LBMC provides SOC 1, SOC 2, SOC 3, and SOC for Cybersecurity examinations to service organizations across the country. Our experienced audit and cybersecurity professionals help you move from readiness to reporting with clarity and confidence. While technology can streamline evidence collection and monitoring activities, successful SOC programs require effective governance, clearly defined controls, and experienced professional evaluation.
System and Organization Control (SOC) Audit Services
Organizations that process or store customer data are increasingly required to demonstrate that their controls are secure, reliable, and operating effectively. A System and Organization Controls (SOC) audit provides independent assurance that your organization has the right controls in place to manage risk, protect sensitive information, and meet customer and regulatory expectations.
Not sure where to start?
We can help you determine the right SOC report and timeline based on your organization’s risk profile and customer requirements.
What Is a SOC Audit?
A SOC audit is an independent examination performed under SSAE 18 standards and issued by a licensed CPA firm. Developed by the AICPA, SOC reports evaluate a service organization’s systems, processes, and internal controls.
SOC examinations are conducted under SSAE 18 standards by licensed CPA firms authorized to issue independent attestation reports. This ensures the report meets strict professional and regulatory requirements.
SOC reports help:
- Demonstrate security, control maturity, and operational discipline to customers
- Support vendor due diligence requirements
- Strengthen internal control environments
- Build trust during sales and procurement cycles
For many organizations, a SOC report can be the difference between winning and losing business.
How a SOC Audit Works in Practice
SOC engagements are structured and methodical. While each engagement varies based on scope, the process generally includes:
- Discovery and Scoping – Define system boundaries, services, and applicable criteria.
- Readiness Assessment (Optional but Recommended) – Identify control gaps before formal testing begins.
- Control Implementation and Remediation – Management designs and implements required controls.
- Examination Period – For Type II reports, controls operate over a defined period (typically 6–12 months).
- Testing and Reporting – LBMC performs testing, evaluates evidence, and issues the SOC report.
Reports are typically issued 45–60 days after the reporting period ends.
SOC Guide: How to Prepare for a SOC Examination
Customers expect proof their data is secure. SOC reports deliver it, but getting started can be unclear.
This guide breaks down the essentials, from audit firm selection to assessment readiness, so you can align controls, reduce risk, and meet expectations.
What you’ll learn:
- How to choose the right audit firm
- What a SOC report includes and why it matters
- How to prepare for a successful assessment
- Ways to strengthen controls and reduce risk
- How SOC reporting supports broader compliance efforts
Get the clarity you need to approach SOC reporting with confidence.
Which SOC Report Is Right for You?
Choosing the correct SOC report depends on how your customers use your services and what risks need to be addressed.
SOC 1 – Controls Over Financial Reporting
Best for organizations whose services impact customers’ financial statements.
You likely need a SOC 1 if:
- Your customers rely on your system for financial reporting
- You support payroll, claims processing, fund administration, or transaction processing
- Your customers’ auditors request assurance
Available as:
- Type I – Design of controls at a point in time
- Type II – Design and operating effectiveness over 6–12 months
SOC 2 – Trust Services Criteria
Best for organizations that store, process, or transmit sensitive customer data.
SOC 2 evaluates controls against the AICPA Trust Services Criteria:
- Security (required)
- Availability
- Processing Integrity
- Confidentiality
- Privacy
Available as:
- Type I – Design effectiveness
- Type II – Design and operating effectiveness over time
SOC 2 reports are restricted-use and include detailed testing procedures and results.
Understanding the Trust Services Criteria
- Security – Protection against unauthorized access and system compromise. (Required in every SOC 2.)
- Availability – Systems are accessible and operational as agreed.
- Processing Integrity – Systems process data completely, accurately, and on time.
- Confidentiality – Sensitive business information is properly protected.
- Privacy – Personal information is collected, used, retained, and disposed of appropriately.
Organizations select the criteria that align with the services they provide and the risks they manage.
SOC 3 – Public-Facing Trust Report
A SOC 3 report evaluates the same Trust Services Criteria as SOC 2 but is designed for general distribution.
SOC 3 is appropriate if:
- You want to publish assurance publicly
- You need marketing-level proof of security controls
- Customers do not require detailed testing results
SOC 3 reports can be displayed on your website and may include the SOC 3 seal.
SOC for Cybersecurity
SOC for Cybersecurity provides a general-use report on your enterprise-wide cybersecurity risk management program.
Unlike SOC 2:
- It evaluates your overall cybersecurity risk management program
- It is not limited to a system or specific services
- It may use Trust Services Criteria or another accepted framework
- It is intended for broader stakeholders, including boards and investors
Questions About SOC Services?
If you’re evaluating risks, preparing for an assessment, or responding to new security requirements, our team can help you understand your options and determine next steps.
Preparing for a SOC 2 Audit
If you are pursuing a SOC 2 engagement, preparation is critical. Organizations typically:
- Engage an experienced CPA firm with cybersecurity expertise
- Determine which Trust Services Criteria apply
- Perform a readiness assessment
- Remediate control gaps
- Establish documentation and evidence processes
- Implement self-monitoring controls
SOC reporting is not a short-term project. It requires sustained governance, effective controls, documentation, and operational discipline that can stand up to independent evaluation over time.
SOC Reporting Is More Than a Customer Requirement
Many organizations initially pursue SOC reporting because customers require it. The most successful organizations use the process to strengthen governance, improve operational consistency, reduce risk, and build greater trust with customers, investors, and stakeholders.
