Registration number:
Devon Equity Management Limited
for the Period from 11 April 2019 to 31 December 2019
Devon Equity Management Limited
Contents
Company Information |
|
Strategic Report |
|
Directors' Report |
|
Statement of Directors' Responsibilities |
|
Independent Auditor's Report |
|
Profit and Loss Account |
|
Statement of Comprehensive Income |
|
Balance Sheet |
|
Statement of Changes in Equity |
|
Statement of Cash Flows |
|
Notes to the Financial Statements |
Devon Equity Management Limited
Company Information
Directors |
Mr Alexander Darwall Mr Luca Emo Capodilista Mr Simon Troughton Mr Richard Pavry |
Registered number |
11939535 |
Registered office |
|
Accountants |
|
Auditors |
|
Page 1 |
Devon Equity Management Limited
Strategic Report for the Period from 11 April 2019 to 31 December 2019
The directors present their strategic report for the period from 11 April 2019 to 31 December 2019.
Principal activity
The principal activity of the company is that of fund management.
Fair review of the business
The Directors are satisfied that the results for the year are broadly in line with their expectations.
The loss for the financial period amounted to £81,527, representing the non-recurring establishment costs for the company.
The company has been authorised and regulated by the Financial Conduct Authority since 11 November 2019.
Revenues during the period were £533,335, representing the reduced management fees attributable to Jupiter European Opportunities Trust plc (JEO) up until 31 May 2020 and full fees attributable to the institutional client for the period from the commencement of fund management activities by the company on 15 November 2019, to the financial year end. Market circumstances permitting, revenues are projected to generate a gross profit in the current financial year ending 31 December 2020.
The company is taking steps to diversify its business and has launched a Luxembourg-domiciled SICAV subsequent to the financial year end.
Key Performance Indicator
The directors consider that management fee revenues are the company’s key performance indicator in relation to the financial period under review.
The company signed investment management agreements during the financial period under review which will generate management fees which are expected to exceed the company’s operating costs on an annualised basis. In particular, it has been publicly disclosed to the London Stock Exchange that the fee payable by the investment trust client will increase from 10bp per annum of net assets to 90bp of net assets per annum with effect from 31 May 2020. The net assets of the investment trust were £822 million as at 31 March 2020, being the latest practicable date prior to this report. Management fees were also accrued in relation to the company’s segregated institutional client during the financial period under review.
Page 2 |
Devon Equity Management Limited
Strategic Report for the Period from 11 April 2019 to 31 December 2019
Principal risks and uncertainties
Devon, like all companies, faces a range of risks and uncertainties. The following are the main areas of risk and how we are mitigating them:
Economic, Political and Regulatory Risks
Like all fund management companies, we are at risk of a general downturn in world economies and stock markets that might affect the companies in which we invest the money entrusted to us by investors. The current COVID-19 pandemic represents such a scenario.
We mitigate these risks by having fund management personnel who have a track record of successful investment in all economic and market conditions, and whose investment processes have proven successful over time.
The directors are continuously reviewing known economic, political and regulatory risks and watching for new risks, so that we can be proactive in addressing them in a controlled and timely manner.
Foreign Exchange Risk
The Company earns fees in Swiss francs from its segregated institutional client. The Company's policy is to hold only a minimum amount of currency to cover operational needs and therefore converts foreign currency on receipt. Direct exposure is therefore limited to the short-term outstanding currency fee debts at any time. The Company does not hedge this risk.
Interest Rate Risk
The Company has no interest-bearing debt. The Company is only exposed to interest rate risk in the level of return it earns on its cash deposits (currently nil).
Credit Risk
The Company has implemented policies that require appropriate credit checks on customers. The Company is also directly exposed to credit risk in the placement of its cash deposits. The Company's policy is to place deposits only with financial institutions which satisfy minimum ratings and other criteria set by the board from time to time. All such cash deposits are currently placed with HSBC.
Key man risk
Our main operational risk is the risk of losing fund management personnel. We have mitigated that risk by taking steps to ensure we have proper succession planning in place (with the recruitment since the financial year end of Charlie Southern in a senior analyst role), and to ensure that the business is not dependent for its success on any one person or client.
