How to Prepare for Your First SOC 2 Audit [Complete Guide]

Preparing for your first SOC 2 audit requires 300-600 hours of internal effort over 3-6 months. Most companies underestimate this. Here’s the complete, phase-by-phase preparation guide so you pass on the first try.

How to Prepare for SOC 2: Six-Phase Roadmap

Phase 1: Readiness Assessment (2-4 weeks) - Gap analysis, scope definition
Phase 2: Control Implementation (1-4 months) - Policies, technical controls, operational procedures
Phase 3: GRC Platform (1-2 weeks) - Automation setup
Phase 4: Evidence Collection (ongoing) - Documentation for Type 2
Phase 5: Auditor Selection (2-3 weeks) - Get quotes, compare
Phase 6: Pre-Audit Prep (2-4 weeks) - System description, control matrix

The effort breakdown: 40% implementing controls, 30% documentation, 20% evidence collection, 10% auditor coordination.

Phase 1: Readiness Assessment (2-4 Weeks)

Before engaging an auditor, assess your current state. This prevents wasting $20K+ on an audit you’re not ready for.

Define Scope First

Systems: Which applications, infrastructure, services?
Locations: Which offices, data centers, cloud regions?
TSC: Security only, or additional criteria (Availability, Confidentiality, etc.)?

Key decision: Narrow scope = lower cost. You can expand later. Don’t try to include everything in your first audit.

Conduct Gap Assessment

Map current controls to SOC 2 requirements. For each control:

• Exists and works: Document and collect evidence
• Exists but weak: Fix before audit
• Missing: Implement from scratch

DIY or consultant?

• DIY: Free, 40-80 hours, use Vanta/Drata free trials
• Consultant: $10K-$30K, expert gap analysis, saves 2-4 months

Phase 2: Control Implementation (1-4 Months)

GRC Platform Pricing (2025 Market Rates)

• Vanta: $10K-$25K/year (startups), best integrations
• Drata: $10K-$20K/year, 20-30% less expensive, strong automation
• Secureframe: $8K+/year, affordable entry point
• Strike Graph: Budget-friendly for early stage

Why this matters: These platforms auto-collect 70% of evidence. Manual collection takes 200+ hours. The platform pays for itself in saved labor.

Platform Setup Tasks

1. Connect integrations: AWS, GCP, Azure, GitHub, Okta, Google Workspace, HR system
2. Configure monitoring: Set up continuous control monitoring
3. Upload policies: Import all security policies and procedures
4. Assign tasks: Assign evidence collection tasks to team members
5. Enable automation: Auto-collect logs, access reviews, vulnerability scans

Phase 4: Evidence Collection (Ongoing)

For Type 2 audits, you need to collect evidence of control operation throughout the observation period (3-12 months).

Evidence Types

Policies and Procedures

• All security policies (v1.0 or later)
• Procedure documents (incident response runbook, change management workflow)
• Training materials and slides

System Configurations

• Screenshots of MFA settings
• Firewall rules and network diagrams
• Encryption configuration (RDS encryption, S3 bucket policies)
• Logging configuration (CloudWatch, DataDog dashboards)

Operational Evidence

• Access reviews: Quarterly reviews of user access (who has access to what)
• Vulnerability scans: Monthly scan reports with remediation proof
• Change tickets: Sample change requests with approvals and testing proof
• Backup logs: Daily backup success logs
• Training records: Employee training completion certificates
• Background checks: Proof of background checks for employees with production access
• Vendor assessments: SOC 2 reports or completed security questionnaires

Incident Response

• Incident log (even if no incidents, document "no incidents during period")
• If incidents occurred: incident reports, root cause analysis, remediation proof

Evidence Organization Tips

• Create folder structure: Evidence/Access-Control/, Evidence/Change-Management/, etc.
• Name files clearly: 2025-01-Access-Review-Q1.xlsx
• Use GRC platform to organize and auto-collect where possible
• Start collecting NOW, not 1 month before audit

Phase 5: Auditor Selection (2-3 Weeks)

Once controls are in place, select your auditor.

