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No SOC 2, No Deal: Why You’re Already Losing Clients - and What You Can Do About It
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Global Banking and Finance Review
Company
By: Susanah Gomez
SOC 2 Compliance: From Optional to Essential in 2025
Once considered a luxury for large enterprises, SOC 2 compliance has become a baseline requirement in B2B markets (Ignition). Mid-sized SaaS, finance, and professional services companies face mounting pressure to produce SOC 2 reports for clients and partners. Heightened cyber threats and supply-chain risks mean even small vendors are potential liabilities. Today, due diligence questionnaires often start with, “Do you have a SOC 2 report?” Without it, deals can be lost.
Data backs this shift. In a 2023 AICPA survey, demand for SOC 2 engagements rose nearly 50% (AICPA & CIMA). Another study found 29% of organizations lost deals for lacking compliance, and 72% underwent audits specifically to win business (Secureframe).
In Canada, the Office of the Privacy Commissioner stresses that private organizations must manage third-party risk and safeguard personal data (Privacy Commissioner Canada). SOC 2 supports this by establishing auditable controls for security, confidentiality, and access management, making it both a market requirement and a way to align with federal expectations.
Why SOC 2 Matters: Trust, Risk, and Regulatory Momentum
SOC 2 evaluates controls for security, availability, processing integrity, confidentiality, and privacy. Passing a SOC 2 audit signals to customers and investors that your company is not a weak link in their supply chain (Ignition). Many procurement teams treat a SOC 2 report as a “ticket to play.”
The process also strengthens internal security by revealing gaps in access controls, monitoring, and incident response. Addressing these reduces breach risks. SOC 2 aligns with regulatory priorities on third-party risk, positioning companies well should reporting become mandatory in certain sectors.
The standard itself evolves. In 2022, the AICPA updated SOC 2 guidance to address cloud security, supply-chain risk, and clearer incident disclosure expectations (BDO). These updates demand more effort from companies, especially around documentation, confidentiality, and vendor management. SOC 2 is now a continuous improvement process, not a one-off certification.
Common Challenges on the Road to SOC 2
Mid-sized firms face several hurdles. Defining scope is one. SOC 2’s flexibility means you can choose which Trust Services Criteria (TSC) to include beyond mandatory Security. Improper scoping can leave risks unaddressed or overcomplicate audits.
Documentation is another obstacle. Audits require formal, consistently followed policies, something many firms lack. Turning informal processes into auditable controls often meets resistance. Some “assumed” controls, like regular access reviews or disaster recovery tests, may not actually exist, requiring cultural and operational changes.
Timing and resources add complexity. A Type II audit measures control effectiveness over months, meaning a first-time effort can take a year. IT and compliance teams must balance audit prep with ongoing projects. Without expert guidance, companies risk over-engineering or under-preparing controls.
Finally, costs extend beyond audit fees to remediation. But the price of non-compliance, such as lost sales or breaches, can far exceed investment. Forward-thinking CFOs treat SOC 2 as a strategic investment in market credibility.
SAV Associates specializes in guiding mid-sized companies from readiness to attestation. The process starts with a readiness assessment, mapping current controls against SOC 2 criteria to identify gaps. “We simplify internal risk mapping so clients focus where it matters,” says Sanjay Chadha, managing partner at SAV Associates.
SAV tailors controls and documentation to the client’s context. For weak change management, they might introduce lightweight tracking tools. For insufficient endpoint security, they recommend solutions configured to produce audit-ready evidence. Templates aligned to SOC 2 criteria, customized rollouts, and manager training ensure controls stick.
SAV also prepares teams for audits through mock interviews and evidence organization. This reduces stress and can turn potential weaknesses into strengths, such as instituting a simple quarterly backup test to close documentation gaps.
Their approach is frameworks-aware, mapping SOC 2 controls to other standards like ISO 27001, GDPR, or HIPAA to avoid duplication. For example, an SOC 2 incident response plan may also meet ISO requirements.
“SOC 2 is as much about culture as controls,” says Chadha. SAV helps instill habits for continuous compliance, automating evidence collection, scheduling control checkpoints, and simplifying policies. Even after attestation, they often provide ongoing advisory or vCISO services to keep controls effective.
When executed well, SOC 2 becomes a growth tool. Certification can accelerate sales cycles and unlock enterprise deals. Companies can assure prospects that independent auditors have vetted their controls, enhancing trust.
Strong security postures correlate with business gains—organizations with robust data governance achieve higher revenue growth and stakeholder confidence (Secureframe). SOC 2 completion also signals operational maturity to boards and investors.
The momentum from SOC 2 often fuels broader improvements, like adopting the NIST Cybersecurity Framework or pursuing ISO 27001. SAV supports these expansions, using SOC 2 as a first milestone in a broader governance and risk strategy.
In today’s digital market, SOC 2 is a strategic imperative. It helps you build trust externally and verify resilience internally. Companies that embrace it proactively, rather than reluctantly, will strengthen both security and reputation.
SAV Associates invites you to turn compliance into opportunity. With expert guidance, SOC 2 can become a streamlined process that fortifies your business from within. The cost of inaction is high, but the rewards are higher.
Contact SAV Associates to start your SOC 2 journey. From readiness assessment to attestation, their experts partner with you so you can focus on growth with confidence.
Foo, A. (2025, March 18). SOC 2 compliance is no longer optional—Here’s what it means for the future of B2B. Ignition. https://www.ignitionapp.com/blog/soc-2-compliance-ignition (Ignition)
American Institute of Certified Public Accountants & Chartered Institute of Management Accountants. (2023, October 1). SOC survey results point to the value of SOC 1 and 2 engagements [Infographic]. AICPA & CIMA. https://www.aicpa-cima.com/resources/download/soc-survey-results-point-to-the-value-of-soc-1-and-2-engagements (AICPA & CIMA)
Fitzgerald, A. (2024, August 22). The competitive advantage of compliance: 9 reasons to prioritize data security and privacy. Secureframe. https://secureframe.com/blog/compliance-as-competitive-advantage (Secureframe)
Office of the Privacy Commissioner of Canada. (2008). PIPEDA interpretation bulletin: Safeguards. Government of Canada. https://www.priv.gc.ca/en/privacy-topics/privacy-laws-in-canada/the-personal-information-protection-and-electronic-documents-act-pipeda/pipeda-compliance-help/pipeda-interpretation-bulletins/interpretations_08_sg/ (Privacy Commissioner Canada)
BDO. (2022, October). Navigating changes to the SOC 2 reporting guide. BDO Insights. https://www.bdo.com/insights/assurance/navigating-changes-to-the-soc-2-guide (BDO)
Fitzgerald, A. (2024, October 28). 110 compliance statistics to know for 2025. Secureframe. https://secureframe.com/blog/compliance-statistics (Secureframe)
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