Market Risk
The Company operates in a competitive environment and the business is reliant on continuing demand for its investment products, which is influenced by several factors including investment performance and retention of key personnel. The industry is sensitive to economic, political and market factors.
The whole of the company’s assets under management are invested in equities and therefore the Company's profits are sensitive to fluctuations in equity markets.
Taxation, legal and regulatory factors also influence the markets in which the Company operates. The industry is highly regulated and change in laws and regulations governing the industry could have an adverse effect on the Company.
Like all businesses we face risk of all types, both internal and external. We assess the risks and their elimination or mitigation and control on a rolling basis throughout the year. We are also required by our FCA authorisation to have risk identification and control documentation and processes, and we are subject to annual inspection and testing by the AIFM to JEO.
Page 3 |
Devon Equity Management Limited
Strategic Report for the Period from 11 April 2019 to 31 December 2019
Corporate governance
We are pleased to welcome Simon Troughton to the company’s board of directors in his role as chairman.
Simon Troughton will bring extensive experience to bear as we evolve our corporate governance in keeping with our business growth.
Section 172(1) statement
Section 414CZA(1) of the Companies Act 2006 requires the directors to explain how they considered the matters set out in section 172(1) (a) to (f) of the Companies Act 2006 (‘S172 (1)’) when performing their duty to promote the success of the company. When making decisions, each director ensures that they act in the way that would most likely promote the company’s success for the benefit of its members as a whole, and in doing so have regard (amongst other matters) to the following matters:
(a) The likely consequences of any decision in the long term
The directors understand the business and the evolving environment in which the company operates, including the challenges of operating in a regulated sector.
The company commenced preparations for the creation of an open-ended fund in Luxembourg during the year under review, which has been launched subsequent to the year end. This launch was intended to enable the company’s core European equities investment strategy to be offered to institutional investors for whom the investment trust may not be a suitable vehicle. It is anticipated that the new fund – Devon Equity Funds RAIF – European Opportunities - will grow in assets under management and, in late 2021, it is intended that it should be converted to UCITS format for distribution to a wider audience of retail and other investors. This launch is intended and expected to broaden and diversify the company’s client base.
(b) The interests of the company’s employees
The directors recognise that the success of the business depends on attracting, retaining and motivating high quality employees. The directors take into account the implications of decisions which may affect their perception as a responsible employer, on determining remuneration and benefits, and on providing a healthy and safe workplace environment, where relevant.
All employees have been engaged on competitive terms in relation to reward and benefits, measured by reference to comparable roles elsewhere. The board has resolved to implement a formal annual review process for each employee in the new financial year so as create an opportunity for engagement and feedback between the directors and employees.
(c) The need to foster the company's business relationships with suppliers, customers and others
The directors seek to promote strong mutually beneficial relationships with suppliers, customers, the regulators and authorities. Such general principles are critical in the delivery of the company’s strategy.
Strong relationships have been established or novated in the context of the company’s launch with all key service providers to the company and its clients. These have been engaged on reasonable commercial terms with the intention of fostering long term relationships with the parties concerned. The company has, notably, been successful in recreating substantially the same availability of investment research and corporate access as that which was available to the investment team at their former employer.
The investment team have undertaken a comprehensive roadshow to existing and prospective investors in the investment trust, the RAIF and with the trustees for the company’s segregated investment mandate. These meetings, and related marketing activities, have been critical to ensuring their continued support under the company’s new management.
Relations with the regulator have been constructive and the board was pleased to receive its regulated status in accordance with its preferred timetable for the launch of the company in November 2019.
Page 4 |
Devon Equity Management Limited
Strategic Report for the Period from 11 April 2019 to 31 December 2019
(d) The impact of the company’s operations on the community and the environment
The company is committed to understanding the interests of these stakeholder groups. The directors receive information on these topics on a periodic basis to provide relevant information for specific board decisions.
The company has, subsequent to the year end, published updated environment, social and governance (ESG) policies and its policies on engagement pursuant to the Stewardship Code. Consideration of these matters forms part of the standing agenda for the company’s board meetings.