What to Expect During a SOC Audit
SOC reporting requires planning, documentation, and sustained operational discipline. While timelines vary, first-time Type II reports typically require several months of preparation and an observation period of 6–12 months.
A few important realities:
- Compliance is ongoing, not a one-time project.
- Exceptions are common and do not automatically result in a failed report.
- Controls must operate in practice — not just exist in policy documents.
- Changes in systems or infrastructure during the audit period should be communicated early.
Organizations that approach SOC as a long-term governance initiative, rather than a short-term checkbox exercise, see the strongest operational and reputational benefits.
Why Organizations Pursue SOC Reporting
SOC reporting should be viewed as a governance and risk management initiative, not simply a compliance exercise. While many organizations begin the process because of customer requirements or due diligence requests, the strongest programs use SOC reporting to strengthen controls, improve operational discipline, and build trust with stakeholders. Common drivers include:
- Enterprise customers requiring formal security assurance
- Increased vendor due diligence requests
- Private equity or investor expectations
- Regulatory or industry pressures
- Competitive differentiation
- Sales cycle acceleration
SOC reporting signals operational maturity and security accountability.
Ready to Begin Your SOC Journey?
Whether you’re pursuing your first SOC report or expanding to additional frameworks, LBMC’s SOC audit professionals can help you clarify scope, reduce risk, and move forward with confidence.
CLIENT TESTIMONIAL
Industries We Serve
LBMC performs SOC audits for organizations across multiple industries, including:
- Healthcare and claims processing
- Financial services
- Cloud service providers
- SaaS and technology companies
- Data centers and hosting providers
- Private equity portfolio companies
We maintain appropriate licensure in the states where we provide attest services.
Why Choose LBMC for Your SOC Audit?
LBMC combines audit rigor with cybersecurity expertise to provide practical, business-aligned guidance.
- Deep experience across SOC 1, SOC 2, SOC 3, and SOC for Cybersecurity
- Integrated audit and cybersecurity teams
- Readiness-to-report support
- Multi-framework knowledge (SOC, HITRUST, ISO 27001, NIST, PCI DSS)
- Practical remediation guidance grounded in real-world risk
We don’t simply evaluate controls. We help organizations build sustainable compliance and risk management programs that support customer trust, operational resilience, and long-term growth.
Local Expertise, Wherever You Are
With offices in Chattanooga, Memphis, Louisville, Nashville, Knoxville, Philadelphia, and Charlotte, plus remote offices, LBMC partners with businesses across the region and beyond.
Webinar: What should be in my SOC description?
LBMC’s Richard Beard shares an overview of SOC system descriptions and what should be included in an organization’s SOC 1 and SOC 2 reports.
For more frequently asked questions read our blog, “Where to Get a SOC Report.”
Which SOC Report is Right for You? (SOC 1, SOC 2 or SOC 3)
You Likely Need a SOC 1 If:
- Your services impact your customers’ financial statements
- Customers’ auditors request assurance over financial controls
- You process payroll, claims, transactions, or financial data
- Your report will support SOX compliance
Result: SOC 1 (Type I or Type II)
You Likely Need a SOC 2 If:
- You store, process, or transmit customer data
- Customers require proof of security controls
- You are a SaaS, cloud, or technology service provider
- Enterprise clients request detailed testing results
- You need assurance aligned to the Trust Services Criteria (Security, Availability, Confidentiality, Privacy, Processing Integrity)
Result: SOC 2 (Type I or Type II)
You Likely Need a SOC 3 If:
- You want to publicly demonstrate security assurance
- Prospects ask for high-level proof of controls
- You do not need to provide detailed testing results
- You want to display a SOC seal on your website
Result: SOC 3 (General Use Report)
You Likely Need a SOC for Cybersecurity If:
- You want to report on your entire cybersecurity risk management program
- Your board or investors want enterprise-level assurance
- You need a general-use report for broad stakeholders
- You want flexibility in the security framework used
Result: SOC for Cybersecurity
Still Not Sure?
Some organizations require more than one SOC report. If you’re navigating customer requirements or audit requests, we can help clarify scope and recommend the right path.
Webinar: AWS and Your SOC 2 Report
Key topics covered:
- AWS shared responsibility model
- Access management and IAM controls
- Logging, monitoring, and resource management
- Backup, replication, and availability configurations
- Confidentiality, privacy, and automated data retention
- Best practices for preparing your AWS environment for a SOC 2 audit
FAQs About SOC Audits
What is the difference between SOC 1 and SOC 2?
SOC 1 focuses on controls related to financial reporting. SOC 2 focuses on security and data protection under the Trust Services Criteria.
What is the difference between SOC 2 and SOC 3?
SOC 2 is restricted-use and includes detailed testing results. SOC 3 is a general-use summary report suitable for public distribution.
How long does a SOC audit take?
For first-time Type II reports, the process may take 6–12 months including readiness and testing. Mature organizations may complete it more quickly.
Do I need a readiness assessment first?
Most first-time organizations benefit from a readiness assessment to identify and remediate gaps before formal testing.
How do I get started?
Begin with a scoping conversation to determine which SOC report aligns with your customers’ expectations and risk profile.
Executive Team
LBMC Is Here to Help
Not sure what you need? That’s okay. Just give us a description of what you’re looking for and we will have an LBMC sales team member contact you. LBMC is qualified to handle complex and challenging financial and consulting situations. Our fees reflect this expertise.