SaaS · Compliance

SaaS Compliance Frameworks — A Comparison

Compliance frameworks overlap more than they differ. Knowing which one your customers actually ask for — and doing the shared work once — saves a lot of duplicated audits.

John Kihiu12 min read

SaaS compliance is a maze of acronyms, and teams often pursue the wrong framework, or several redundantly. The frameworks overlap heavily in their underlying controls, so the real question is not "which is best" but "which do my customers demand," and how to build a security program once that satisfies several. Getting the sequence right avoids paying for the same work twice.

What each covers

FrameworkNatureWho asks for it
SOC 2Attestation of security controls (US-centric)US B2B buyers, especially enterprise
ISO 27001Certified information-security management systemInternational and enterprise buyers
GDPREU data-protection law (mandatory, not optional)Anyone handling EU residents' data
HIPAAUS health-data lawAnyone handling US health information

The crucial distinction: SOC 2 and ISO 27001 are voluntary standards you pursue to win trust and deals, while GDPR and HIPAA are laws you must comply with if you handle the relevant data, regardless of whether a customer asks. Confusing "expected by customers" with "legally required" leads teams to skip the mandatory ones.

Pursue what customers demand

Do not chase certifications speculatively. The trigger for SOC 2 or ISO 27001 is usually sales: enterprise prospects start requiring it, and it becomes a gate to closing deals. Let that real demand drive the timing. SOC 2 is the common first step for US-market SaaS; ISO 27001 matters more for international and larger enterprise. Pursue the one your actual pipeline is asking for, not the one that sounds most impressive.

Do the shared work once

The frameworks share a large core of controls — access management, encryption, logging, vendor management, incident response, risk assessment. Build that security program once, well, and it satisfies the bulk of any framework. Then the framework-specific work (a SOC 2 audit, an ISO certification) sits on top of the same foundation. Teams that treat each framework as a separate project redo the same controls repeatedly; teams that build one program and map it to multiple frameworks do the work once.

GDPR and HIPAA are not optional

SOC 2 and ISO 27001 can wait for customer demand, but if you handle EU personal data or US health data, GDPR and HIPAA apply the day you start — no customer has to ask. Confirm which laws bind you based on the data you hold and where your users are, and treat those as non-negotiable while you time the voluntary certifications to your sales needs.

SaaS compliance frameworks overlap in their controls and differ in who demands them: SOC 2 and ISO 27001 are trust standards driven by enterprise sales, GDPR and HIPAA are laws driven by the data you hold. Build one strong security program, map it to the frameworks your customers and regulators actually require, and you satisfy several with one body of work instead of many overlapping audits.

John Kihiu
Acumatica ERP Developer · Laravel Engineer

Independent software engineer in Nairobi specialising in Acumatica customisations, Laravel backends, and tax fiscalisation integrations across East and Southern Africa.