Many companies choose to development home-grown applications so they can tailor the application to their specific needs. Employing a full-time software development staff can be expensive, both from a salary perspective and on-going training. Alternatively, many companies contract with a 3rd party software development company. Outsourcing such an important task carries huge risk. A SSAE 16 or SOC 2 audit provides transparency around the software developer’s internal controls. In fact, many companies will not even consider outsourcing to a software developer who does not have a SSAE 16 or SOC 2.