ISO Certification Cost for Small Business

We understand that every dollar matters for a small business owner, and to grow your business, you want to think before you spend. In such cases, the cost of ISO certification becomes a prime concern for you. However, ISO certification cost varies depending upon the size of the organisation and the number of employees. In this article, we will tell you why the cost of ISO certification varies and what you can do to ensure that you are not spending more than what is needed.

ISO certification process for small businesses

ISO itself does not grant the certificate but merely publishes the standard. The certificate is awarded by accredited certification bodies that adequately train personnel to conduct internal audits. Such personnel are known as lead auditors.

The certification audit or the process of being granted an ISO certificate begins with a lead auditor visiting your organisation. During their first visit, only the documents of your organisation are analysed. The lead auditor will review all your documents, including records of implementation, evidence of corrective actions and proof of internal audits. Once the lead auditor is certain about the documentation authenticity and can find evidence of compliance, they will progress to the next stage of the audit, which includes observing processes in action. During this on-site audit, every process owner will be interviewed to check their awareness about the ISO standard being implemented in the organisation, the controls will be tested for their feasibility, and the operations themselves will be reviewed for their leanness.

After the audit, the lead auditor will make an audit report that contains a list of all the areas which are deficient in their opinion. These areas are known as non-conformances. If there are many non-conformances in your management system, you will be given a period to rectify them before you are granted the certificate. If there are minor non-conformances, you will be given a list of specific corrective actions and your ISO certificate.

Additionally, the job of the certification body does not end here. After all, their reputation is tied to the efficiency of your management system. Hence, to maintain the validity of your ISO certificate, they will conduct annual surveillance audits. These surveillance audits are less intense but very similar to certification audits.

ISO certification cost for small businesses

As you may have understood, variability exists because of the size and complexity of operations. The certification body will charge as per the work they must do. So, if your organisation is larger and has a more significant number of employees, it is evident that the certification body will charge more.

The cost of the assessment also depends upon the certification body conducting the assessment and can range from a few thousand dollars for a small business to tens of thousands of dollars for a larger business. Currently, most certification bodies charge $15,000 for a small business with less than 1000 employees. Hence, as a small business owner, it is beneficial to shop around and compare the prices of different certification bodies to find the most cost-effective option. However, do not forget to factor in their reputation, as you do not want to be stuck with a certification body infamous for just “handing out” certificates.

Moreover, it is also worth remembering that ISO certification cost is not just a one-time cost but involves regular evaluation to maintain the certification. 

Is there any real benefit of hiring ISO consultants?

If you remember, in the introduction, we said we would give you a few tips to reduce the cost of certification. Hiring an ISO consultant can be a strategic decision as their experience helps you achieve compliance and certification on the first attempt. You may feel that hiring an ISO consultant is equivalent to splurging your hard-earned money, but the investment pays in the long run as your management system will be efficient, feasible, sustainable and self-improving. Unless you have experience in the chosen ISO standard, there is no guarantee that your management system will bring you any tangible benefits.

How to reduce the cost of ISO certification

If you have spent adequate time planning, you will achieve compliance on the first attempt. This will drastically reduce your certification cost compared to scenarios where you are unprepared and unorganised. Some tips include outsourcing documentation needs, such as writing standard operating procedures to a professional writer familiar with your industry. Similarly, spend time defining and updating company processes and constructing processes that support the necessary ISO documentation. Additionally, implement time management strategies, as lost production time is inevitable during the ISO implementation process such as; however, reinforcing time management strategies can compensate for any lost time. Lastly, conduct efficient training programmes to ensure that the competency level of your staff is enhanced. If you hire an ISO consultant, they will conduct a gap analysis to identify exactly where your personnel are lacking.

Conclusion

For a small business owner, ISO certification can cost a few thousand dollars; however, for larger organisations, this cost increases. Currently, the majority of the certification bodies charge $15,000 for a small business with less than 1000 employees. You can visit iso9001consultants website if you intend to get ISO 9001 certification or need ISO 9001 consultants.