MIRA
INFORM REPORT
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Report Date : |
30.05.2007 |
IDENTIFICATION DETAILS
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Name : |
SMART FURNITURES PRIVATE LIMITED |
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Registered Office : |
58 / 64,Hari Chambers, B S Marg, 3rd Floor, Fort, Mumbai –
400 023, |
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Country : |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
20.05.2003 |
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Com. Reg. No.: |
140497 |
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CIN No.: [Company
Identification No.] |
U74994MH2003PTC140497 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MUMS38358F |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Manufacturer, Designer, Exporter and Importer of Furnitures, kitchens
and interior decoration materials of various types. |
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 : |
USD 11500 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well-established and reputed company having satisfactory
track records. Directors are reported as
experienced and respectable businessmen.
Trade relations are reported as fair.
Business is active. Payments
are usually correct and as per commitments. The company can be considered normal for business dealings at usual
trade terms and conditions. |
LOCATIONS
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Registered Office : |
58 / 64,Hari Chambers, B |
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Tel. No.: |
91-22-22662339 |
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Fax No.: |
91-22-22654763 |
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E-Mail : |
DIRECTORS
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Name : |
Mrs. Bhavika Manohar Talreja |
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Designation : |
Director |
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Address : |
Gurukripa, 5th Floor, Plot No. 20, Road No. 11, JVPD
Scheme, Vithal Nagar Society, Mumbai – 400 049, Maharashtra, India |
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Date of Birth/Age : |
28.08.1963 |
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Date of Appointment : |
20.05.2003 |
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Name : |
Mr. Dinesh Ram Chawla |
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Designation : |
Director |
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Address : |
B – 2 / 1, Prithvi Apartments, |
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Date of Birth/Age : |
02.11.1976 |
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Date of Appointment : |
20.05.2003 |
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Name : |
Mr. Hitesh Ram Chawla |
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Designation : |
Director |
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Address : |
B – 2 / 1, Prithvi Apartments, |
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Date of Birth/Age : |
01.11.1969 |
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Date of Appointment : |
20.05.2003 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
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Names of Shareholders |
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No. of Shares |
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Mrs. Bhavika Manohar Talreja |
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5000 |
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Mr. Dinesh Ram Chawla |
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2500 |
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Mr. Hitesh Ram Chawla |
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2500 |
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Total |
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10000 |
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Category |
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Percentage of
Holding |
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Directors or relatives of Directors |
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100.00 |
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Total |
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100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer, Designer, Exporter and Importer of Furnitures, kitchens
and interior decoration materials of various types. |
GENERAL INFORMATION
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Bankers : |
Union Bank of Vashi Turbhe Branch,
Commodity Exchange, Plot No. 2, 3 and 4, Sector – 19, Vashi, Navi Mumbai –
400 705, |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
K G Shah and Company Chartered Accountants |
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Address : |
15, Shram Sadhna, 57 Dr. D V Pradjhan Road, |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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100000 |
Equity Shares |
Rs. 10.00 each |
Rs. 1.000 million |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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10000 |
Equity Shares |
Rs. 10.00 each |
Rs. 0.100
million |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
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31.03.2006 |
31.03.2005 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
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0.100 |
0.100 |
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2] Share Application Money |
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0.000 |
0.000 |
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3] Reserves & Surplus |
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2.794 |
1.676 |
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4] (Accumulated Losses) |
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0.000 |
0.000 |
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NETWORTH |
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2.894 |
1.776 |
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LOAN FUNDS |
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1] Secured Loans |
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33.892 |
13.023 |
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2] Unsecured Loans |
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25.320 |
25.870 |
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TOTAL BORROWING |
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59.212 |
38.893 |
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DEFERRED TAX LIABILITIES |
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0.267 |
0.267 |
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TOTAL |
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62.373 |
40.936 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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46.241 |
28.086 |
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Capital work-in-progress |
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0.000 |
0.000 |
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INVESTMENT |
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0.000 |
0.000 |
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DEFERREX TAX ASSETS |
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0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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14.285 |
11.570 |
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Sundry Debtors |
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15.958 |
24.083 |
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Cash & Bank Balances |
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0.161 |
0.283 |
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Other Current Assets |
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0.000 |
0.000 |
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Loans & Advances |
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4.479 |
1.870 |
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Total
Current Assets |
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34.883 |
37.806 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
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17.638 |
24.332 |
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Provisions |
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1.132 |
0.651 |
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Total
Current Liabilities |
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18.770 |
24.983 |
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Net Current Assets |
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16.113 |
12.823 |
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MISCELLANEOUS EXPENSES |
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0.019 |
0.027 |
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TOTAL |
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62.373 |
40.936 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
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31.03.2006 |
31.03.2005 |
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Sales Turnover |
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66.139 |
66.374 |
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Other Income |
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Total Income |
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66.139 |
66.374 |
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Profit/(Loss) Before Tax |
