Bad Debt Rate

Bad Debt Rate: Percentage of revenue written off as uncollectable.

Formula

Bad Debt Rate = Bad debt expense / Revenue × 100

Computable definition

The canonical formula in the GASP formula grammar. The MCP server compiles it to SQL over the datasets listed below.

sum(field.bad_debt_expense) / metric.revenue_gaap

Unit: percent (the formula yields an unscaled ratio)

Notes: Canonical definition is in finance.md; revops.md links to it. Denominator is GAAP recognised revenue (metric.revenue_gaap), not billings.

Data requirements

Grain: Monthly aggregate · Frequency: Monthly · Aggregation: aggregate (month) · Staged: no · Main source: Finance / ERP.

Field	Dataset	Type
`bad_debt_expense`	financials	decimal
`period_start`	financials	date
`revenue`	financials	decimal

Example SQL (Postgres)

SELECT (CAST((SELECT COALESCE(SUM(bad_debt_expense), 0) FROM financials WHERE period_start >= :period_start AND period_start <= :period_end) AS DOUBLE PRECISION) / NULLIF(((SELECT COALESCE(SUM(revenue), 0) FROM financials WHERE period_start >= :period_start AND period_start <= :period_end)), 0)) AS bad_debt_rate

From an agent: with the GASP MCP server, call lookup_metric({ "name": "Bad Debt Rate" }) or generate_query({ "metric": "Bad Debt Rate", "adapter": "<your adapter JSON>" }).

View canonical definition →

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