SOC 2 vs ISO 27001 Cost Comparison: Which Is Cheaper?
ISO 27001 is fifteen to twenty-five percent cheaper than SOC 2 over a three-year period for most technology companies.
One of the questions we get most often from clients evaluating their compliance strategy is whether SOC 2 or ISO 27001 is the more cost-effective path. After helping companies plan and execute both frameworks, we can give you a clear, data-backed answer — and explain why cost alone should never be the deciding factor. Here is what we see across our client base.
ISO 27001 is fifteen to twenty-five percent cheaper than SOC 2 over a three-year period for most technology companies. The cost advantage comes from ISO 27001's three-year certification model: after an initial certification audit, years two and three require only lighter surveillance audits rather than full re-audits. SOC 2 requires a complete audit every year. However, what we always tell clients is that cost alone should not drive the framework decision — the revenue impact of having the framework your customers require far outweighs the difference in compliance costs. A single enterprise deal blocked by lacking the right framework typically exceeds the entire three-year cost differential.
This guide provides a detailed head-to-head cost comparison between SOC 2 and ISO 27001 across every expense category: audit and certification fees, GRC platform costs, consulting, internal labor, and ongoing maintenance. All cost data is segmented by company size and includes the incremental cost of adding one framework when you already hold the other.
Three-Year Cost Comparison Summary
| Cost Category | SOC 2 (3-Year Total) | ISO 27001 (3-Year Total) |
|---|---|---|
| Audit / certification fees | $56,000-$280,000 | $30,000-$180,000 |
| GRC platform | $30,000-$200,000 | $30,000-$200,000 |
| Consulting | $3,000-$125,000 | $5,000-$100,000 |
| Internal labor | $15,000-$280,000 | $20,000-$250,000 |
| Remediation and tooling | $5,000-$60,000 | $5,000-$50,000 |
| 3-Year Total | $109,000-$945,000 | $90,000-$780,000 |
| ISO 27001 savings vs SOC 2 | — | 15-25% lower |
The ranges are wide because costs vary dramatically by company size. The following sections segment the comparison by company size for more useful benchmarking.
Cost Comparison by Company Size
Startup (Under 50 Employees)
| Cost Category | SOC 2 (Year 1) | SOC 2 (Year 2) | SOC 2 (Year 3) | SOC 2 (3-Year) |
|---|---|---|---|---|
| Audit fees | $20,000-$40,000 | $18,000-$35,000 | $18,000-$35,000 | $56,000-$110,000 |
| GRC platform | $8,000-$15,000 | $10,000-$18,000 | $12,000-$20,000 | $30,000-$53,000 |
| Consulting | $3,000-$10,000 | $0-$3,000 | $0 | $3,000-$13,000 |
| Internal labor | $5,000-$15,000 | $5,000-$12,000 | $5,000-$12,000 | $15,000-$39,000 |
| Remediation | $3,000-$10,000 | $1,000-$3,000 | $1,000-$3,000 | $5,000-$16,000 |
| Total | $39,000-$90,000 | $34,000-$71,000 | $36,000-$70,000 | $109,000-$231,000 |
| Cost Category | ISO 27001 (Year 1) | ISO 27001 (Year 2) | ISO 27001 (Year 3) | ISO 27001 (3-Year) |
|---|---|---|---|---|
| Certification audit | $15,000-$30,000 | $8,000-$15,000 | $8,000-$15,000 | $31,000-$60,000 |
| GRC platform | $8,000-$15,000 | $10,000-$18,000 | $12,000-$20,000 | $30,000-$53,000 |
| Consulting | $5,000-$12,000 | $0-$3,000 | $0 | $5,000-$15,000 |
| Internal labor | $8,000-$18,000 | $5,000-$10,000 | $5,000-$10,000 | $18,000-$38,000 |
| Remediation | $3,000-$10,000 | $1,000-$3,000 | $1,000-$3,000 | $5,000-$16,000 |
| Total | $39,000-$85,000 | $24,000-$49,000 | $26,000-$48,000 | $89,000-$182,000 |
Startup savings with ISO 27001: Approximately fifteen to twenty percent over three years, driven primarily by lower year-two and year-three audit costs.