(e) The desirability of the company maintaining a reputation for high standards of business conduct
The directors recognise the importance of acting in ways which promote high standards of business conduct. The board periodically reviews and approves clear operating frameworks, as set out in its published policies, it compliance manual and in its internal procedural codes to ensure that its high standards are maintained both within the businesses and the business relationships the company has with stakeholders. The directors intend that these policies and values should be embedded within the culture of the business.
(f) The need to act fairly as between members of the company
The directors aim to act fairly as between the company’s members when delivering the company’s strategy.
The company had three members during the year under review. Measures are codified in the company’s articles of association to protect the interests of minority holders.
Approved by the
.........................................
Director
Page 5 |
Devon Equity Management Limited
Directors' Report for the Period from 11 April 2019 to 31 December 2019
The directors present their report and the financial statements for the period from 11 April 2019 to 31 December 2019.
Incorporation
The company was incorporated and commenced trading on
Directors of the company
The directors who held office during the period were as follows:
Financial instruments
Objectives and policies
Our primary objective for the future of the business is to continue to focus on delivering good investment performance for our investors, so that they continue to entrust their money to us and possibly contribute more in future.
Price risk, credit risk, liquidity risk and cash flow risk
Refer to the Strategic Report for details of the Company's principal risks.
Going concern
The Directors are confident that the company has adequate resources to continue in existence for the foreseeable future. Accordingly, they continue to adopt the going concern basis in preparing the annual report and accounts.
Post balance sheet events
The directors have considered the effect of the Covid-19 outbreak that has been spreading throughout the world in early 2020 with regard to the company’s activities. The directors expect the company’s business to be affected by the ensuing fall in equity markets, however they consider that the outbreak is not likely to cause significant lasting disruption to the company’s trade.
Disclosure of information to the auditors
Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditors are unaware.
Reappointment of auditors
HW Fisher were appointed as auditors to the company and in accordance with section 485 of the Companies Act 2006, a resolution proposing that they will be re-appointed will be put to the members.
Page 6 |
Devon Equity Management Limited
Directors' Report for the Period from 11 April 2019 to 31 December 2019
Approved by the
.........................................
Director
Page 7 |
Devon Equity Management Limited
Statement of Directors' Responsibilities
The directors acknowledge their responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:
• |
select suitable accounting policies and apply them consistently; |
• |
make judgements and accounting estimates that are reasonable and prudent; |
• |
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
• |
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Page 8 |
Devon Equity Management Limited
Independent Auditor's Report to the Members of Devon Equity Management Limited
Opinion
We have audited the financial statements of Devon Equity Management Limited (the 'company') for the period from 11 April 2019 to 31 December 2019, which comprise the Profit and Loss Account, Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Statement of Cash Flows, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
• |
give a true and fair view of the state of the company's affairs as at 31 December 2019 and of its loss for the period then ended; |
• |
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
• |
have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:
• |
the directors’ use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or |
• |
the directors have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the company’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue. |
Other information
The directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Page 9 |
Devon Equity Management Limited
Independent Auditor's Report to the Members of Devon Equity Management Limited
Opinion on other matter prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
• |
the information given in the Strategic Report and Directors' Report for the financial period for which the financial statements are prepared is consistent with the financial statements; and |
• |
the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception
In the light of our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report and the Directors' Report.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
• |
adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
• |
the financial statements are not in agreement with the accounting records and returns; or |
• |
certain disclosures of directors’ remuneration specified by law are not made; or |
• |
we have not received all the information and explanations we require for our audit. |
Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on page 8, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
Use of our report
This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
Page 10 |
Devon Equity Management Limited
Independent Auditor's Report to the Members of Devon Equity Management Limited
......................................
For and on behalf of
Acre House
11-15 William Road
NW1 3ER
United Kingdom
Page 11 |
Devon Equity Management Limited
Profit and Loss Account for the Period from 11 April 2019 to 31 December 2019
Note |
2019 |
|
Turnover |
|
|
Gross profit |
|
|
Administrative expenses |
( |
|
Operating loss |
(81,527) |
|
Loss before tax |
( |
|
Loss for the financial period |
( |
The above results were derived from continuing operations.
