What Startups Can Learn from ChatGPT’s Enterprise Move

ChatGPT has just rolled out their exciting new enterprise offering, and it got me thinking about the valuable lessons SaaS entrepreneurs can glean from this development.

Here are the main features that they introduced which you might want to consider for your offering:

• Enterprise-grade security and privacy
• Customer prompts and company data are not used for training OpenAI models.
• Data encryption at rest (AES 256) and in transit (TLS 1.2+)
• Certified SOC 2 compliant Features for large-scale deployments
• Admin console with bulk member management
• SSO
• Domain verification
• Analytics dashboard for usage insights

Having started a few companies, I have often stumbled upon the case when a big company finds your product perfect but just because you are a startup you loose the deal to an established player. Here are some few things you can do from the start and bake in enterprise grade into your DNA:

1. Data Usage Policy:
   • Draft a clear and concise privacy policy that explicitly states that customer prompts and company data will not be used for training OpenAI models.
   • Display this policy prominently on your app’s website or within the app itself during user onboarding.
2. Data Encryption:
   • Install the cryptography library using pip: pip install cryptography.
   • Encrypt sensitive data before storing it in the database. For example, encrypt user passwords before saving them.
   • Use Flask’s built-in app.config['SECRET_KEY'] for encrypting session data.
   • Enable HTTPS for your Flask app by configuring a TLS certificate on your web server (e.g., Nginx or Apache) and using the flask-talisman extension to enforce secure headers.
3. SOC 2 Compliance:
   • Study the SOC 2 framework and identify the applicable Trust Services Criteria (TSC).
   • Implement security controls and policies that align with the selected TSC.
   • Document your processes, procedures, and security measures.
   • Consider hiring a third-party auditor to assess your app’s compliance.
4. Large-Scale Deployments:
   • Design your app using a microservices architecture to allow independent scaling of components.
   • Utilize containerization tools like Docker to package your app and its dependencies.
   • Set up a load balancer (e.g., Nginx or HAProxy) to distribute incoming traffic among multiple instances of your app.
5. Admin Console:
   • Create a new set of routes or endpoints for the admin console.
   • Implement an authentication mechanism for admin users. You can use Flask-Login or Flask-Security for this purpose.
   • Develop forms or API endpoints for bulk member management operations, such as adding or removing members.
6. SSO (Single Sign-On):
   • Choose an SSO protocol like OAuth 2.0 or OpenID Connect.
   • Integrate an SSO provider (e.g., Google, Microsoft Azure AD) by registering your app and obtaining client credentials.
   • Implement the necessary routes and callback endpoints to handle the authentication flow.
   • Store the user’s SSO information in your database after successful authentication.
7. Domain Verification:
   • Choose a verification method (e.g., DNS records, token-based) that suits your needs.
   • Develop a verification page or mechanism within your app where users can input verification tokens or configure DNS records.
   • Verify the entered tokens or DNS records to confirm domain ownership.
8. Analytics Dashboard:
   • Choose a visualization library like Plotly or Chart.js.
   • Design the dashboard layout and the types of usage insights you want to display.
   • Collect relevant usage data (e.g., API calls, user interactions) and store it in a database.
   • Use the chosen library to create interactive graphs and charts based on the collected data.

For the sake of this article I will assume that you are building a flask app. To offer enterprise-grade security and privacy features through your Flask Python app, you’ll need to implement various components and integrations.

The Trust Services Criteria (TSC) are a set of principles used to evaluate the controls in place for ensuring the security, availability, processing integrity, confidentiality, and privacy of systems. These criteria are a part of the SOC 2 framework.

Let’s take a practical example of an online file storage and sharing platform built using Flask. After understanding the app’s scope, let’s identify which Trust Services Criteria (TSC) categories would likely be applicable and provide code-level examples for each.

Example: Online File Storage and Sharing Platform

App’s Scope:

• Services: User registration, file upload/download, sharing files with others, account management.
• Systems: Web server, file storage server, user authentication system.
• Data Flow: User uploads files, files are stored, user shares links with others for downloading.
• Interfaces: Web interface for users, APIs for uploading and downloading files.

Applicable TSC Categories and Examples:

Security:

• Criteria Example: Implement secure authentication and authorization mechanisms to protect user accounts and data from unauthorized access.

Processing Integrity:

• Criteria Example: Ensure data accuracy and prevent unauthorized modifications.
• Code-Level Example: Implement checksums for uploaded files and validate them during download.

Confidentiality:

• Criteria Example: Protect sensitive user data, like passwords and personal information.
• Code-Level Example: Hash user passwords before storing them in the database.

Privacy:

• Criteria Example: Implement measures to protect user data privacy, such as data minimization and user consent.
• Code-Level Example: Provide users with options to manage their data sharing settings.

Availability:

• Criteria Example: Ensure the app is available and functional for authorized users.
• Code-Level Example: Implement health checks to monitor server availability.

