REGISTERED NUMBER: |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
FOR |
EAST DORSET GOLF CLUB LIMITED |
REGISTERED NUMBER: |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
FOR |
EAST DORSET GOLF CLUB LIMITED |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 6 |
Income Statement | 10 |
Other Comprehensive Income | 11 |
Balance Sheet | 12 |
Statement of Changes in Equity | 14 |
Cash Flow Statement | 15 |
Notes to the Cash Flow Statement | 16 |
Notes to the Financial Statements | 18 |
EAST DORSET GOLF CLUB LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants and Statutory Auditor |
3 Durrant Road |
Bournemouth |
Dorset |
BH2 6NE |
SOLICITORS: |
Dumfries House |
Dumfries Place |
Cardiff |
CF10 3ZF |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
STRATEGIC REPORT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
The directors present their strategic report for the year ended 31 December 2023. |
REVIEW OF BUSINESS |
We aim to present a balanced and comprehensive review of the development and performance of our business during the year and its position at the year end. Our review is consistent with the size and non-complex nature of our business and is written in the context of the risks and uncertainties we face. |
The company continues to maintain and operate a golf course, an indoor bowls facility and gym, deal in golfing equipment and provide accomodation, restaurant and bar facilities for general public use. The company's activities are organised into the following six divisions: |
- Income from use of the golf course; |
- Income from indoor bowls; |
- Sales of golfing equipment; |
- Income from hotel accomodation; |
- Sales in the restaurant; |
- Sales in the bar. |
The company is benefiting from its investment in solar electricity power and wood pellet boilers to provide more sustainable energy supplies. |
We consider that our key financial performance figures are those that communicate the financial performance and strength of the company as a whole, these being turnover, turnover growth, gross profit margin, profit before tax and return on capital. |
Trading is doing well in competitive market conditions and is able to repay debt as required. |
Return on capital employed has increased slightly to 8.95% (2022 - 8.94%). Return on capital employed is calculated as profit before interest and tax divided by capital employed, which constitutes total assets less current liabilities. |
At the end of the year, the net assets totalled £4,292,770. |
The company's key financial and other performance indicators during the year were as follows: |
Financial KPIs | Unit | 2023 | 2022 |
Turnover | £ | 3,462,781 | 3,238,841 |
Turnover growth | % | 7 | 9 |
Gross profit margin | % | 78 | 78 |
Profit before tax | £ | 466,438 | 468,477 |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
STRATEGIC REPORT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
PRINCIPAL RISKS AND UNCERTAINTIES |
As for many businesses of our size, the business environment in which we operate continues to be challenging. The income from the golf course itself, is dependent on weather conditions, however, the indoor bowls should help in the winter season. We are of course also subject to consumer spending patterns and consumers overall level of disposable income within our economy. |
With these risks and uncertainties in mind, we are aware that any plans for the future development of the business may be subject to unforeseen events outside of our control. |
ON BEHALF OF THE BOARD: |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
The directors present their report with the financial statements of the company for the year ended 31 December 2023. |
PRINCIPAL ACTIVITY |
The principal activity of the company in the year under review was that of running a golf course and related activities. |
DIVIDENDS |
No dividends will be distributed for the year ended 31 December 2023. |
DIRECTORS |
The directors who have held office during the period from 1 January 2023 to the date of this report are as follows: |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Strategic Report, the Report of the Directors 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 then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | 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. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
AUDITORS |
The auditors, Carter & Coley Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
EAST DORSET GOLF CLUB LIMITED |
Opinion |
