While many providers mention that their data center (for example, AWS or Azure) is compliant, that doesn’t mean that the platform itself has been put through the paces of a SOC 2 audit.
With cybersecurity threats on the rise, it is imperative that firms proactively improve internal and external security protocols. Keeping confidential information and sensitive client data secure means extending such protocols to each software vendor. It’s important to check the data security protocols of the software you’re evaluating before you make any decisions that can have a long-lasting impact on your firm.
What is SOC 2?
When evaluating technology providers, you’ve likely come across the organizations’ security standards. Some of the popular security protocols for software vendors include encryption measures, two-factor authentication and PCI compliance (for those that process payments). SOC 2 isn’t as commonplace, but it should be carefully considered in any software selection process. SOC 2 is a compliance standard established by the American Institute of Certified Public Accountants (AICPA) to make sure businesses don’t take on undue risk when they hire a service provider. More simply, it’s proof that the vendor you’re hiring will be able to offer a reliable service and, more importantly, has extensive safeguards in place to protect your firm’s data.