Processing Accuracy:

• Criteria Example: Ensure accurate processing of user actions and data.
• Code-Level Example: Implement input validation to prevent malicious or incorrect data from affecting the system.

Data Retention:

• Criteria Example: Define data retention policies and implement mechanisms to manage data lifecycle.
• Code-Level Example: Implement a background task to regularly clean up expired files.

Change Management:

• Criteria Example: Implement a process to manage and track changes to the application.
• Code-Level Example: Use version control (e.g., Git) to track changes to your codebase and maintain a changelog.

Audit and Monitoring:

• Criteria Example: Implement monitoring and audit mechanisms to track user actions and system activities.
• Code-Level Example: Integrate a logging framework to record critical events.

Incident Response:

• Criteria Example: Develop a plan to respond to security incidents and data breaches.
• Code-Level Example: Implement email notifications to administrators for suspicious account activity.

Data Backup and Recovery:

• Criteria Example: Implement backup and recovery processes to ensure data availability.
• Code-Level Example: Use a cloud storage service for backup and implement a scheduled backup task.

Supplier Management:

• Criteria Example: Evaluate and manage security risks posed by third-party services or components.
• Code-Level Example: Regularly review and update third-party libraries used in your app to ensure they are up-to-date and free from vulnerabilities.

Training and Awareness:

• Criteria Example: Provide training to staff about security and privacy practices.
• Code-Level Example: Create an internal documentation or training resource accessible to your development team.

Physical Security:

• Criteria Example: Implement physical security measures to protect hardware and data centers.
• Code-Level Example: Ensure servers and hardware are stored in a controlled environment with restricted access.

Here’s a table summarizing various Trust Services Criteria (TSC) categories, along with a checklist that can help app developers understand whether their application needs to abide by each criterion:

Trust Services Criteria (TSC)	Description	Checklist for App Developers
Security	Protecting against unauthorized access, data breaches, and threats.	– Does your app handle sensitive user data? – Do you have authentication and authorization mechanisms in place? – Have you implemented secure communication (HTTPS)?
Availability	Ensuring your app is available and operational for authorized users.	– Does your app provide redundancy or failover mechanisms? – Have you implemented rate limiting to prevent abuse? – Is there a process for monitoring and addressing downtime?
Processing Integrity	Ensuring data is accurate and processing is reliable.	– Do you validate user inputs to prevent malicious data? – Have you implemented mechanisms to prevent unauthorized data modification? – Is there a system to validate data integrity during transmission?
Confidentiality	Protecting sensitive information from unauthorized access.	– Does your app encrypt sensitive data at rest and in transit? – Are strong password hashing algorithms used? – Is there a policy to handle access to sensitive data?
Privacy	Safeguarding user data privacy and handling personal information.	– Do you provide options for users to control data sharing? – Is there a clear privacy policy communicated to users? – Are user consents obtained when necessary?
Processing Accuracy	Ensuring accurate processing of user actions and data.	– Do you validate form data and user inputs before processing? – Are data calculations accurate and reliable? – Is there error handling for potential issues?
Data Retention	Implementing data lifecycle management and retention policies.	– Do you have a process for deleting expired or unnecessary data? – Is data retained according to legal and regulatory requirements? – Are user preferences for data retention respected?
Change Management	Managing and tracking changes to the application.	– Is there version control for your codebase? – Do you maintain a changelog for releases? – Is there a process for reviewing and approving code changes?
Audit and Monitoring	Monitoring system activities and tracking user actions.	– Do you maintain logs of critical system events? – Is there a mechanism to detect and alert for suspicious activities? – Do you have a process for regular security audits?
Incident Response	Having a plan to respond to security incidents and data breaches.	– Is there a documented incident response plan? – Do you have a process to assess, contain, and mitigate incidents? – Are there communication channels for notifying stakeholders?
Data Backup and Recovery	Implementing backup and recovery processes for data availability.	– Do you have a regular backup schedule for critical data? – Have you tested data recovery procedures? – Is there a process for data restoration in case of failures?
Supplier Management	Evaluating and managing security risks posed by third-party services.	– Do you assess the security practices of third-party services you integrate? – Have you identified critical dependencies on external providers? – Is there a process for addressing vulnerabilities in external libraries?
Training and Awareness	Providing training to staff about security and privacy practices.	– Are team members educated about best security practices? – Do developers know how to handle sensitive data? – Is there a resource for learning about security guidelines?
Physical Security	Implementing physical security measures to protect hardware.	– Is physical access to hardware restricted and monitored? – Do you have safeguards in place to prevent hardware theft or tampering? – Are data centers secured and monitored for unauthorized access?

This checklist can serve as a starting point for app developers to assess their application against various Trust Services Criteria. Achieving SOC2 compliance and ISO 27001 is a big boring scary topic and many founders don’t want to go there. Facing this right in the face early on can help you build a more robust foundation for your startup that will pay off in the years to come.