Resurgence Support Payment – Revenue Calculation

Current at Monday 23 August 2021

 

The Resurgence Support Payment opens tomorrow at 8am (24 August 2021). This payment is to help support viable and ongoing businesses or organisations due to a COVID-19 alert level increase to level 2 or higher. This is a separate payment to the wage subsidy scheme and can be used towards other business costs.  If your business or organisation is facing a reduction in revenue due to an alert level increase, you may be eligible for the RSP. A business or organisation must have experienced at least a 30% drop in revenue or a 30% decline in capital-raising ability over a 7-day period, due to the increased COVID-19 alert level.

When the RSP is activated, eligible businesses and organisations can apply to receive the lesser of:

  • $1,500 plus $400 per full-time equivalent (FTE) employee, up to a maximum of 50 FTEs (see here)

  • four times (4x) the actual revenue decline experienced by the applicant.

 

If your business is eligible apply for the Resurgence Support Payment here.

How to calculate revenue for your Resurgence Support Payment

 

  1. Firstly, you must continue to bill invoices on the same basis as you did in the prior year

  2. You should not defer billing, as this is still accrued income i.e. income you have earned but not yet received

  3. You should look at revenue earned over a 7-day period in the previous six weeks immediately prior to the move to Alert Level 4.

  4. You should look at your revenue for a continuous 7-day period since moving to alert level 4 (must be historic i.e., not a forecast of what might happen).

  5. If you have a 30% loss in revenue (or capital-raising ability) you qualify (note loss in revenue must be attributable to the change in alert levels)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NB: Revenue is what the business has earned i.e., activities the business has carried out which would entitle the business to bill or invoice (not what has actually been invoiced in that time period). i.e., trades staff have worked x hours therefore entitled to bill a customer or have sold x amount of product, therefore, can bill the customer. If you are catching up from invoicing from work done in pre-lockdown this is not revenue earned from 17 - 23 August, but revenue earned historically that just hasn’t been invoiced.

 
If you require our support please email our team at covid19@velocite.co.nz