Internal Controls Over Financial Reporting
SOC 1 (Service Organization Control 1) reports are designed for service organizations that provide services that affect their clients' internal controls over financial reporting (ICFR). These reports provide assurance about the controls at a service organization that are relevant to user entities' internal controls as they relate to financial reporting.
Cyber Radar Systems provides comprehensive SOC 1 readiness assessments, gap analysis, control implementation, and audit support services. Our experts help service organizations prepare for and successfully complete SOC 1 examinations, ensuring controls are properly designed and operating effectively to meet client and auditor expectations.
SOC 1 reports are critical for organizations such as payroll processors, claims processors, data centers, and SaaS providers whose services impact their clients' financial statements. These reports demonstrate commitment to control excellence and provide assurance to clients and their auditors.
SOC 1 Type I Report
Reports on the fairness of the presentation of management's description of the service organization's system and the suitability of the design of controls at a specific point in time.
SOC 1 Type II Report
Includes everything in Type I plus testing of the operating effectiveness of controls over a minimum period of six months, providing greater assurance to user entities.
User Access Controls
Authentication, authorization, and access management controls ensuring only authorized users can access systems and data.
Change Management
Policies and procedures for managing changes to systems, applications, and infrastructure affecting financial reporting.
Data Integrity
Controls ensuring accuracy, completeness, and consistency of data used in financial reporting processes.
Operations & Monitoring
System monitoring, incident management, and operational procedures maintaining service availability and performance.
Business Continuity
Backup, recovery, and disaster recovery procedures ensuring continuity of critical financial reporting services.
SOC 1 Examination Process
Scoping
Define audit scope and controls
Readiness
Gap analysis and remediation
Design
Document control design
Testing
Test control effectiveness
Audit
Independent examination
Report
Receive SOC 1 report
Client Confidence
Demonstrate control excellence and provide assurance to clients and their auditors regarding financial reporting controls.
Competitive Advantage
Differentiate from competitors and meet client requirements for service provider due diligence and vendor assessments.
Audit Efficiency
Reduce redundant audits by providing standardized reporting that satisfies multiple client auditor requirements.
Control Improvement
Identify and remediate control weaknesses, improving overall operational effectiveness and risk management.
Regulatory Alignment
Align with Sarbanes-Oxley (SOX) requirements and demonstrate commitment to strong internal controls.
Market Expansion
Access enterprise clients and regulated industries that require SOC 1 reports from service providers.
Organizations That Need SOC 1 Reports
Payroll Service Providers
Process employee compensation affecting financial statements
Claims Processing Services
Handle insurance claims impacting financial reporting
Data Center & Cloud Providers
Host systems and data for financial applications
SaaS Financial Applications
Provide accounting, ERP, or financial management software
Transaction Processors
Handle payments, billing, or financial transactions
Investment Fund Administrators
Manage fund accounting and investor reporting
Ready for SOC 1 Compliance?
Our SOC 1 readiness and audit support services help you achieve compliance and provide assurance to your clients.