SOC 2 attestation in Canada

SOC 2 attestation in Canada at a glance

A procurement questionnaire from an American enterprise buyer usually ends the same way for Canadian SaaS firms: send us your SOC 2 report. SOC 2 is an attestation rather than a certification, an examination by a licensed CPA firm of controls at a service organisation relevant to security, availability, processing integrity, confidentiality or privacy under the AICPA's criteria. A Type 1 report looks at control design at a point in time; a Type 2 report also tests operating effectiveness over a period. Closer to home, OSFI's Guideline B-10 expects banks and insurers to hold higher-risk technology suppliers to recognised industry standards, and a SOC 2 report is one of the documents those vendor reviews often accept, alongside ISO/IEC 27001. Sterling's Toronto office designs the control set, writes the policies, runs a readiness assessment and supports the CPA firm's fieldwork; Effivity and Sterling Academy come with the engagement. The questions Canadian providers ask are answered below.

Who needs SOC 2 in Canada, and what happens without it

In Canada the question rarely comes from a law. It comes from the buyer, the regulator or the partner that wants proof before it signs. These are the organisations that get asked.

• Canadian SaaS and cloud providers selling to US enterprisesUS buyers commonly ask for a SOC 2 report in procurement.
• Technology providers to federally regulated financial institutionsB-10 expects elevated-risk third parties to meet the institution's or recognised industry standards.
• Payment and fintech firmsPartners ask for independent assurance over controls; RPAA requires a risk management and incident response framework.

SOC 2 requirements in Canada

Strip away the vocabulary and SOC 2 asks a service organisation to report on six things about the controls behind its service.

In Canada these six sit alongside the local laws and regulations listed under drivers below; one system can evidence both. The detail is on the global hub: SOC 2 explained →

How to get a SOC 2 report in Canada

One team from the Toronto office carries the work from scoping to report. Delivered from the Toronto office: on-site in Ontario and by arrangement in other provinces; remote delivery for distributed teams.

1. Discovery call and scopeEntities, locations, regulators and target date, agreed before any proposal.
2. Gap assessment against SOC 2 and the Canadian requirements that apply to youControls you already run for your regulators and customers are reused, not rebuilt.
3. Your system built with your team in EffivityRisks, controls, evidence, incidents and reviews in one live system the auditor can see.
4. Internal audit, management review and corrective actionsYour internal auditors trained by Sterling; the evidence proven before any external review.
5. The independent examination and reportA licensed CPA firm performs the examination and issues the report. Sterling supports the examination.

The Sterling Promise: 100% on-time completion, 100% success, 8,100+ client engagements.Sterling does not certify. Certification decisions stay with independent bodies.

• SOC 2 gap analysis
• SOC 2 implementation plan

How long does SOC 2 attestation take in Canada?

There is no standard duration: it depends on your scope and on how much of the system already runs. In Canada these are the factors that set the timeline.

• Type 1 versus Type 2 and the length of the observation period
• Number of trust services categories in scope
• Maturity of control evidence

Sterling agrees a dated plan with you on the discovery call, once the scope is known.

• What drives the SOC 2 timeline
• Scope and timeline estimator

How much does SOC 2 attestation cost in Canada?

The cost has two parts: the consulting work to build and prove the system, and the CPA firm’s fees, which are quoted separately. In Canada these factors move both.

• Number of trust services categories and systems in scope
• CPA firm fees quoted separately from consulting
• Tooling for evidence collection

Sterling gives one customised, all-inclusive proposal after the discovery call, never before the scope is agreed.

• What makes up the cost of SOC 2

SOC 2 consultants and auditors in Canada

Two different organisations are involved. A consultant helps you build the system and prove it works; a licensed CPA firm then audits or assesses it and decides. Keeping the two separate is what makes the result credible to buyers and regulators.

• Check that the body’s accreditation or approval covers SOC 2 and your sector, and that its certificates can be verified online.
• Ask the consultant how the local requirements in Canada are mapped into the same system, so nothing runs twice.
• Ask for client references in your sector; Sterling’s client letters are available on request.
• Agree who owns the evidence and the tool after the engagement; with Sterling the system stays yours, in Effivity.

SOC 2 in Canada: questions clients ask

More on SOC 2 for Canadian organisations

• SOC 2: the complete guide
• Watch: How to implement SOC 2
• Accounting and professional services: SOC 2 for the sector
• BPO and shared services: SOC 2 for the sector
• Fintech and payments: SOC 2 for the sector
• Healthcare IT and health BPO: SOC 2 for the sector
• HR, payroll and staffing: SOC 2 for the sector
• MSPs and data centres: SOC 2 for the sector
• SaaS and technology: SOC 2 for the sector
• Sterling in Toronto
• SOC 2 attestation in Canada and every other standard Sterling delivers there

Other standards Canadian businesses ask Sterling for

Organisations in Canada often combine SOC 2 with one of these, under one management system where the scopes allow.

All 21 standards Sterling delivers in Canada →