We have audited the financial statements of East Dorset Golf Club Limited (the 'company') for the year ended 31 December 2023 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, 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 2023 and of its profit for the year 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 qualified 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 Auditors' responsibilities for the audit of the financial statement 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 out 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. |
The company has adopted a policy of revaluation of freehold land and buildings. A revaluation was last performed in 2005 and the company has not obtained a valuation since this date; this constitutes a departure from Financial Reporting Standard 102. |
In forming our opinion we have been unable to obtain a current valuation. |
The company does not depreciate freehold property, which is also a departure from Financial Reporting Standard 102. The depreciation that has not been charged in the current year's financial statements, based on a depreciation rate of 1% amounts to £26,373. The accumulated depreciation based on the same policy being applied since 2005, which is the year in which the properties were last revalued, and stated at the recoverable amount at 31st December 2005, is £430,997. If depreciation been charged the profit for the year would be £358,241 and retained reserves would be £3,134,482 with the balance sheet total £3,861,773. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
EAST DORSET GOLF CLUB LIMITED |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors 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 this gives rise to a material misstatement in the financial statements themselves. 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. |
Opinions on other matters 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 the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the 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 or the Report of the Directors. |
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 four, 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 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. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
EAST DORSET GOLF CLUB LIMITED |
Auditors' 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 a Report of the Auditors 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. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Our method of identifying risks of material misstatement due to fraud include assessing events and conditions within the company that may be more susceptible to fraud due to the opportunities or incentives that exist therein. We have made enquiries to directors regarding their knowledge of any instances of fraud and we have investigated unusual transactions and unexpected relationships. |
Audit procedures are designed to respond to risks of material misstatement due to irregularities, including fraud. |
As a result of our risk assessment procedures, we have planned and performed the following procedures to identify non-compliance with laws and regulations described above: |
- Testing the disclosures contained within the financial statements to supporting evidence and ensuring compliance with relevant laws and regulations identified as having an effect on the financial statements. |
- Discussion with directors relating to non-compliance with the laws and regulations identified as having an effect on the financial statements. |
- Performing analytical procedures to identify unusual and unexpected transactions that indicate potential material misstatement due to fraud. |
- Risks relating to management override of controls were addressed by testing the appropriateness of journal entries and other adjustments. An assessment of whether accounting estimates are indicative of potential bias was undertaken. |
- Unusual transactions were reviewed with directors to ensure that the commercial reasoning was reasonable within the normal course of business. |
- Controls related to revenue recognition were reviewed and substantive testing was undertaken to ensure that revenue is recognised in line with the company's accounting policy and in line with accounting standards. |
Due to the inherent limitations of an audit, there is an unavoidable risk that, despite properly planning and performing our audit in accordance with auditing standards, some material misstatements may not have been detected. |
Auditing standards limit the audit procedures required to identify non-compliance with other operational laws and regulations to enquiry of directors and management and inspection of any correspondence. If a breach of operational regulations is not evident from relevant correspondence or disclosed to us, an audit is unlikely to detect that breach. In addition, the further removed non-compliance with laws and regulations is from the events and transactions included in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
