MIRA
INFORM REPORT
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Report Date : |
19.04.2007 |
IDENTIFICATION
DETAILS
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Name : |
SILVER TECH
ENGINEERING LLC |
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Registered Office : |
Plot No. 713B,
Ras Al Khor Road, Ras Al Khor Industrial Area, P O Box 34123, Dubai |
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Country : |
United Arab
Emirates |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
13th April 1996 |
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Com. Reg. No.: |
46541, Dubai |
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Legal Form : |
Limited Liability Company – LLC |
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Line of Business : |
Import and
distribution of industrial machinery, scaffolding and welding equipment. |
RATING &
COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
US$ 300,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
SUMMARY
Company Name : SILVER TECH ENGINEERING LLC
Country of Origin : Dubai, United Arab Emirates
Legal Form : Limited Liability Company - LLC
Registration Date : 13th April 1996
Commercial Registration Number : 46541, Dubai
Trade Licence Number : 301137
Membership Number : 37874
Issued Capital : UAE Dh 300,000
Paid up Capital : UAE Dh 300,000
Total Workforce : 30
Line of Business : Distributors of industrial machinery, scaffolding and welding
equipment.
Financial Condition : Fair
Payments : Nothing detrimental uncovered
Operating Trend : Steady
COMPANY NAME
SILVER TECH
ENGINEERING LLC
ADDRESS
Registered & Physical Address
Location : Plot No. 713B
Street : Ras Al Khor Road
Area : Ras Al Khor Industrial Area
PO Box : 34123
Town : Dubai
Country : United Arab Emirates
Telephone : (971-4) 3336356
Facsimile : (971-4) 3336331
Mobile : (971-50) 5643794
Email : silvrtec@emirates.net.ae
Premises
Subject operates
from a medium sized suite of offices, a welding workshop and warehousing that are
owned and located in the Industrial Area of Dubai.
KEY PRINCIPALS
Name Nationality Position
·
Jacintha
Mendonca Indian Managing
Director
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Lawrence
Francis Herald Mendonca Indian Director
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Abdul Jaleel
Mehdi Mohamed Al Asmawi Emirati Director
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S.S. Jai Kumar - General
Manager
·
Carl Mathias - Accounts
Manager
LEGAL FORM &
OWNERS
Date of Establishment : 13th
April 1996
Legal Form :
Sharikat Thet Massouliya
Mahdoudeh (Limited Liability Company - LLC)
Commercial Reg. No. : 46541, Dubai
Trade Licence No. : 301137
(Expires 12th April 2008)
Membership No. : 37874
Issued Capital : UAE Dh 300,000
Paid up Capital : UAE Dh 300,000
Name of Shareholder
(s) Percentage
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Abdul Jaleel Mehdi
Mohamed Al Asmawi 51%
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Jacintha
Mendonca 39%
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Lawrence
Francis Herald Mendonca 10%
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.
LINE OF BUSINESS
Operations : Engaged in the import and distribution of
industrial machinery, scaffolding and welding equipment.
Subject is also engaged in steel fabrication and the provision
of welding services.
Import Countries
: Canada and India.
Operating Trend
: Steady
Subject has a
workforce of 30 employees.
FINANCIAL HIGHLIGHTS
Financial
highlights provided by outside sources are given below :
Currency : United
Arab Emirates Dirham (UAE Dh)
Year
Ending 31/12/05: Year
Ending 31/12/06:
Total Revenue UAE Dh 13,185,000 UAE Dh 13,350,000
Local sources
consider subject’s financial condition to be Fair.
BANKERS
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Commercial
Bank of Dubai
Baniyas Street
PO Box : 1709
Deira
Dubai
Tel : (971-4) 2227121 / 2253222
Fax : (971-4) 2220943 / 2254565
PAYMENT HISTORY
No complaints
regarding subject’s payments have been reported.
GENERAL COMMENTS
Opinion on the
credit figure of US$ 150,000
Established in
1996, subject is involved in the import and distribution of industrial
machinery, scaffolding and welding equipment.
According to local
sources, subject meets its payment obligations in a timely manner and the
company is considered to be a fair trade risk. As such the above credit figure
is deemed admissible.
Maximum suggested
credit figure: US$ 300,000
RATING
EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average/normal. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)