Revenue leakage
Revenue leakage is money a business is owed or should be charging but fails to collect: missed usage, unbilled changes, wrong discounts, expired promotions and unrecovered failed payments. It usually comes from gaps between systems rather than any one error, and it compounds quietly.
How to read it
Finding it means reconciling what customers contracted, what they used and what was invoiced and paid. Automating that reconciliation is more reliable than periodic spreadsheet audits.
Further reading
- Revenue leakage: what it is and how to stop it.
- Revenue reconciliation for SaaS: closing the billing-to-books gap