EAST DORSET GOLF CLUB LIMITED |
In addition, the risk of not detecting material misstatement from due to fraud is higher than the risk of one not being detected through error as fraud may involve deliberate concealment through collusion, forgery, misrepresentations and intentional omissions. |
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 Report of the Auditors. |
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 a Report of the Auditors 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. |
for and on behalf of |
Chartered Accountants and Statutory Auditor |
3 Durrant Road |
Bournemouth |
Dorset |
BH2 6NE |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
INCOME STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ |
TURNOVER |
Cost of sales |
GROSS PROFIT |
Administrative expenses |
401,115 | 519,434 |
Other operating income |
OPERATING PROFIT | 4 |
Interest receivable and similar income |
540,248 | 519,434 |
Interest payable and similar expenses | 5 |
PROFIT BEFORE TAXATION |
Tax on profit | 6 |
PROFIT FOR THE FINANCIAL YEAR |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
OTHER COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ |
PROFIT FOR THE YEAR |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
BALANCE SHEET |
31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 7 |
Tangible assets | 8 |
Investments | 9 |
CURRENT ASSETS |
Stocks | 10 |
Debtors | 11 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 12 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
13 |
( |
) |
( |
) |
PROVISIONS FOR LIABILITIES | 17 | ( |
) | ( |
) |
NET ASSETS |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
BALANCE SHEET - continued |
31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
CAPITAL AND RESERVES |
Called up share capital | 18 |
Revaluation reserve | 19 |
Capital redemption reserve | 19 |
Retained earnings | 19 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Called up | Capital |
share | Retained | Revaluation | redemption | Total |
capital | earnings | reserve | reserve | equity |
£ | £ | £ | £ | £ |
Balance at 1 January 2022 |
Changes in equity |
Total comprehensive income | - |
Balance at 31 December 2022 |
Changes in equity |
Reduction in share capital | (50,000 | ) | - | - | - | (50,000 | ) |
Total comprehensive income | - |
Purchase of own shares | - | (50,000 | ) | - | 50,000 | - |
Balance at 31 December 2023 |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 |
Interest paid | ( |
) | ( |
) |
Interest element of hire purchase payments paid |
( |
) |
( |
) |
Net cash from operating activities |
Cash flows from investing activities |
Purchase of tangible fixed assets | ( |
) | ( |
) |
Purchase of fixed asset investments | (332,820 | ) | - |
Interest received |
Net cash from investing activities | ( |
) | ( |
) |
Cash flows from financing activities |
New loans in year |
Loan repayments in year | ( |
) | ( |
) |
Repayment of other borrowing | - | (205,000 | ) |
Capital repayments in year | ( |
) |
Share buyback | ( |
) |
Net cash from financing activities | ( |
) |
(Decrease)/increase in cash and cash equivalents | ( |
) |
Cash and cash equivalents at beginning of year |
2 |
1,176,916 |
Cash and cash equivalents at end of year |
2 |
898,902 |
1,400,848 |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
NOTES TO THE CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2023 | 2022 |
£ | £ |
Profit before taxation |
Depreciation charges |
Increase on deferred tax asset | 94,417 | - |
Unrealised income on NPV adjustment | (110,280 | ) | - |
Finance costs | 73,810 | 50,957 |
Finance income | (28,853 | ) | - |
648,463 | 584,497 |
Increase in stocks | ( |
) | ( |
) |
(Increase)/decrease in trade and other debtors | ( |
) |
Increase in trade and other creditors |
Cash generated from operations |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31 December 2023 |
31/12/23 | 1/1/23 |
£ | £ |
Cash and cash equivalents | 898,902 | 1,400,848 |
Year ended 31 December 2022 |
31/12/22 | 1/1/22 |
£ | £ |
Cash and cash equivalents | 1,400,848 | 1,176,916 |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
NOTES TO THE CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
At 1/1/23 | Cash flow | At 31/12/23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 1,400,848 | (501,946 | ) | 898,902 |
1,400,848 | ( |
) | 898,902 |
Debt |
Finance leases | (116,663 | ) | (89,578 | ) | (206,241 | ) |
Debts falling due within 1 year | (163,141 | ) | (852,442 | ) | (1,015,583 | ) |
Debts falling due after 1 year | (1,677,082 | ) | 672,532 | (1,004,550 | ) |
