DPM Estate Limited - Period Ending 2020-03-31

DPM Estate Limited

Contents

Directors' Report	1
Balance Sheet	2 to 3
Notes to the Unaudited Financial Statements	4 to 8

DPM Estate Limited

Directors' Report for the Year Ended 31 March 2020

The directors present their report and the financial statements for the year ended 31 March 2020.

Directors of the company

The directors who held office during the year were as follows:

Mrs K Jones - Company secretary and director

Mr M Jones (resigned 22 December 2020)

Mr A P Rodgers (appointed 25 March 2020)

Principal activity

The principal activity of the company is as follows:

• Purchase of land and commercial properties
• Development of commercial properties
• Commercial property letting
• Sale of energy
• Property management and service charge administration
• Provision of business consultancy, with an expertise in business rates
 

Future Prospects
The Company is actively seeking new opportunities to invest and develop commercial property in South Dorset. The market may be due for an element of correction post COVID-19 and this may present such opportunities.

This year marked the start of the redevelopment of some older properties, a trend that will continue into the future, ensuring the Company keeps pace with market requirements. Solar PV installations will be considered for their suitability for all future developments, as this has proved successful in commercial property development in recent years.

Property management and administration activities set to continue increasing, as the Company expands, and property compliance expands year on year.

Due to the expansion of the trading activities in recent years, it has become necessary to engage an employee to carry out the management, consultancy and administration activities of the Company.

 

Small companies provision statement

This report has been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

Approved by the Board on 23 December 2020 and signed on its behalf by:

Mrs K Jones Company secretary and director

DPM Estate Limited

(Registration number: 02730689)
Balance Sheet as at 31 March 2020

	Note	2020 £	2019 £
Fixed assets
Tangible assets	4	14	14
Investment property	5	11,405,046	11,136,441
		11,405,060	11,136,455
Current assets
Debtors	7	6,110,109	4,876,356
Other financial assets	6	4,665	9,038
Cash at bank and in hand		980,159	1,237,352
		7,094,933	6,122,746
Creditors: Amounts falling due within one year	8	(459,684)	(271,079)
Net current assets		6,635,249	5,851,667
Total assets less current liabilities		18,040,309	16,988,122
Provisions for liabilities
Deferred tax liabilities		(300,418)	(248,630)
Net assets		17,739,891	16,739,492
Capital and reserves
Called up share capital		706,159	706,159
Share premium reserve		6,331,585	6,331,585
Fair value reserve		2,848,852	2,635,655
Profit and loss account		7,853,295	7,066,093
Total equity		17,739,891	16,739,492

DPM Estate Limited

(Registration number: 02730689)
Balance Sheet as at 31 March 2020

For the financial year ending 31 March 2020 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

•	The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and
•	The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements have been prepared and delivered in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006. The option not to file the profit and loss account and directors’ report has been taken.

Approved and authorised by the Board on 23 December 2020 and signed on its behalf by:
 

Mrs K Jones Company secretary and director

DPM Estate Limited

Notes to the Unaudited Financial Statements
for the Year Ended 31 March 2020

1	General information

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
Unit C, Oxford Court Cambridge Road
Granby Industrial Estate
Weymouth
Dorset
DT4 9GH
England

2	Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

These financial statements are presented in Sterling (£).

Turnover recognition

Turnover represents amounts chargeable, net of value added tax, in respect of the sale of land and commercial property, energy, consultancy and other services to customers.
Turnover also includes rents receivable.

Tax

The tax expense for the period comprises current and deferred tax. Tax is recognised in the profit and loss account, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.

DPM Estate Limited

Notes to the Unaudited Financial Statements
for the Year Ended 31 March 2020

Deferred tax is recognised on timing differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements and on unused tax losses or tax credits in the company. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Deferred tax liabilities are presented within provisions for liabilities on the balance sheet.

Tangible assets

Tangible assets are stated at cost.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition.

Investment property

Investment property is carried at fair value, derived from the rental yield determined annually by internal valuers. The valuers use rental yield, adjusted if necessary for any difference in the nature, location or condition of the specific asset. Changes in fair value are recognised in profit or loss.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

Creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

3	Staff numbers

The average number of persons employed by the company (including directors) during the year was 2 (2019 - 2).

DPM Estate Limited

Notes to the Unaudited Financial Statements
for the Year Ended 31 March 2020

The company is run and administered by the directors of the company for whom no formal contracts of service are in place.

4	Tangible assets

	Other assets  £	Total £
Cost or valuation
At 1 April 2019	14	14
At 31 March 2020	14	14
Depreciation
Carrying amount
At 31 March 2020	14	14
At 31 March 2019	14	14

5	Investment properties

	2020  £
At 1 April 2019	11,136,441
Fair value adjustments	268,605
At 31 March 2020	11,405,046

The investment properties class of fixed assets were adjusted on 31 March 2020 to fair value by Mr M Jones who is internal to the company. The basis of this valuation was based upon a rental yield.
The class of asset has a current value of £11,405,046 (2019 - £11,136,441) and a carrying amount at historical cost of £8,251,237 (2019 - £8,251,237). The depreciation on this historical cost is nil (2019 - £nil).

There has been no valuation of investment property by an independent valuer.

DPM Estate Limited

Notes to the Unaudited Financial Statements
for the Year Ended 31 March 2020

6	Other financial assets (current and non-current)

	Financial assets at fair value through profit and loss £	Total £
Current financial assets
Cost or valuation
At 1 April 2019	9,038	9,038
Fair value adjustments	(4,373)	(4,373)
At 31 March 2020	4,665	4,665
Impairment
Carrying amount
At 31 March 2020	4,665	4,665

7

Debtors

	2020  £	2019  £
Trade debtors	34,994	31,622
Other debtors	6,075,115	4,844,734
Total current trade and other debtors	6,110,109	4,876,356

Included within debtors are loans, which are repayable on demand to companies in which the directors are members of the key management personnel. Interest is charged at HM Revenue & Customs beneficial loan rates. At the balance sheet date the amounts due were £4,688,000 (2019 - £4,488,000).

DPM Estate Limited

Notes to the Unaudited Financial Statements
for the Year Ended 31 March 2020

8

Creditors

Creditors: amounts falling due within one year

	2020 £	2019 £
Due within one year
Trade creditors	4,125	20
Corporation tax	183,788	193,468
Other creditors	271,771	77,591
	459,684	271,079

9	Reserves reconciliation

	Fair value reserve £
At 1 April 2019	2,635,655
Movement in year :
Transfer of fair value adjustment from profit & loss	264,232
Transfer of deferred tax on fair value adjustments	(51,035)
At 31 March 2020	2,848,852

	Fair value reserve £
At 1 April 2018	2,417,830
Movement in year :
Transfer of fair value adjustment from profit & loss	305,353
Transfer of deferred tax on fair value adjustments	(87,528)
At 31 March 2019	2,635,655