MIRA
INFORM REPORT
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Report Date : |
12.12.2007 |
IDENTIFICATION
DETAILS
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Name : |
SALMAN AL OSTAD FOR WOOD & BUILDING MATERIALS EST |
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Registered Office : |
Banks Street, Al Shuwaikh Industrial Area, P O Box - 2985
& 28513, Safat 13146, |
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Country : |
Kuwait |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
12th December 1964, however subject was re-registered in 11th
March 2007. |
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Com. Reg. No.: |
7970, Safat |
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Legal Form : |
Mouassasa Khassa (Sole Proprietorship) |
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Line of Business : |
Import and Distribution of Timber and other Building Materials |
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$ 150,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
SUMMARY
Company Name :
SALMAN AL OSTAD FOR WOOD & BUILDING MATERIALS EST
Country of Origin :
Kuwait
Legal Form :
Sole Proprietorship
Registration Date :
12th December 1964
Commercial Registration Number :
7970, Safat
Trade Licence Number :
2009/74
Membership Number :
1997
Invested Capital :
KD 75,000
Total Workforce :
12
Line of Business :
Distributors of timber and other building materials.
Financial Condition :
Fair
Payments :
Nothing detrimental uncovered
Operating Trend :
Steady
COMPANY NAME
SALMAN AL OSTAD FOR WOOD & BUILDING MATERIALS EST
ADDRESS
Registered & Physical Address
Street : Banks Street
Area : Al Shuwaikh
Industrial Area
PO Box : 2985 &
28513
Town : Safat 13146
Country : Kuwait
Telephone : (965) 4845676 /
4825582 / 4845598/ 4817304
Facsimile : (965) 4843945
Mobile : (965)
9603320
Premises
Subject operates from a small suite of offices and a warehouse that are
rented and located in the Industrial Area of Safat.
KEY PRINCIPALS
Hamoud Salman Al Ostad Proprietor
& General Manager
M Korayan Assistant
General Manager
LEGAL FORM &
OWNERS
Date of Establishment : 12th
December 1964, however subject was re-registered in 11th March 2007.
Legal Form :
Mouassasa Khassa (Sole Proprietorship)
Commercial Reg. No. : 7970,
Safat
Trade Licence No. :
2009/74
Membership No. : 1997
Invested Capital : KD
75,000
Mr Hamoud Salman Al Ostad is the sole proprietor of the business.
Note to the Legal Form
Commonly referred to as an establishment, the Company Law defines
Mouassasa Khassa as the business of an
individual where liability for all debts is unlimited. The business is the
entire responsibility of its proprietor, who is liable for all its debts to the
extent of his entire wealth. There are no legal requirements concerning the
amount of capital of a sole proprietor.
LINE OF BUSINESS
Operations :
Engaged in the import and distribution of timber and other building materials.
Import Countries :
Europe and the Far East.
Operating Trend :
Steady
Subject has a workforce of 12 employees.
FINANCIAL HIGHLIGHTS
Financial highlights provided by outside sources are given below :
Currency : Kuwaiti Dinars (KD)
Year
Ending 31/12/05 : Year
Ending 31/12/06 :
Total Sales KD 1,390,000 KD
1,500,000
Local sources consider subject’s financial condition to be Fair.
BANKERS
Al Ahli Bank of Kuwait KSC
Mubarak Al Kabir Street
PO Box : 1387
Safat 13033
Tel : (965) 2411101 / 2411102
PAYMENT HISTORY
No complaints regarding subject’s payments have been reported.
GENERAL COMMENTS
Opinion on the credit figure of US$ 150,000:
Established in 1964, subject is owned and managed by Mr Hamoud Salman Al
Ostad who is well respected in the local business community.
Local sources report that payment obligations are met in a generally
timely manner and the operating history is clear. As such the business is
deemed a fair trade risk and the above credit figure is considered to be within
subject’s financial means.
Maximum suggested credit figure: US$ 150,000
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. |
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%)