SaaS providers operate in a digital-first landscape where trust is paramount. To thrive, they must not only offer innovative solutions but also demonstrate uncompromising data security. Achieving certifications like SOC 2, ISO 27001 and CSA STAR serves as a powerful endorsement of your security protocols, assuring potential clients of your commitment to safeguarding sensitive information. These certifications are more than just badges; they are essential tools that help SaaS companies differentiate themselves in a crowded market, build trust quickly, participate in RFPs, and facilitate smoother negotiations, address any objections, ultimately accelerating your business growth by aligning with global security standards.

Top 3 Security Certifications for SaaS Providers - ISO 27001, SOC 2 and CSA STAR and 12 industries which prefer them

At databrackets, we are a team of certified and experienced security experts. Over the last 12 years, we have worked with SaaS Providers and organizations across industries to help them and their vendors prove their compliance with a variety of security standards and frameworks ISO 27001:2022, SOC 2, NIST SP 800-53, NIST Cybersecurity Framework, NIST SP 800-171, like  HIPAA, 21 CFR Part 11, GDPR, CMMC, etc.

We have curated the content in this blog based on our discussions with customers, the requirements of their clients, vendor security questionnaires which we have filled for our customers and from industry insights. Our aim is to share information about the 3 most requested / required security certifications that can help SaaS Providers better prepare for RFQs, assure their customers and expand their business opportunities. The top 3 security certifications for SaaS Providers are:

1) ISO 27001:2022 Certification

2) SOC 2 Examination (also called SOC 2 Certification)

3) CSA STAR Certification

ISO 27001:2022 Certification for SaaS Providers


Organizations often seek SaaS providers with ISO 27001 certification because it offers a reassuring stamp of security and management excellence. This international and reputed standard outlines the best practices for an ISMS (Information security management system), ensuring that a provider has established a systematic approach to managing sensitive company information so that it remains secure. It encompasses people, processes, and IT systems by applying a risk management process. This certification not only helps to reduce the risk of security breaches but also minimizes the impact should a breach occur. With the new ISO 27001:2022 standard, organizations seeking certification must demonstrate advanced cybersecurity maturity to effectively handle persistent security threats. As businesses increasingly rely on digital platforms and data, having a certified provider means they can trust that their information is protected against emerging threats, thus safeguarding their reputation and compliance with other regulatory requirements.


Moreover, achieving ISO 27001 certification requires a provider to undergo rigorous audits by an accredited certification body. This process verifies that the provider actively manages their data security in line with international standards. For clients, this translates into greater trust and reliability, fostering stronger business relationships. Providers with this certification are often preferred because they demonstrate a commitment to continuous improvement and are seen as credible and reliable. This is particularly critical when organizations are responsible for sensitive or critical information, making the choice of a SaaS provider a strategic business decision. Choosing a certified provider also often streamlines the due diligence process, making it easier and faster for organizations to finalize partnerships and projects.


ISO 27001 is a widely recognized international standard for managing information security. Industries that often choose to work with SaaS providers who have this certification typically handle sensitive data and have high security requirements. Here are some industries that prioritize ISO 27001 certification while selecting their SaaS providers:

  1. Healthcare: To protect patient data and comply with regulations like HIPAA.

  2. Financial Services: Banks, insurance companies, and investment firms need to ensure the security of financial information.

  3. Technology: Tech companies, especially those dealing with cloud services, software, and hardware, require robust security measures.

  4. Government and Public Sector: To secure citizen data and maintain trust in public services.

  5. Education: Universities and educational institutions that store student and staff data.

  6. Retail and eCommerce: To protect customer information, including credit card details and personal data.

  7. Telecommunications: For safeguarding user data and ensuring the integrity of communication services.

  8. Manufacturing: Especially those involved in the production of high-tech or security-sensitive products.

  9. Legal Services: Law firms and legal service providers need to protect client confidential information.

  10. Pharmaceuticals: To secure sensitive research and health data and intellectual property related to drug development.

  11. Media and Entertainment: Protecting digital content and customer data against breaches and unauthorized access.

  12. Energy and Utilities: To safeguard critical infrastructure information and compliance with regulatory requirements.

  13. Transportation and Logistics: Ensuring the security of data related to goods, services, and passenger information.

  14. Real Estate: To secure transactions and personal data of buyers, sellers, and renters.

  15. Consulting and Professional Services: These firms handle sensitive information from various industries and must ensure confidentiality and security.

  16. Nonprofit Organizations: To protect donor and beneficiary information and maintain trust.

  17. Hospitality and Travel: Managing personal data of guests and travel-related information securely.

  18. Automotive: Especially in areas related to connected car technologies and manufacturing data.

  19. Construction and Engineering: To safeguard project data, architectural plans, and compliance with safety regulations.

