MIRA INFORM REPORT

 

 

Report Date :

21st June 2006

 

IDENTIFICATION DETAILS

 

Name :

SOUVENIR BUILDING MATERIALS LLC

 

 

Registered Office :

Ahmed Kalel Albaker Building, Suite No. 425

Al Nakheel Street, Naif, 41376, Dubai

United Arab Emirates

 

 

Country :

United Arab Emirates

 

 

Financials (as on) :

31/12/2004

 

 

Date of Incorporation :

13th June 1995

 

 

Com. Reg. No.:

44801

 

 

Legal Form :

Limited Liability Company - LLC

 

 

Line of Business :

Distributors of metal products, hardware, tools, building materials, paint and workshop equipment

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

US$ 150,000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

SUMMARY

 

Company Name

SOUVENIR BUILDING MATERIALS LLC

Country of Origin

Dubai, United Arab Emirates

Legal Form

Limited Liability Company - LLC

Registration Date

13th June 1995

Commercial Registration Number

44801, Dubai

Trade Licence Number

237713

Membership Number

34354

Issued Capital

UAE Dh 300,000

Paid up Capital

UAE Dh 300,000

Total Workforce

6

Line of Business

Distributors of metal products, hardware, tools, building materials, paint and workshop equipment

Financial Condition

Fair

Payments

Nothing detrimental uncovered

Operating Trend

Steady

 

 

 

 

COMPANY NAME

 

SOUVENIR BUILDING MATERIALS LLC

 

 

ADDRESS

 

Registered & Physical Address

Building             : Ahmed Kalel Albaker Building, Suite No. 425

Street               : Al Nakheel Street

Area                 : Naif

PO Box             : 41376

Town                 : Dubai

Country             : United Arab Emirates

Telephone         : (971-4) 2241807

Facsimile          : (971-4) 2241936

Email                : skmoi@emirates.net.ae

 

Premises

 

Subject operates from a small suite of offices that are rented and located in the Central Business Area of Dubai.

 

 

KEY PRINCIPALS

 

 

Name                                                    Nationality         Position

 

Sunil Kumar Madhok                              Indian                Managing Director

 

Essa Obaid Khalfan Al Radha                 Emirati              Director

 

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 13th June 1995

 

Legal Form                  : Sharikat Thet Massouliya Mahdoudeh (Limited Liability Company - LLC)

 

Commercial Reg. No.  : 44801, Dubai

 

Trade Licence No.       : 237713 (Expires 14th May 2006)

 

Membership No.          : 34354

 

Issued Capital              : UAE Dh 300,000

 

Paid up Capital            : UAE Dh 300,000

 

Name of Shareholder (s)                                        Percentage

 

Essa Obaid Khalfan Al Radha                                         51%

 

Sunil Kumar Madhok                                                      49%

 

Note to the Legal Form  

A Limited Liability Company (LLC) is defined in the Company Law as a company incorporated with not less than two and not more than fifty shareholders, each responsible only for the liabilities of the company to the extent of their share participation in the capital of the company.

 

The Company Law provides that the capital of a Limited Liability Company (LLC) should not be less than UAE Dh 300,000, which should be divided into equal shares of a value not less than UAE Dh 100 each.

 

This type of company may engage in any form of legitimate business, with the exception of insurance, banking and investment of funds.

 

Non UAE Participation   

The participation of non-Emirati in a trade or business in the United Arab Emirates is governed by the Foreign Business Investment Law, which sets capital requirements and requires 51 percent Emirati participation in capital and profits.

 

It is common for the 51 percent to be held by the UAE national on paper only with the foreign partner(s) providing all the capital requirements for the company and paying an annual fee to the local partner.

 

Under this arrangement the above ownership may not reflect the actual profit distribution within the company, as the company may have internal management agreements in place that provides full management of the company in return for a share of the company’s assets and profits. This internal relationship may or may not be recognised by law depending on the way the internal agreement is made.

 

 

AFFILIATED COMPANIES

 

Titan Star General Trading FZC

Ajman Free Zone, Office No. A1-219

Ajman

Tel : (971-6) 7475228

Fax : (971-6) 7475229

 

 

 

LINE OF BUSINESS

 

Operations : Engaged in the import and distribution of metal products, hardware, tools, building materials, paint and workshop equipment.

 

Import Countries : Europe and the Far East.

 

Operating Trend : Steady

 

Subject has a workforce of 6 employees.

 

 

 

FINANCIAL HIGHLIGHTS

 

Financial highlights provided by outside sources are given below :

 

Currency : United Arab Emirates Dirham (UAE Dh)

 

Year Ending 31/12/03 :                           Year Ending 31/12/04 :

 

Total Revenue                UAE Dh 4,100,000                                 UAE Dh 4,290,000

 

Local sources consider subject’s financial condition to be Fair.

 

 

BANKERS

 

Habib Bank Ltd

Murshid Bazaar

PO Box : 888

Dubai

Tel : (971-4) 2221281

Fax : (971-4) 2284631

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

Established in 1995, subject is involved in the import and distribution of metal products, hardware, tools, building materials, paint and workshop equipment.

 

Local sources report that the subject’s operating history is clear with payment obligations met in a generally timely manner. The financial position is satisfactory and the business is deemed a fair trade risk.

 

Maximum suggested credit figure: US$ 150,000

 

 

 

RATING EXPLANATIONS

 

 

RATING

STATUS

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

26-40

B

Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average/normal.

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

Credit not recommended

 

 

 

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