Compliance

SOC 2 for UK Startups: Do You Need It, and Where to Start?

By NextGarrison Security TeamPublished 5 min read

SOC 2 is an American framework, so why do UK startups keep getting asked for it? Because their customers are American. Here is how to decide whether you need it and how to get there without wasting time.

In plain English

  • US customers often ask UK startups for a SOC 2 report before they will buy.
  • If your customers are mainly in the UK or Europe, ISO 27001 or Cyber Essentials may matter more.
  • A UK company can get SOC 2; a licensed CPA (accounting) firm does the audit.
  • Start small: check your deals, keep the scope tight and get a Type I report first.

Why UK startups get asked for SOC 2

US companies use SOC 2 reports to check their suppliers. As soon as a UK SaaS company starts selling to US mid-market or enterprise customers, the security questionnaire asks for a SOC 2 report. Without one, deals slow down or stall in procurement (the buyer's approval process).

If your customers are mostly in the UK and Europe, you may never be asked. They are more likely to ask for ISO 27001 (an international security standard) or Cyber Essentials (a UK government-backed scheme for basic security).

SOC 2 vs ISO 27001 vs Cyber Essentials

Cyber EssentialsISO 27001SOC 2
What it isUK government-backed baseline schemeInternational ISMS certificationUS attestation report by a CPA firm
EffortLowMedium to highMedium to high
Asked for byUK public sector and many UK firmsUK, European and global enterprisesUS companies
Good first step?Yes, quick winYes, if selling in UK and EuropeYes, if selling in the US

They stack well. Cyber Essentials covers basic controls that also help with ISO 27001 and SOC 2. See ISO 27001 vs SOC 2 for a deeper comparison.

Can a UK company get a SOC 2 report?

Yes. The audit must be done by a licensed CPA firm (an accounting firm licensed in the US) that follows AICPA standards. There is no separate SOC 2 license. Many US CPA firms audit UK companies remotely. Some UK and international accounting firms can also do the work through a licensed CPA firm in their network. Your location does not matter; your controls do.

A practical route for a UK startup

  1. Check your sales pipeline: are US deals really asking for SOC 2? If not, consider Cyber Essentials or ISO 27001 first.
  2. Scope tightly: only the product and systems that handle customer data, and only the Security criterion to start.
  3. Check for gaps and fix the basics: MFA (a second login step, such as a code on your phone), access reviews, logging, backups, vendor list and policies.
  4. Get a penetration test, where an expert tries to break in with permission, on your live app (see does SOC 2 require a pentest).
  5. Pick a CPA firm and do a Type I (a check of your controls at one point in time) to unblock deals.
  6. Run your controls for the observation period and move to Type II (a check that they worked over several months).

UK-specific things to keep in mind

  • UK GDPR (the UK data protection law) still applies to how you handle data. SOC 2 does not replace it. But your SOC 2 controls help show you protect personal data.
  • Budget for audit fees that are often quoted in US dollars.
  • Time zones matter: agree how auditor interviews and evidence reviews will be scheduled.

We help UK and international startups prepare for SOC 2 and work alongside the CPA firm you choose. Read what is SOC 2 compliance or book a readiness call.

#SOC 2#UK#Startups

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Written by

NextGarrison Security Team

Penetration testers, SOC analysts and compliance consultants

Our consultants test applications and networks, run 24/7 security monitoring and prepare companies for SOC 2, ISO 27001 and PCI DSS assessments. We write about what we see in real engagements, in plain English.

Frequently Asked Questions

Is SOC 2 recognized in the UK?

It is well understood by UK companies that sell to or buy from US businesses. UK buyers more often ask for ISO 27001 or Cyber Essentials.

Should a UK startup do ISO 27001 or SOC 2 first?

Follow your customers. If most revenue or pipeline is in the US, start with SOC 2. If it is in the UK and Europe, ISO 27001 usually opens more doors.

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