  20. Biotechnology: Protecting intellectual property and personal data in research and development.

  21. Insurance: Beyond financial services, specifically for managing risk data and personal information of policyholders.

  22. Gaming and Online Betting: Ensuring the security of user accounts and transaction data.

  23. Sports Organizations: Managing data related to athletes, staff, and event management securely.

  24. Agriculture: Securing data related to crop management, production processes, and supply chain logistics.

  25. Maritime and Shipping: Protecting navigational and cargo data crucial for operations.

These industries look for ISO 27001-certified SaaS providers to ensure they adhere to the highest standards of information security, helping them manage risks and maintain compliance with specific regulatory requirements related to data protection and privacy.

SOC 2 Examination for SaaS Providers


Achieving a SOC 2 examination positions SaaS providers as leaders in their field by demonstrating their commitment to robust security and privacy measures, which are essential for building trust and satisfaction. By adhering to AICPA’s Trust Services Criteria, which cover security, availability, processing integrity, confidentiality, and privacy, SaaS companies ensure the safe handling of customer data.

The SOC 2 audit is more than just a compliance check; it’s a transformative process that enhances a SaaS provider’s security framework. By evaluating the company’s controls related to the Trust Services Criteria, the audit provides insights that strengthen security measures, significantly enhancing the company’s appeal in competitive bids. When responding to Vendor Security Questionnaires and Requests for a Quote (RFQs), possessing a SOC 2 report facilitates quicker negotiations. It assures potential partners that the provider meets and often exceeds high-security standards, speeding up the process of closing deals and securing a competitive edge in the dynamic SaaS marketplace.

SOC 2 compliance is often a requirement when hiring a SaaS provider across a broad range of industries that handle sensitive data. This compliance standard helps ensure that a service provider securely manages data to protect the interests of the organization and the privacy of its clients. Here are some key sectors where SOC 2 compliance is particularly critical:

  1. Technology and Cloud Computing: Tech companies, especially those offering cloud services, often require SOC 2 compliance to ensure robust security practices and data protection are in place.

  2. Healthcare: Due to the sensitive nature of health information, healthcare providers and related entities look for SOC 2 compliance in SaaS offerings to safeguard patient data as per HIPAA and other regulations.

  3. Finance and Banking: Financial institutions, including banks, investment firms, and insurance companies, need SOC 2 compliance to protect financial data and comply with industry regulations like GLBA.

  4. Legal and Professional Services: Law firms and professional service providers dealing with confidential client information seek SOC 2 compliance to ensure data integrity and security.

  5. Retail and eCommerce: These sectors handle a significant amount of customer data, including payment information, making SOC 2 compliance important for e-commerce platforms and other retail-related software services.

  6. Education: Educational institutions and services that handle student records and other sensitive information often require SOC 2 compliance to protect against data breaches and unauthorized access.

  7. MarTech: Marketing technology services dealing with customer data, analytics, and personalized marketing strategies also look for SOC 2 compliance in their SaaS providers to ensure data privacy and security.

  8. Government and Public Sector: Agencies at various levels of government that use SaaS products need assurance that their data handling complies with strict security and privacy standards.

  9. Telecommunications: Companies in this sector deal with vast amounts of personal and usage data and require strict compliance to manage data securely.

  10. Energy and Utilities: These industries are increasingly dependent on digital solutions for infrastructure management and data analysis, necessitating robust security measures.

  11. Real Estate: With the growing use of SaaS for everything from property management to real estate analytics, SOC 2 compliance is crucial to protect sensitive financial and personal information.

  12. Non-profit Organizations: Nonprofits that handle donor information and other sensitive data look for SOC 2 compliant providers to ensure their data is managed securely.

  13. Manufacturing: As the manufacturing sector increasingly adopts IoT and other connected technologies, the need for secure data management and compliance like SOC 2 becomes more pronounced.


These industries prioritize SOC 2 compliance because it helps assure them that their SaaS providers are managing and protecting data appropriately, which is crucial for maintaining trust and meeting regulatory requirements.

CSA STAR Certification for SaaS Providers


(Cloud Security Alliance Security, Trust & Assurance Registry)




The CSA STAR certification is highly regarded among organizations when selecting SaaS providers because it specifically addresses the security and operational concerns inherent to cloud environments. This certification extends beyond traditional compliance measures by integrating the requirements of ISO 27001 with additional criteria tailored to cloud security, making it uniquely comprehensive for cloud services. Organizations that choose CSA STAR-certified providers can be assured of thorough and reliable security practices that are constantly updated to tackle the evolving threats in cloud technology. This certification serves not only as a mark of robust security but also as a demonstration of a provider’s commitment to transparency and accountability in their cloud operations, making them a preferred choice for businesses that prioritize data integrity and availability.


Additionally, CSA STAR distinguishes itself by promoting open and continuous disclosure of compliance and security statuses, which enhances trust and confidence among potential clients. This transparency is vital for clients who require clear insights into how their data is managed and protected in the cloud. The certification involves a comprehensive public registry where certified providers must disclose their compliance achievements and maintain them over time. This ongoing process ensures that SaaS providers are not only compliant at the point of certification but are also committed to maintaining high standards as cloud technologies and security challenges evolve. For organizations, choosing a CSA STAR-certified provider means engaging with a partner that values security as a continuous priority, significantly reducing the risks associated with cloud services deployment.