(1,956,886 | ) | (269,488 | ) | (2,226,374 | ) |
Total | (556,038 | ) | (771,434 | ) | (1,327,472 | ) |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
1. | STATUTORY INFORMATION |
East Dorset Golf Club Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Revenue recognition |
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company's activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts. |
The company recognises revenue when: |
- the amount of revenue can be reliably measured; |
- it is probable that future economic benefits will flow to the entity; |
- specific criteria have been met for each of the company's activities. |
Goodwill |
Goodwill has been amortised over its useful life of 5 years. |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Tangible fixed assets |
Freehold property | - |
Plant and machinery | - |
The carrying values of tangible fixed assets are reviewed annually for impairment if events or changes in circumstances indicate the carrying value may not be recoverable. |
The directors consider that freehold property is maintained in such a state of repair that its residual value is at least equal to its net book value. As a result, the corresponding depreciation would not be material and therefore is not charged in the profit and loss account. |
Investments in subsidiaries and associates |
Investments in subsidiary and associate undertakings are recognised at cost less impairment. |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2. | ACCOUNTING POLICIES - continued |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Hire purchase and leasing commitments |
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. |
The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
3. | EMPLOYEES AND DIRECTORS |
2023 | 2022 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
The average number of employees during the year was as follows: |
2023 | 2022 |
Production | 36 | 35 |
Administration and support | 11 | 11 |
Distribution | 22 | 24 |
Other departments | 6 | 6 |
2023 | 2022 |
£ | £ |
Directors' remuneration |
4. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2023 | 2022 |
£ | £ |
Hire of plant and machinery |
Depreciation - owned assets |
Depreciation - assets on hire purchase contracts |
Auditors' remuneration |
Foreign exchange differences | ( |
) |
5. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2023 | 2022 |
£ | £ |
Bank interest |
Other interest |
Hire purchase |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
6. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2023 | 2022 |
£ | £ |
Deferred tax |
Tax on profit |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
2023 | 2022 |
£ | £ |
Profit before tax |
Profit multiplied by the standard rate of corporation tax in the UK of |
Effects of: |
Expenses not deductible for tax purposes |
Income not taxable for tax purposes | ( |
) |
Capital allowances in excess of depreciation | ( |
) | ( |
) |
Utilisation of tax losses | ( |
) |
UK deferred tax expense relating to changes in tax rates or laws |
Total tax charge | 81,824 | 105,801 |
7. | INTANGIBLE FIXED ASSETS |
Goodwill |
£ |
COST |
At 1 January 2023 |
and 31 December 2023 |
AMORTISATION |
At 1 January 2023 |
and 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
8. | TANGIBLE FIXED ASSETS |
Freehold | Plant and |
property | machinery | Totals |
£ | £ | £ |
COST OR VALUATION |
At 1 January 2023 |
Additions |
Disposals | ( |
) | ( |
) |
At 31 December 2023 |
DEPRECIATION |
At 1 January 2023 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
Cost or valuation at 31 December 2023 is represented by: |
Freehold | Plant and |
property | machinery | Totals |
£ | £ | £ |
Valuation in 2005 | 303,055 | - | 303,055 |
Cost | 3,988,072 | 1,822,466 | 5,810,538 |
4,291,127 | 1,822,466 | 6,113,593 |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
8. | TANGIBLE FIXED ASSETS - continued |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Plant and |
machinery |
£ |
COST OR VALUATION |
At 1 January 2023 |
Additions |
Transfer to ownership | (35,425 | ) |
At 31 December 2023 |
DEPRECIATION |
At 1 January 2023 |
Charge for year |
Transfer to ownership | (35,425 | ) |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
9. | FIXED ASSET INVESTMENTS |
Shares in | Interest |
group | in |
undertakings | associate | Totals |
£ | £ | £ |
COST |
At 1 January 2023 | - | 6 |
Additions | 332,820 |
At 31 December 2023 | 332,826 |
NET BOOK VALUE |
At 31 December 2023 | 332,826 |
At 31 December 2022 | 6 |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
9. | FIXED ASSET INVESTMENTS - continued |