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1.373 |
1.360 |
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Provision for Taxation |
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0.000 |
0.000 |
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Profit/(Loss) After Tax |
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1.373 |
1.360 |
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Export Turnover |
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6.894 |
2.218 |
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Expenditures : |
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Cost of Goods Sold |
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Manufacturing Expenses |
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Administrative Expenses |
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Raw Material Consumed |
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Purchases made for re-sale |
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64.766 |
65.014 |
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Consumption of stores and spares parts |
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Increase/(Decrease) in Finished Goods |
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Salaries, Wages, Bonus, etc. |
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Managerial Remuneration |
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Payment to Auditors |
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Interest |
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4.498 |
2.502 |
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Depreciation & Amortization |
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2.142 |
1.622 |
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Total Expenditure |
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71.406 |
69.138 |
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KEY RATIOS
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PARTICULARS |
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31.03.2006 |
31.03.2005 |
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PAT / Total Income |
(%) |
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2.07 |
2.04 |
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Net Profit Margin (PBT/Sales) |
(%) |
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2.07 |
2.04 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
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1.69 |
2.06 |
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Return on Investment (ROI) (PBT/Networth) |
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0.47 |
0.76 |
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Debt Equity Ratio (Total Liability/Networth) |
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26.95 |
35.97 |
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Current Ratio (Current Asset/Current Liability) |
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1.89 |
1.51 |
LOCAL AGENCY FURTHER INFORMATION
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Name of the company |
SMART FURNITURES PRIVATE
LIMITED |
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Presented By |
UNION BANK OF |
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1) Date and description of instrument creating the change |
Hypothecation
Agreement of Goods and Debts dated 14.08.2004 |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs.15.000
millions |
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3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given |
Hypothecation by
way of first charge in favour of the Bank: i) Hypothecation
of entire stock of Raw materials, Work in Process, Semi-finished and Finished
goods and Movable Property of any kind now or at any time hereafter belonging
to or at the disposal of the Borrower and which are now stored or being
stored or which hereafter may from time to time be brought into or stored or
be in or about the Borrower’s premises or godowns at Plot no. A-145 /8, TTC
Industrial Area, MIDC, Khairane, Navi Mumbai and at other places of storage
whatsoever at or at any other place in the Union Bank of India or whatever
else they may be including any of the said goods with any of the Borrower’s
agents or any of the Borrower’s agencies or in course of transit by ship,
rail or otherwise. ii) The
Borrower’s Book-Debts, outstanding, monies, deposits, receivables, claims and
bills, contracts, securities, investments which are now due and owing or
which may at any time hereafter during the continuance of this security
becoming due and owing to the Borrower in the course of it’s business by any
local or public body or authority (all of which are hereinafter collectively
referred to as “;the said debts”) iii) Entire Plant
and Machinery present and future. |
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4) Gist of the terms and conditions and extent and operation of the charge. |
Interest at the
rate of 12.75 % p.a. with monthly rests or at such other revised rate/s as
may be prescribed by the bank from time to time depending upon the changes in
the Prime Lending Rate of the Bank or the directives of Reserve Bank of India
from time to time or the policy of the Bank on advances for Cash Credit
Hypothecation / SOD Book-Debts facility of Rs.15.000 millions granted by the
Bank to the Company. Margin: Stock –
25% and Book Debts – 40% |
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5) Name and Address and description of the person entitled to the charge. |
Union Bank of Vashi Turbhe
Branch, Commodity Exchange, Plot No. 2, 3 and 4, Sector – 19, Vashi, Navi
Mumbai – 400 705, |
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6) Date and brief description of instrument modifying the charge |
Supplementary
Agreement to Hypothecation Agreement of Goods and Debts Dated 27.01.2006 |
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7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification. |
The Original
Charge Dated: 14.08.2004 for Rs. 15.000 millions is hereby modified by
granting an additional sum of Rs. 0.100 million thereby enhancing the Cash
Credit (Hypothecation) / SOD Book-Debts facility from Rs. 15.00 millions to
Rs. 16.00 millions and the security of
Hypothecated Goods, Book-Debts and Movable Property covered by the Principal
Hypothecation Agreement shall continue to be a security for the bank for the
enhanced Cash Credit (Hyp) /SOD Book-Debts facility of Rs. 16.00 millions
together with interest at the rate of 11.75% per annum with monthly rests or
such other rate as may be revised by the Bank from time to time depending on
the change in P.L.R. of the bank or directives of R.B.I. or policy of the
bank from time to time. And that all
other terms and conditions in the Principal Hypothecation Agreement shall
remain unchanged and shall continue to be applicable to the revised Cash
Credit 9hyp)/SOD Book-Debts facility of Rs. 16.00 millions Thus the total
charge stands secured at the level of Rs. 16.00 millions. |
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources including
but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist organization
or whom notice had been received that all financial transactions involving
their assets have been blocked or convicted, found guilty or against whom a
judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction registered
against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling shareholders,
director, officer or employee of the company is a government official or a
family member or close business associate of a Government official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on Corporate
Governance to identify management and governance. These factors often have been
predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs. 40.45 |
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1 |
Rs. 80.30 |
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Euro |
1 |
Rs. 54.37 |
SCORE & RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
5 |
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PAID-UP CAPITAL |
1~10 |
5 |
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OPERATING SCALE |
1~10 |
5 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
6 |
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--PROFITABILIRY |
1~10 |
4 |
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--LIQUIDITY |
1~10 |
5 |
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--LEVERAGE |
1~10 |
5 |
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--RESERVES |
1~10 |
5 |
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--CREDIT LINES |
1~10 |
5 |
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--MARGINS |
-5~5 |
-- |
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DEMERIT POINTS |
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--BANK CHARGES |
YES/NO |
YES |
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--LITIGATION |
YES/NO |
NO |
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--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
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MERIT POINTS |
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT ACTIVITIES |
YES/NO |
NO |
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--AFFILIATION |
YES/NO |
NO |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
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45 |
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%)
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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