SaaS providers with a CSA STAR certification are preferred across a wide range of industries, especially those that handle sensitive data or operate under strict regulatory requirements. Here are some industries where such providers are particularly valued:

  1. Healthcare: Due to the need for compliance with regulations such as HIPAA in the U.S., which mandates the protection of patient data.

  2. Financial Services: Where data security and privacy are paramount, governed by regulations like GDPR in Europe and GLBA in the U.S.

  3. Banking: Similar to financial services, for ensuring the integrity and security of financial transactions and personal customer data.

  4. Insurance: For protecting sensitive customer information and complying with industry-specific regulations.

  5. Retail: Especially for e-commerce platforms that handle credit card and personal customer information, needing to adhere to PCI DSS standards.

  6. Telecommunications: Where large volumes of user data must be securely managed.

  7. Government: For securing public data and ensuring compliance with government-specific security standards.

  8. Education: Schools and universities that handle student information require secure cloud-based solutions.

  9. Technology: Especially companies that deal in software development and need to protect intellectual property.

  10. Manufacturing: Where intellectual property and proprietary data require strict security measures.

  11. Pharmaceuticals: Due to the sensitive nature of medical data and compliance with health regulations.

  12. Biotechnology: Similar to pharmaceuticals, with an emphasis on research data security.

  13. Legal Services: Where client confidentiality and data security are essential.

  14. Real Estate: Handling sensitive financial and personal information during transactions.

  15. Logistics and Supply Chain: For secure management of data across various stages and locations.

  16. Energy and Utilities: Including those that must adhere to critical infrastructure protection standards.

  17. Media and Entertainment: Where copyright and customer data require protection.

  18. Consulting Services: Especially those dealing with sensitive client information across various sectors.

  19. Automotive: Particularly in areas related to connected car data and proprietary design information.

  20. Travel and Hospitality: Handling credit card and personal data of travelers.

  21. Consumer Services: Where personal data privacy is a priority.

  22. Professional Services: Ranging from accountancy to management consulting, where data security is crucial.

  23. Non-Profit Organizations: Which often handle sensitive donor and beneficiary information.

  24. Construction and Engineering: For protecting project data and contractual information.

  25. Aerospace: With strict compliance requirements for protecting design and manufacturing data.


In each of these industries, the CSA STAR certification helps organizations ensure that their cloud service providers meet the highest standards for data security and compliance, mitigating risks and enhancing trust in cloud-based solutions.

How databrackets works with SaaS Providers


At databrackets, we are a team of certified and experienced security experts with over 12 years of experience across industries. We have helped SaaS Providers prove their compliance with security standards and get certified (where applicable), to enable them to expand their business opportunities and assure existing clients of their commitment to protecting sensitive information and maintaining high standards of security and privacy.

We offer 3 Engagement Options – our DIY Toolkits, Hybrid or Consulting Services for security standards. For Certifications, we are an authorized certifying body for ISO 27001 and a Registered Practitioner Organization for CMMC. We also have partnerships to help clients prepare for and obtain other security certifications.

Some of our popular services availed by SaaS Providers include:


Overview of databrackets


Our team of security experts has supported organizations across a wide variety of industries to align their processes with security frameworks like HIPAA, 21 CFR Part 11, ISO 27001:2022, SOC 2, NIST SP 800-53, NIST Cybersecurity Framework, NIST SP 800-171, GDPR, CMMC etc.

We are constantly expanding our library of assessments and services to serve organizations across industries. Schedule a Consultation if you would like to Connect with an Expert to understand how we can customize our services to meet your specific requirements.


Related Links:

SOC 2 versus ISO 27001 

SOC 2 Type 2 Audit for SaaS Companies

Can you submit a SOC 2 Report instead of a Vendor Security Questionnaire? 

What is the Role of a SOC 2 Compliance Readiness Partner

SOC 2 for SaaS Providers

Author: Aditi Salhotra, Digital Marketing and Business Development,

Aditi is a Digital Marketing and Business Development Professional at She graduated with honors in Marketing from Sheridan College, Canada. In addition to her current profile, she contributes to Product Development and Content Creation. She is a strong advocate of Good Cyber Hygiene and white hat SEO techniques. She is proud of the company’s mission to safeguard organizations from cyber threats and ensure their business continuity in adverse situations. 

Technical Expert: Srini Kolathur, Director,

The technical information presented in this blog has been carefully reviewed and verified by our Director, Srini Kolathur. Srini is results-driven security and compliance professional with over 20 years of experience supporting, leading, and managing global IT security, compliance, support, and risk assessment in fortune 100 companies. Some of his key areas of focus are SOC 2, ISO 27001, NIST 800-171, NIST 800-53, NIST Cybersecurity Framework,  HIPAA, Security Risk Assessment, CMMC 2.0 among others. He is a CMMC Registered Practitioner (RP), CISSP, CISA, CISM, MBA. He is active in several community groups including Rotary International and TiE.

Last Updated on June 19, 2024 By Aditi SalhotraIn cybersecurity, iso 27001, SaaS, SOC 2