Growth Stage (50-200 Employees)
| Cost Category | SOC 2 (3-Year) | ISO 27001 (3-Year) | Difference |
|---|---|---|---|
| Audit / certification fees | $86,000-$170,000 | $50,000-$110,000 | ISO 27001 saves $36,000-$60,000 |
| GRC platform | $45,000-$82,000 | $45,000-$82,000 | Same (platform-dependent, not framework-dependent) |
| Consulting | $8,000-$33,000 | $10,000-$30,000 | Comparable |
| Internal labor | $39,000-$91,000 | $35,000-$80,000 | ISO 27001 slightly lower in years 2-3 |
| Remediation | $9,000-$25,000 | $8,000-$22,000 | Comparable |
| 3-Year Total | $187,000-$401,000 | $148,000-$324,000 | ISO 27001 saves 18-22% |
Mid-Market (200-1,000 Employees)
| Cost Category | SOC 2 (3-Year) | ISO 27001 (3-Year) | Difference |
|---|---|---|---|
| Audit / certification fees | $129,000-$230,000 | $75,000-$155,000 | ISO 27001 saves $54,000-$75,000 |
| GRC platform | $65,000-$125,000 | $65,000-$125,000 | Same |
| Consulting | $20,000-$60,000 | $15,000-$50,000 | ISO 27001 slightly lower |
| Internal labor | $80,000-$160,000 | $70,000-$145,000 | ISO 27001 lower in years 2-3 |
| Remediation | $14,000-$36,000 | $12,000-$30,000 | Comparable |
| 3-Year Total | $308,000-$611,000 | $237,000-$505,000 | ISO 27001 saves 17-23% |
Enterprise (1,000+ Employees)
| Cost Category | SOC 2 (3-Year) | ISO 27001 (3-Year) | Difference |
|---|---|---|---|
| Audit / certification fees | $170,000-$430,000 | $100,000-$280,000 | ISO 27001 saves $70,000-$150,000 |
| GRC platform | $105,000-$210,000 | $105,000-$210,000 | Same |
| Consulting | $40,000-$125,000 | $30,000-$100,000 | ISO 27001 lower |
| Internal labor | $140,000-$280,000 | $120,000-$250,000 | ISO 27001 lower in years 2-3 |
| Remediation | $20,000-$60,000 | $18,000-$50,000 | Comparable |
| 3-Year Total | $475,000-$1,105,000 | $373,000-$890,000 | ISO 27001 saves 19-22% |
Why ISO 27001 Is Cheaper: The Audit Cycle Difference
The primary cost driver is the audit cycle structure.
SOC 2 Annual Audit Cycle
SOC 2 requires a complete audit every year. Each annual audit involves full evidence review, control testing, personnel interviews, and report issuance. There is no "lighter" audit option in subsequent years — the year-three audit is essentially the same scope and effort as the year-one audit.
ISO 27001 Three-Year Certification Cycle
ISO 27001 follows a three-year cycle:
| Year | Audit Type | Typical Cost vs Initial | Scope |
|---|---|---|---|
| Year 1 | Initial certification (Stage 1 + Stage 2) | Baseline | Full ISMS evaluation |
| Year 2 | Surveillance audit | 40-60% of initial | Sample-based review of selected controls |
| Year 3 | Surveillance audit | 40-60% of initial | Sample-based review of different controls |
| Year 4 | Re-certification audit | 70-90% of initial | Full ISMS evaluation (lighter than initial) |
Surveillance audits in years two and three cost significantly less because the certification body reviews a sample of controls rather than the entire ISMS. This cycle produces substantial savings compared to SOC 2's annual full-scope audit.
Where SOC 2 Costs More (and Why)
Annual Full Re-Audit
SOC 2's full annual audit is the largest cost differentiator. Each year the auditor must review the complete set of controls, test evidence across the full observation period, and issue a new report. There is no mechanism to reduce auditor effort in subsequent years through sampling.
Continuous Evidence Collection Rigor
SOC 2 Type II requires continuous evidence collection across the observation period. Any gaps result in audit exceptions. This continuous collection requirement drives higher internal labor costs compared to ISO 27001, where evidence is reviewed more on a point-in-time basis during surveillance audits.
Report Complexity
SOC 2 reports are detailed technical documents (fifty to two hundred pages) that require significant auditor effort to produce. ISO 27001 deliverables — the certificate and Statement of Applicability — are simpler to produce.
Where ISO 27001 Costs More (and Why)
Higher Initial Consulting Investment
ISO 27001 requires establishing a formal Information Security Management System (ISMS) with documented scope, policy framework, risk assessment methodology, internal audit program, and management review process. In our experience, many organizations invest more in consulting during year one to establish the ISMS structure. SOC 2's principle-based approach is typically less documentation-intensive upfront.
Internal Audit Requirement
ISO 27001 requires organizations to conduct an internal audit before the certification audit. This is a unique requirement that adds internal labor cost. Some organizations hire external consultants to perform the internal audit, adding to the year-one expense.
ISMS Maintenance
The ISMS requires ongoing maintenance including management review meetings, internal audit cycles, and formal documentation updates. While SOC 2 has similar requirements, the ISMS framework formalizes these activities to a greater degree.
The Cost of Adding the Second Framework
For organizations that need both frameworks (increasingly common for B2B SaaS companies), the incremental cost of adding the second framework is significantly lower than pursuing it independently.
Adding ISO 27001 to Existing SOC 2
| Cost Component | Standalone ISO 27001 | Incremental After SOC 2 | Savings |
|---|---|---|---|
| Year 1 certification | $30,000-$85,000 | $15,000-$45,000 | 40-50% |
| GRC platform | $8,000-$60,000 | $0-$5,000 (add framework to existing platform) | 90%+ |
| Internal labor | $15,000-$100,000 | $8,000-$40,000 | 50-60% |
Adding SOC 2 to Existing ISO 27001
| Cost Component | Standalone SOC 2 | Incremental After ISO 27001 | Savings |
|---|---|---|---|
| Year 1 audit | $20,000-$80,000 | $15,000-$55,000 | 25-35% |
| GRC platform | $8,000-$60,000 | $0-$5,000 (add framework to existing platform) | 90%+ |
| Internal labor | $10,000-$100,000 | $5,000-$35,000 | 50-65% |
The savings come from shared controls (sixty to seventy percent overlap), shared GRC platform (single subscription covering both frameworks), and organizational compliance maturity (team already experienced with audit processes).
