How a SOC Audit Can Promote Transparency & Confidence Within an Organization

Within the past five years, the Service Organization Control (SOC) Report has become increasingly more popular among large companies throughout the United States. Investors are getting smarter. They are curious. They desire more information regarding the companies that they are investing a great mount of money in. By pursuing a SOC audit, a company can show that it is serious about its funding, its future & its shareholders.

The Mission Behind the Service Organization Control ReportEstablish Trust with an SSAE 16 Audit

When the AICPA established the original guidelines for SOC reports, it did so with a few objectives in mind.

  • The first was to keep businesses – with colossal financial vulnerabilities – secure & organized.
  • The secondary mission was to provide a comprehensive written document to prove the sustainability of the business & its model to investors.
  • The tertiary objective – more of a byproduct of the SSAE 16 – is to gain a marketing advantage on competitors by promoting & proving transparency with potential/current investors.

In-House Benefits of the SSAE 16: Diminish Risk, Promote Trust

SOC audits are a viable solution for the company looking to tighten up loose ends & save itself from future financial troubles & security breaches. An experienced auditing firm, such as Holbrook & Manter, explores your company, its business model & daily operations. The auditing team then identifies areas of redundancy, inadequate security and inefficiency among internal controls.

The scope of this audit is monumental. The attention to detail is meticulous. This report truly gives a company an objective & accurate view of how it is running as a whole. Many businesses find themselves performing multiple audits throughout the year. However, SOC 1, SOC 2 & SOC 3 audits all have such great shelf-life & are so widely respected in the accounting industry that they protect companies from having to waste money on additional assessments. These reports are the end-all when it comes to long-term risk analysis review.

For more information regarding the benefits of SOC reports for investors, contact H&M’s SOC team today.