The subsidiary companies are either dormant and have never traded or have not traded for a number of years and, as a result, have no marketable value. The fair values are deemed to be no more than the cost of the investment. |
Undertaking | Registered Office Address |
Class of shares held |
Proportion of voting rights and shares held |
Subsidiary undertakings | 2023 | 2022 |
The Dorset Golf Hotel Limited | England and Wales | Ordinary Shares |
100% | 100% |
The Dorset Golf Academy Limited | England and Wales | Ordinary Shares |
100% | 100% |
The Dorset Golf Resort Limited | England and Wales | Ordinary Shares |
100% | 100% |
The Dorset Golf and Country Club Limited |
England and Wales | Ordinary Shares |
100% | 100% |
Cilfa Properties Limited | Jersey | Ordinary Shares |
100% | 100% |
Associates |
Dorset Resort Partnership | 9.9% | 0% |
10. | STOCKS |
2023 | 2022 |
£ | £ |
Stocks |
11. | DEBTORS |
2023 | 2022 |
£ | £ |
Amounts falling due within one year: |
Trade debtors |
Other debtors |
Deferred tax asset | 37,500 | - |
Prepayments and accrued income |
Amounts falling due after more than one year: |
Deferred tax asset | 95,241 | 38,324 |
Aggregate amounts |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
12. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
£ | £ |
Bank loans and overdrafts (see note 14) |
Other loans (see note 14) |
Hire purchase contracts (see note 15) |
Trade creditors |
Social security and other taxes |
Pension control | 4,874 | 3,818 |
Other creditors |
Accruals and deferred income |
13. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
2023 | 2022 |
£ | £ |
Bank loans (see note 14) |
Other loans (see note 14) |
Hire purchase contracts (see note 15) |
14. | LOANS |
An analysis of the maturity of loans is given below: |
2023 | 2022 |
£ | £ |
Amounts falling due within one year or on demand: |
Bank loans |
Other loans |
Amounts falling due between one and two years: |
Bank loans - 1-2 years |
Other loans - 1-2 years | 56,546 |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
14. | LOANS - continued |
2023 | 2022 |
£ | £ |
Amounts falling due between two and five years: |
Bank loans - 2-5 years |
Other loans - 2-5 years |
Amounts falling due in more than five years: |
Repayable otherwise than by instalments |
Other loans more 5yrs non-inst | - | 860,000 |
Repayable by instalments |
Other loans more 5yrs instal | 72,103 | - |
Other Borrowings |
CILFA A/S loan is denominated in pound sterling with a nominal interest rate of nil%. The carrying amount at year end is £628,333 (2022 - £620,000). |
A J Champion loan is denominated in pound sterling with a nominal interest rate of nil%. The carrying amount at year end is £120,000 (2022 - £120,000). |
S L Champion loan is denominated in pound sterling with a nominal interest rate of nil%. The carrying amount at year end is £120,000 (2022 - £120,000). |
Trackman loan is denominated in pound sterling with a nominal interest rate of nil% and the final instalment is due on 30 September 2030. After discounting the loan to the net present value, the carrying amount at the year end is £130,202 (2022 - £nil). |
Security is given against the trackman driving range VR system. The repayments are £2,100 per month for 81 months. |
I Butcher loan is denominated in pound sterling with a nominal interest rate of nil% and the final instalment is due on 30 November 2033. After discounting the loan to the net present value, the carrying amount at the year end is £205,121 (2022 - £nil). |
The repayments are £3,333.33 per month for 59 months followed by £1,313.95 per month for 60 months. |
The Champion 2001 Settlement Trust loan is denominated in pound sterling with a nominal interest rate of nil%. The carrying amount at the year end is £6,945 (2022 - £nil). |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
15. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Hire purchase | contracts |
2023 | 2022 |
£ | £ |
Net obligations repayable: |
Within one year |
Between one and five years |
In more than five years |
Non-cancellable | operating leases |
2023 | 2022 |
£ | £ |
Within one year |
Between one and five years |
The amount of non-cancellable operating lease payments recognised as an expense during the year was £9,245 (2022 - £10,080). |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
16. | SECURED DEBTS |
The following secured debts are included within creditors: |
2023 | 2022 |
£ | £ |
Bank loans |
Hire purchase contracts | 206,241 | 116,663 |
Other borrowings | 891,801 | 860,000 |
The bank loan is secured against all assets of the company. Security for the bank loan includes a charge over the loans from A J Champion, S L Champion and CILFA A/S. |
The hire purchase loans are secured against the relevant assets of the company. |