Decision Framework: Cost vs Revenue Impact
While ISO 27001 is cheaper in absolute terms, the right framework choice depends on which one your customers require.
| Decision Factor | Favors SOC 2 | Favors ISO 27001 |
|---|---|---|
| Primary market is US enterprise | Yes — SOC 2 required by 70-85% of US enterprise RFPs | — |
| Primary market is European enterprise | — | Yes — ISO 27001 is the standard in EU markets |
| Need a report in under 90 days | Yes — Type I in 90 days | — (ISO 27001 takes 6-12 months) |
| Budget is the primary constraint | — | Yes — 15-25% lower 3-year TCO |
| Customer specifically requires one framework | Pursue whichever the customer requires | Pursue whichever the customer requires |
| Planning to pursue both eventually | Start with SOC 2 (faster first deliverable) | Start with ISO 27001 (lower long-term cost) |
We always advise clients to start with the framework their highest-value prospects require. The cost difference between SOC 2 and ISO 27001 is real, but it is small compared to the revenue at stake when a deal is blocked by a missing certification.
Key Takeaways
- We consistently see ISO 27001 come in fifteen to twenty-five percent cheaper than SOC 2 over three years, primarily due to lighter surveillance audits in years two and three
- The audit fee differential is the largest cost driver we observe: SOC 2 requires full re-audit annually, while ISO 27001 surveillance audits cost forty to sixty percent of the initial certification
- GRC platform costs are the same for both frameworks — the platform subscription is headcount-based, not framework-based
- In our experience, internal labor is slightly lower for ISO 27001 in years two and three due to less intensive evidence collection requirements during surveillance audits
- We advise clients that adding the second framework when you already hold one costs thirty to fifty percent less than pursuing it independently, thanks to sixty to seventy percent control overlap
- What we always tell clients is that cost should not be the primary framework decision driver — the revenue impact of having the framework your customers require exceeds the cost differential
- SOC 2 provides faster time to first report (Type I in ninety days) while ISO 27001 provides lower long-term cost — we help clients weigh both factors against their sales pipeline
Frequently Asked Questions
Is ISO 27001 always cheaper than SOC 2?
In three-year total cost of ownership, yes — we see ISO 27001 come in fifteen to twenty-five percent cheaper almost universally due to the surveillance audit model. However, year-one costs are comparable because both frameworks require similar implementation effort. The savings emerge in years two and three. What we tell clients who are only planning for a one-year horizon is that they may not see meaningful cost differences between the frameworks, so the decision should be driven by market requirements rather than cost.
Can I reduce SOC 2 costs to match ISO 27001?
There are several strategies we walk clients through to reduce SOC 2 costs: using a specialized SOC 2 auditor instead of a mid-tier or Big 4 firm (saves $5,000-$20,000), negotiating multi-year auditor contracts (saves five to fifteen percent), maximizing GRC platform automation to reduce internal labor, and starting with Security criterion only. These optimizations can narrow the gap but generally cannot eliminate the structural cost advantage ISO 27001 has from lighter year-two and year-three audits. For auditor matching, AuditNex provides discovery filtered by industry, company size, and timeline requirements.
What is the cost of maintaining both SOC 2 and ISO 27001 simultaneously?
Based on what we see across our client base, maintaining both frameworks costs approximately thirty to fifty percent more than maintaining SOC 2 alone — not double. The efficiency comes from shared controls, shared evidence, a single GRC platform subscription, and coordinated audit timing. For a growth-stage company, we typically see dual-framework annual maintenance run $80,000-$160,000 compared to $55,000-$125,000 for SOC 2 alone. We help clients coordinate audit timing and evidence reuse to stay at the lower end of that range.
Does company size affect which framework is more cost-effective?
The percentage savings from choosing ISO 27001 over SOC 2 are roughly consistent across company sizes (fifteen to twenty-five percent). However, the absolute dollar savings increase with company size because larger organizations pay higher audit fees. For an enterprise organization, the three-year savings from ISO 27001 can exceed $100,000. For a startup, the savings may be $20,000-$50,000 over three years. What we advise at every size is to weigh that savings against the revenue impact of having the framework your customers actually require.
Are there hidden costs in ISO 27001 that are not captured in this comparison?
The most commonly overlooked ISO 27001 cost we encounter is the internal audit requirement. ISO 27001 requires organizations to conduct an internal audit before each external audit — this can cost $5,000-$20,000 if outsourced or significant internal labor hours if conducted by your own team. The ISMS management review meetings also require executive time that we see organizations underestimate regularly. These costs are included in the internal labor figures in this comparison but are worth calling out because they surprise organizations transitioning from SOC 2 to ISO 27001. We help clients budget for these accurately so there are no surprises mid-program.
Agency Team
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