applies specifically to defense contractors, civilian agencies frequently require SOC 2 as part of their vendor qualification process.

For businesses targeting government contracts, SOC 2 certification may be a prerequisite for consideration. The certification demonstrates security compliance in a standardized format that government procurement officials recognize and trust.

For Technology Companies Handling Sensitive Data

SaaS providers, cloud services, data analytics companies, and managed service providers handle vast amounts of customer information. For these businesses, SOC 2 certification is becoming a baseline expectation.

According to Gartner research, 90% of enterprise software procurement processes now include security and compliance verification. Without SOC 2 certification, technology companies find themselves at a severe disadvantage in competitive sales situations.

For Businesses Using Third-Party Vendors

Why SOC 2 compliance matters extends beyond your own organization. If your business shares customer data with third-party vendors, SOC 2 helps ensure those relationships don't introduce unacceptable risk.

The framework includes vendor management requirements that extend your security diligence to your supply chain, helping prevent the increasingly common vendor-sourced data breaches that accounted for 18% of breaches in the past year.

Choosing Between SOC 2 Type 1 and Type 2

When pursuing SOC 2 certification, you'll need to decide between Type 1 and Type 2. Here's what distinguishes them:

SOC 2 Type 1

Point-in-time assessment
Evaluates design of controls
Faster to achieve (typically 1-3 months)
Lower initial investment
Often used as first step

SOC 2 Type 2

Observes controls over 6-12 months
Evaluates operational effectiveness over time
More rigorous and valuable
Required by most enterprise clients
Demonstrates lasting commitment to security

Most organizations start with Type 1 to establish their control environment, then progress to Type 2 to validate that controls are functioning effectively over time. However, the growing market preference is clearly for Type 2 certification, which provides stronger assurance of consistent security practices.

Making SOC 2 Certification Achievable

While the benefits of SOC 2 certification are clear, many organizations find the process daunting. The traditional approach involves significant manual effort, specialized expertise, and ongoing maintenance. This is why automation platforms and managed compliance services have gained popularity.

Working with a compliance partner like BEMO can dramatically simplify SOC 2 certification. A managed compliance approach provides:

Expert guidance throughout the certification process
Automated evidence collection and monitoring
Streamlined audit preparation
Ongoing compliance maintenance

These services make enterprise-grade compliance accessible even to organizations without dedicated security teams or extensive compliance experience.

The Bottom Line: ROI of SOC 2 Certification

When evaluating why SOC 2 compliance is important for your business, consider both the quantifiable and intangible returns:

Quantifiable Benefits

Access to new markets and customers
Reduced security incident costs
Streamlined sales cycles
Potential insurance premium reductions
Prevention of revenue loss from security disqualification

Intangible Benefits

Enhanced customer trust and loyalty
Improved security culture
Better risk visibility and management
Competitive differentiation
Reduced anxiety about security posture

According to data from the Ponemon Institute, organizations with mature security programs experience 53% fewer security incidents and save an average of $2.9 million annually compared to organizations with less developed programs. SOC 2 certification contributes directly to this security maturity.

Is SOC 2 Certification Right for Your Business?

While SOC 2 offers substantial benefits, it's important to determine if certification aligns with your specific business needs. Consider these factors:

Customer Requirements: Are your customers or prospects asking for SOC 2 certification?
Data Sensitivity: Do you handle sensitive information that requires formal protection?
Growth Plans: Will your expansion plans include enterprise customers with rigorous security requirements?
Competitive Landscape: Are your competitors using SOC 2 certification as a differentiator?
Resource Availability: Do you have the internal expertise or partner support to achieve certification?

For most B2B technology companies, SaaS providers, and businesses handling sensitive data, the question isn't whether to pursue SOC 2 certification but when and how to approach it most efficiently.

Making SOC 2 Certification Painless

The good news is that SOC 2 certification doesn't have to be overwhelming. With the right approach and support, your organization can achieve compliance without derailing other business priorities.

Key success factors include:

Starting with a gap analysis to understand your current posture
Utilizing automation to reduce manual effort
Choosing the right compliance partner
Taking an integrated approach to compliance across frameworks
Building security into business processes rather than treating it as a separate function

BEMO's compliance automation platform helps organizations streamline their SOC 2 certification journey through expert guidance, automated evidence collection, and continuous compliance monitoring. By reducing the manual effort involved, businesses can achieve certification faster while maintaining focus on their core operations.

Ready to Start Your SOC 2 Certification Journey?

In today's security-conscious business environment, SOC 2 certification has evolved from a competitive advantage to a market necessity for many organizations.

By demonstrating your commitment to protecting customer data, you build trust, open new business opportunities, and strengthen your security posture against growing threats.

Book a Demo with BEMO today to discover how our compliance experts can help you achieve SOC 2 certification efficiently and effectively.

Frequently Asked Questions

What Is the Difference Between SOC 2 and ISO 27001?

SOC 2 is U.S.-based and principle-driven, while ISO 27001 is globally recognized and more prescriptive. Many companies pursue both to support international growth.

How Long Does It Take To Get SOC 2 Certified?

Type 1 can take one to three months, while Type 2 requires 6 to 12 months of control observation. Timelines vary based on readiness and resources.

Do Startups Need SOC 2 Certification?

Yes, especially if you're selling to enterprise clients. SOC 2 levels the playing field and demonstrates your startup takes security seriously from day one.

Will SOC 2 Help With Insurance or Legal Protection?

It can. Demonstrating strong security controls may lead to reduced premiums and serve as evidence of due diligence in case of a breach.

Can I Use SOC 2 for International Clients?

While SOC 2 is U.S.-centric, its trust principles are globally understood. Pairing it with ISO 27001 can strengthen credibility for international customers.