Preheat the oven to 400 degrees F. Spray donut pans or silicone molds with non-stick cooking spray, set aside.
Place the brown sugar, ground cinnamon and nutmeg in a deep bowl. Add applesauce and pour in melted butter (or coconut oil). Mix thoroughly.
Mix together the flour and baking powder, add to the bowl with the brown sugar, unsalted butter, ground cinnamon and ground nutmeg.
Next, add the egg and the heavy cream.
Mix everything with a whisk or electric hand mixer until you get a thick batter.
Transfer the batter to a piping bag and cut the tip off.
Pipe the batter into the prepared donut pans/molds, place in the oven and bake at for 8-10 minutes.
Remove from the oven and let the donuts cool slightly then transfer them to a wire rack.
For the coating, melt the butter in a small bowl and dip the top of the donuts one at a time until it is all covered.
In another small bowl, stir together the brown sugar and cinnamon. Gently dip and roll the top of the donut in cinnamon sugar, shake off excess sugar.
Serve warm or cooled.