The loans from CILFA A/S, A J Champion and S L Champion are secured over the assets and a charge over the property per the shareholders agreement. |
The loan from Trackman is secured against the assets supplied by the company. |
17. | PROVISIONS FOR LIABILITIES |
2023 | 2022 |
£ | £ |
Deferred tax | 258,916 | 82,675 |
Deferred |
tax |
£ |
Balance at 1 January 2023 |
Provided during year |
Balance at 31 December 2023 |
18. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
ORDINARY | £1 | 450,000 | 500,000 |
The reduction in capital of £50,000 arises as a result of the repurchase of 50,000 ordinary shares. |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
19. | RESERVES |
Capital |
Retained | Revaluation | redemption |
earnings | reserve | reserve | Totals |
£ | £ | £ | £ |
At 1 January 2023 | 3,458,156 |
Profit for the year |
Purchase of own shares | (50,000 | ) | - | 50,000 | - |
At 31 December 2023 | 3,842,770 |
20. | PENSION COMMITMENTS |
The company operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the company to the scheme and amounted to £18,564 (2022 - £17,100). |
Contributions totalling £4,874 (2022 - £3,818) were payable to the scheme at the end of the year and are included in creditors. |
21. | CAPITAL COMMITMENTS |
2023 | 2022 |
£ | £ |
Contracted but not provided for in the |
financial statements |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
22. | RELATED PARTY DISCLOSURES |
Summary of transactions with other related parties |
The Dorset Resort Partnership is a partnership in which the partners include East Dorset Golf Club Limited, A W J Champion (shareholder), Mrs B A Champion (shareholder), CILFA (UK) Limited (a company in which C Lerche, director, has an interest), G Packer (shareholder) and S Packer (shareholder). |
Major Golf UK Partnership is a partnership in which the partners include G Packer. |
A loan has previously been advanced from A J Champion, the son of A W J Champion, to the company. |
A loan has previously been advanced from S L Champion, the daughter of A W J Champion, to the company. |
Loans have previously been advanced from CILFA A/S, shareholder, to the company. |
A loan was advanced during the year from A W J Champion. |
A loan was advanced during the year by The Champion 2001 Trust, a Trust in which A W J Champion has an interest. |
During the year the company charged The Dorset Resort Partnership, at arms length, direct sales, commission, service charges and management charges. |
During the year the company purchased a 9.9% interest in the Dorset Resort Partnership. |
During the year Major Golf UK Partnership charged the company for goods and services at arms length. |
The loans from A J Champion, S L Champion and one of the loans from CILFA A/S are covered by a shareholders agreement, dated 1 December 2011, stating the repayment of the loans will only take place when the company has sufficient financial resources and with prior approval of the bank. |
Income and receivables from related parties |
Other related parties |
2023 | £ |
Sale of goods | 1,208,139 |
Amounts receivable from related party | 418,207 |
Other related parties |
2022 | £ |
Sale of goods | 1,157,619 |
Amounts receivable from related party | 311,662 |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Expenditure with and payables to related parties |
Other related parties |
2023 | £ |
Purchase of goods | 253,622 |
Purchase of property or other assets | 332,820 |
Amounts payable to related party | 6,003 |
Other related parties |
2022 | £ |
Purchase of goods | 246,268 |
Amounts payable to related party | 3,746 |
Loans to related parties |
Other related parties |
Total |
2023 | £ | £ |
At start of period | 2,408 | 2,408 |
At end of period | 2,408 | 2,408 |
Other related parties |
Total |
2022 | £ | £ |
At start of period | 192,436 | 192,436 |
Advanced | 260,000 | 260,000 |
Repaid | (450,028) | (450,028) |
At end of period | 2,408 | 2,408 |
Loans from related parties |
Other related parties |
Total |
2023 | £ | £ |
At start of period | 860,782 | 860,782 |
Advanced | 16,668 | 16,668 |
Repaid | (782) | (782) |
At end of period | 876,668 | 876,668 |
Other related parties |
Total |
2022 | £ | £ |
At start of period | 1,079,386 | 1,079,386 |
Repaid | (220,119) | (220,119) |
Interest Transactions | 5,191 | 5,191 |
EAST DORSET GOLF CLUB LIMITED (REGISTERED NUMBER: 0239867 |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Impairment | (3,676) | (3,676) |
At end of period | 860,782 | 860,782 |
During the year, a total of key management personnel compensation of £ |
23. | ULTIMATE CONTROLLING PARTY |
In the opinion of the directors no individual exercised overall control of the company in the current or previous period. |