Original Source: Assurance Concepts

“Many organization confuse a TYPE 1 vs TYPE 2 report with the SOC 1 vs SOC 2 standards.

A SOC 1 report is for service organizations that impact or may impact their clients’ financial reporting.

A SOC 2 report is for service organizations that hold, store or process information of their clients, but is not significant to financial reporting (e.g., would not affect their income statement or balance sheet)…”

Contributors: Open Source
Categories: Industry Articles, SIG U Resource
SRC Type: Risk Management, Sourcing Management, Third Party Management