The company has no recognised gains or losses for the period other than the results above.
Page 12 |
Devon Equity Management Limited
Statement of Comprehensive Income for the Period from 11 April 2019 to 31 December 2019
2019 |
|
Loss for the period |
( |
Total comprehensive income for the period |
( |
Page 13 |
Devon Equity Management Limited
(Registration number: 11939535)
Balance Sheet as at 31 December 2019
Note |
2019 |
|
Fixed assets |
||
Tangible assets |
|
|
Current assets |
||
Debtors |
|
|
Cash at bank and in hand |
|
|
|
||
Creditors: Amounts falling due within one year |
( |
|
Net current assets |
|
|
Net assets |
|
|
Capital and reserves |
||
Called up share capital |
1,000,000 |
|
Profit and loss account |
(81,527) |
|
Total equity |
918,473 |
Approved and authorised by the
.........................................
Director
Page 14 |
Devon Equity Management Limited
Statement of Changes in Equity for the Period from 11 April 2019 to 31 December 2019
Share capital |
Profit and loss account |
Total |
|
Loss for the period |
- |
( |
( |
Total comprehensive income |
- |
( |
( |
New share capital subscribed |
|
- |
|
At 31 December 2019 |
|
( |
|
Page 15 |
Devon Equity Management Limited
Statement of Cash Flows for the Period from 11 April 2019 to 31 December 2019
Note |
2019 |
|
Cash flows from operating activities |
||
Loss for the period |
( |
|
Adjustments to cash flows from non-cash items |
||
Depreciation |
|
|
( |
||
Working capital adjustments |
||
Increase in debtors |
( |
|
Increase in creditors |
|
|
Net cash flow from operating activities |
( |
|
Cash flows from investing activities |
||
Acquisitions of tangible assets |
( |
|
Cash flows from financing activities |
||
Proceeds from issue of ordinary shares |
|
|
Net increase in cash and cash equivalents |
|
|
Cash at bank and in hand 11 April |
- |
|
Cash at bank and in hand 31 December |
767,082 |
Page 16 |
Devon Equity Management Limited
Notes to the Financial Statements for the Period from 11 April 2019 to 31 December 2019
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
These financial statements were authorised for issue by the
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 were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
Basis of preparation
These financial statements have been prepared using the historical cost convention.
Presentation currency is Great British Pound sterling £.
Going concern
As stated in note 18 the directors have considered the effect of the Covid-19 outbreak. The directors consider that, although the outbreak is likely to cause some disruption to the company’s business, they are confident that the company can continue as a going concern for a period of at least twelve months from the date approval of these financial statements. The directors have a reasonable expectation that the company has adequate resources to continue in operation for the foreseeable future.
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
The directors do not consider there to be any key judgements or sources of estimation uncertainty which are material to the accounts.
Revenue recognition
Turnover, being investment management fees, comprises the fair value of the consideration received or receivable for the service provided in the ordinary course of the company’s activities. Fees are calculated monthly as a percentage of assets under management. Turnover is shown net of sales/value added tax, returns, rebates and discounts.
Page 17 |
Devon Equity Management Limited
Notes to the Financial Statements for the Period from 11 April 2019 to 31 December 2019
Tangible assets
Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is charged so as to write off the cost of assets, over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Office Equipment |
33.33% straight line |
Financial instruments
Classification
Recognition and measurement
Impairment
Basic financial assets
Basic financial assets, which include debtors and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors and loans from related parties, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Page 18 |
Devon Equity Management Limited
Notes to the Financial Statements for the Period from 11 April 2019 to 31 December 2019
Trade 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.