Get 3-5 Quotes

Compare:

• Type 1 and Type 2 pricing
• Timeline and availability
• Industry experience and references
• Technology platform and integrations
• Responsiveness and communication style

→ Read our complete auditor selection guide

Phase 6: Pre-Audit Preparation (2-4 Weeks Before Audit)

System Description

Write a narrative description of your system (10-30 pages):

• Company overview: What you do, who your customers are
• System architecture: Infrastructure, application components, data flow
• Security controls: How you protect customer data
• Boundaries: What's in scope vs out of scope

Control Matrix

Create a spreadsheet mapping your controls to TSC:

• Trust Service Criteria: CC6.1, CC6.2, etc.
• Control description: What the control does
• Control owner: Who's responsible
• Evidence: Where evidence is located
• Frequency: How often control operates (daily, weekly, quarterly)

Team Readiness

• Assign roles: Who will respond to auditor requests?
• Calendar blocks: Reserve time for evidence collection and auditor calls
• Evidence portal access: Grant auditor access to your GRC platform
• Kickoff meeting prep: Prepare questions and scope clarifications

Common Preparation Mistakes

1. Starting Too Late

Mistake: "We lost a deal, let's get SOC 2 ASAP."

Reality: SOC 2 preparation takes 3-6 months minimum. Type 2 requires 3-12 month observation period. Start before you lose deals.

2. Over-Scoping

Mistake: "Let's include all 5 Trust Service Criteria and all systems."

Reality: Broader scope = higher cost, more work, longer timeline. Start with Security only, narrow scope. Expand later if needed.

3. Poor Documentation

Mistake: "We do security stuff, we just don't write it down."

Reality: If it's not documented, it doesn't exist. Auditors need written policies and evidence. "Trust me" doesn't work.

4. Not Using Automation

Mistake: "We'll collect evidence manually to save money."

Reality: Manual evidence collection takes 200+ hours. A $20K GRC platform saves $30K+ in labor and audit costs.

5. Insufficient Internal Resources

Mistake: "The CTO will handle SOC 2 in their spare time."

Reality: SOC 2 requires 300-600 hours of internal effort. Assign a dedicated owner (even if part-time).

6. Not Testing Controls

Mistake: "We wrote the policy, we're done."

Reality: Controls must be operating, not just designed. Test your backup restores, run access reviews, perform incident drills.

Preparation Checklist

Documentation (Before Audit)

• Information Security Policy
• Acceptable Use Policy
• Access Control Policy
• Change Management Policy
• Incident Response Plan
• Risk Assessment Policy
• Vendor Management Policy
• Business Continuity/DR Plan
• System Description
• Control Matrix

Technical Controls (Before Observation Period)

• MFA on all production access
• SSO or centralized authentication
• Network segmentation and firewalls
• Encryption at rest and in transit
• Centralized logging (90+ day retention)
• Vulnerability scanning (monthly)
• Patch management process
• Code review and CI/CD pipeline
• Automated backups and DR testing

Operational Controls (Ongoing)

• Quarterly access reviews
• Monthly vulnerability scans and remediation
• Security training (annual + onboarding)
• Background checks for new hires
• Vendor risk assessments (annual)
• Incident tracking and response
• Change management tickets

Pre-Audit Deliverables

• System description completed
• Control matrix finalized
• Evidence organized and accessible
• GRC platform configured
• Team roles assigned
• Kickoff meeting scheduled

Timeline Summary

Type 1 Audit Preparation

• Months 1-2: Gap assessment, policy writing
• Months 2-3: Technical control implementation
• Month 3: GRC platform setup, evidence collection
• Month 4: Auditor selection and kickoff
• Months 4-5: Audit execution
• Month 6: Report issuance

Total: 6 months

Type 2 Audit Preparation

• Months 1-3: Gap assessment, policy writing, technical control implementation
• Month 3: Auditor selection, observation period begins
• Months 3-9: Observation period (collect evidence continuously)
• Months 9-10: Audit testing and fieldwork
• Month 11: Report issuance

Total: 11 months

Related articles: What is SOC 2? • How to Choose an Auditor • SOC 2 Timeline Guide