Revenue Leakage Audit
Identify leakage between usage, billing, and revenue recognition.
Quick checklist
- Reconcile usage logs with invoices.
- Verify discounts and credits applied correctly.
- Review cancellations vs refunds.
- Check revenue recognition timing.
- Track leakage as a monthly metric.
Step-by-step
- Pull usage, billing, and revenue data for the month.
- Compare billed units to metered units.
- Audit discounts, credits, and refunds.
- Validate revenue recognition rules.
- Document fixes and re-audit quarterly.
What to watch
- Usage not billed due to missing meters.
- Discounts applied outside policy.
- Refunds not reflected in MRR.
Common mistakes
- Auditing only once per year.
- Ignoring regional billing rules.
- Treating leakage as a finance-only issue.
