MIRA
INFORM REPORT
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Report Date : |
15.06.2007 |
IDENTIFICATION DETAILS
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Name : |
AL RIQA VENTILATION EQUIPMENT MANUFACTURING LLC |
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Registered Office : |
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Country : |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
2001 |
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Legal Form : |
Limited Liability Company - LLC |
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Line of Business : |
Engaged in the manufacture of ventilation and central air
conditioning 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$ 200,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
SUMMARY
Company Name : AL RIQA VENTILATION EQUIPMENT MANUFACTURING LLC
Country of Origin :
Legal Form : Limited Liability Company - LLC
Registration Date : 2001
Trade Licence Number : 591248
Membership Number : 116347
Issued Capital : UAE Dh 300,000
Paid up Capital : UAE Dh 300,000
Total Workforce : 45
Line of Business : Manufacturers of ventilation and central air conditioning equipment.
Financial Condition : Fair
Payments : Nothing detrimental uncovered
Operating Trend : Steady
COMPANY NAME
AL RIQA VENTILATION EQUIPMENT MANUFACTURING LLC
ADDRESS
Registered & Physical Address
Building :
Area :
PO Box : 181819
Town :
Country :
Telephone : (971-4) 8850017
Facsimile : (971-4) 8850018
Premises
Subject operates from a medium sized suite of offices and a factory that are rented and located in the Jebel Ali Free Zone Area of Dubai.
KEY PRINCIPALS
Name Nationality Position
Rashid Mohamed Khamis Khalfan Al Jaflah Al Hamiri Emirati Managing Director
Ahmed Mohamed Khamis Khalfan Al Jaflah Al Hamiri Emirati Director
LEGAL FORM &
OWNERS
Date of Establishment : 2001
Legal Form : Sharikat Thet Massouliya Mahdoudeh (Limited Liability Company - LLC)
Trade Licence No. : 591248 (Expires 10th February 2008)
Membership No. : 116347
Issued Capital : UAE Dh 300,000
Paid up Capital : UAE Dh 300,000
Name of Shareholder
(s) Percentage
Rashid Mohamed Khamis Khalfan Al Jaflah Al Hamiri 50%
Ahmed Mohamed Khamis Khalfan Al Jaflah Al Hamiri 50%
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
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 manufacture of ventilation and central air conditioning
equipment.
Import Countries :
Operating Trend : Steady
Subject has a workforce of 45 employees.
FINANCIAL HIGHLIGHTS
Financial highlights provided by outside sources are given below :
Currency :
Year Ending 31/12/05 : Year Ending 31/12/06 :
Total Revenue UAE Dh 12,395,000 UAE Dh 13,000,000
Local sources consider subject’s financial condition to be Fair.
BANKERS
National Bank of Umm Al Quwain
PO Box : 8898
Tel : (971-4) 3796655
Fax : (971-4) 3976633
PAYMENT HISTORY
No complaints regarding subject’s payments have been reported.
GENERAL COMMENTS
Opinion on the credit figure of US$ 150,000:
Established in 2001, subject is involved in the manufacture of ventilation and central air conditioning equipment.
Local sources report that payment obligations are met in a generally timely manner and the operating history is clear. As such the company 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$ 200,000
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%)