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Revenue |
The analysis of the company's revenue for the period from continuing operations is as follows:
11 April 2019 to 31 December 2019 |
|
Rendering of services |
|
The analysis of the company's turnover for the period by market is as follows:
11 April 2019 to 31 December 2019 |
|
UK |
|
Europe |
|
|
Page 19 |
Devon Equity Management Limited
Notes to the Financial Statements for the Period from 11 April 2019 to 31 December 2019
Operating loss |
Arrived at after charging/(crediting)
11 April 2019 to 31 December 2019 |
|
Depreciation expense |
|
Operating lease expense - property |
|
Staff costs |
The aggregate payroll costs (including directors' remuneration) were as follows:
11 April 2019 to 31 December 2019 |
|
Wages and salaries |
|
Social security costs |
|
Pension costs, defined contribution scheme |
|
|
The average number of persons employed by the company (including directors) during the period, analysed by category was as follows:
2019 |
|
Administration and support |
|
Directors' remuneration |
The directors' remuneration for the period was as follows:
11 April 2019 to 31 December 2019 |
|
Remuneration |
|
Auditors' remuneration |
11 April 2019 to 31 December 2019 |
|
Audit of the financial statements |
|
Page 20 |
Devon Equity Management Limited
Notes to the Financial Statements for the Period from 11 April 2019 to 31 December 2019
Tangible assets |
Furniture, fittings and equipment |
Total |
|
Cost or valuation |
||
Additions |
|
|
At 31 December 2019 |
|
|
Depreciation |
||
Charge for the period |
|
|
At 31 December 2019 |
|
|
Carrying amount |
||
At 31 December 2019 |
|
|
Debtors |
31 December 2019 |
|
Other debtors |
|
Prepayments |
|
Accrued income |
|
Total current trade and other debtors |
|
Cash at bank and in hand |
31 December 2019 |
|
Cash at bank |
|
Page 21 |
Devon Equity Management Limited
Notes to the Financial Statements for the Period from 11 April 2019 to 31 December 2019
Creditors |
Note |
31 December 2019 |
|
Due within one year |
||
Trade creditors |
|
|
Amounts due to related parties |
|
|
Social security and other taxes |
|
|
Outstanding defined contribution pension costs |
|
|
Other payables |
|
|
Accrued expenses |
|
|
|
Pension and other schemes |
Defined contribution pension scheme
The company operates a defined contribution pension scheme. The pension cost charge for the period represents contributions payable by the company to the scheme and amounted to £
Contributions totalling
£
Share capital |
Allotted, called up and fully paid shares
2019 |
||
No. |
£ |
|
|
|
800,000 |
|
|
100,000 |
|
|
100,000 |
|
|
Shares allotted during the period
On incorporation of the company 1 Ordinary share was allotted at par with a nominal value of £1.
On 9 May 2019 9 further Ordinary shares were allotted at par with a nominal value of £1 each.
On 7 November 2019 8 Ordinary shares were redesignated as Ordinary A shares, 1 Ordinary share was redesignated as 1 Ordinary B share and 1 Ordinary share was redesignated as 1 Ordinary C share.
On 7 November 2019 799,992 Ordinary A shares, 99,999 Ordinary B shares and 99,999 Ordinary C shares were allotted at par with a nominal value of £1 each.
Page 22 |
Devon Equity Management Limited
Notes to the Financial Statements for the Period from 11 April 2019 to 31 December 2019
Rights, preferences and restrictions
All shares have attached to them full voting, dividend and capital distribution (including on winding up) rights and rank pari passu. They do not confer any rights of redemption.
Obligations under leases and hire purchase contracts |
Operating leases
The total of future minimum lease payments is as follows:
2019 |
|
Not later than one year |
|
Later than one year and not later than five years |
|
|
The amount of non-cancellable operating lease payments recognised as an expense during the period was £
Analysis of changes in net debt |
At 11 April 2019 |
Financing cash flows |
At 31 December 2019 |
|
Cash at bank and in hand |
- |
767,082 |
767,082 |
Related party transactions |
Loans from related parties
2019 |
Key management |
Total |
Advanced |
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Terms of loans from related parties
These balances arose due to financing transactions in the year.
Parent and ultimate parent undertaking |
The ultimate controlling party is
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Devon Equity Management Limited
Notes to the Financial Statements for the Period from 11 April 2019 to 31 December 2019
Post balance sheet events |
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