MIRA
INFORM REPORT
|
Report Date : |
14.11.2007 |
IDENTIFICATION
DETAILS
|
Name : |
shanghai forEver
chemical co., ltd. |
|
|
|
|
Registered Office : |
Room 1104, Block
C, Changde Building, No. 1239, Changde Road, Shanghai 200060 Pr |
|
|
|
|
Country : |
China |
|
|
|
|
Financials (as on) : |
31.12.2006 |
|
|
|
|
Date of Incorporation : |
Oct. 22, 2003 |
|
|
|
|
Com. Reg. No.: |
3101152015433 |
|
|
|
|
Legal Form : |
Limited Liabilities Company |
|
|
|
|
Line of Business : |
Engaged
in selling chemical products and materials. |
RATING &
COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit consideration.
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
|
Maximum Credit Limit : |
Up To USD 20,000 |
|
|
|
|
Status : |
Small Company |
|
|
|
|
Payment Behaviour : |
No Complaints |
|
|
|
|
Litigation : |
Clear |
name & address
shanghai forEver
chemical co., ltd.
room 1104, block c, changde building, no.
1239,
changde road, shanghai 200060 PR CHINA
TEL: 86 (0) 21-58760862
FAX: 86 (0) 21-58760027
EXECUTIVE SUMMARY
INCORPORATION DATE : oct. 22, 2003
REGISTRATION NO. :
3101152015433
REGISTERED LEGAL FORM : LIMITED
LIABILITIES CO.
STAFF STRENGTH :
18
REGISTERED CAPITAL : CNY 3,500,000
BUSINESS LINE :
TRADING
TURNOVER :
CNY 46,550,000 (AS OF DEC. 31, 2006)
EQUITIES :
CNY 3,760,000 (AS OF DEC. 31, 2006)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE :
UP TO USD 20,000 (PERIODICAL REVIEW)
MARKET CONDITION : average
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY
7.43 =US1$
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY - China Yuan Renminbi
SC was registered as a limited liabilities co. at local Administration
for Industry & Commerce (AIC - The official body of issuing and renewing
business license) on Oct. 22, 2003.
Company Status: Limited liabilities co. This form of business in PR
China is defined as a legal person. No more than fifty shareholders
contribute its registered capital jointly. Shareholders bear limited
liability to the extent of shareholding, and the co. is liable for its
debts only to extent of its total assets. The characteristics of this form
of co. are as follows: Upon
the establishment of the co., an investment certificate is issued to the
each of shareholders. The board of directors is
comprised of three to thirteen members. The minimum registered capital
for a co. is CNY 30,000. Shareholders may take their
capital contributions in cash or by means of tangible assets or intangible
assets such as industrial property and non-patented technology. Cash contributed by all
shareholders must account for at least 30% of the registered capital. Existing shareholders have
pre-exemption right to purchase shares of the co. offered for sale by the
other shareholders and to subscribe for the newly increased registered
capital of the co.
SC’s registered business scope includes importing and
exporting commodities & technologies; selling chemical materials,
automobile and motorbike components, textiles, electromechanical products,
metal materials, groceries, hardware, and handicrafts; relevant business and
consultation.
SC is
mainly engaged in selling chemical products and materials.
Ms. Dong
Qingdi has been chairman of SC since 2003.
SC is
known to have approx. 18 staff members at present.
SC is
currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Shanghai. Our checks reveal that SC
rents the total premise about 150 square
meters.
http://www.forever-chem.net The
design is professional and the content is well organized. At present it is both
in Chinese and English versions.
E-mail: roberthuangzy@yahoo.com.cn
No significant events or changes were found during our checks with the
local AIC.
MAIN SHAREHOLDERS:
Name
% of Shareholding
Dong Qingdi 49
Huang Zhiyong 36
Ma Yuehua 15
l
Chairman and
General Manager:
Ms. Dong Qingdi, in her 30’s university
education. She is currently responsible for the overall management of SC.
Working Experience(s):
From 2003 to present Working in SC as chairman and general manager.
SC is
mainly engaged in selling chemical products and materials.
SC’s products mainly include:
Pesticides:
·Insecticides:
Lambda-Cyhalothrin, Cypermethrin, Bifenthrin
·Fungicides:
Carbendazim, Penconazole, Tebuconazole
·Herbicides:
Pretilachlor, Clodinafop-Propargyl, Bromacil
Intermediates:
·CCMP, TFP ACID,
Bifenthric Alcohol, Clodinafop-Progargyl intermediates, Pretilachlor intermediates
Packing Products:
·COEX Bottles, HDPE
Bottles, PET Bottles
Glass Lined Equipments
·Glass Lined
Equipments, Reactors, Containers, Condensors, Columns
Solar Engineer Products
·Solar Cell, Panel,
Water Heater, Thin-Film Solar Module, Power System
Imported Products
·CMAC, MPB,
1,2-Pentanediol
SC
sources its materials 90% from domestic market, mainly Jiangsu province, and
10% from overseas market, mainly India. SC sells 50% in domestic market, mainly
Shandong, Jiangsu province and Shanghai, and 50% to overseas market, mainly
India.
The buying terms of SC include T/T, L/C, Check and Credit of
15-30 days. The payment terms of SC include T/T, L/C, Check and Credit of 15-30
days.
*Major Supplier:
==============
Jiangsu Hongze Chemical Industry Co., Ltd.
*Major Customer:
==============
Shandong United Pesticide Industry Co., Ltd.
SC is
not known to have any subsidiary at present.
Overall payment appraisal:
( ) Excellent ( ) Good (X) Average
( ) Fair (
) Poor ( ) Not yet determined
The appraisal serves as a reference to reveal SC's payments habits and
ability to pay. It is based on the 3
weighed factors: Trade payment
experience (through current enquiry with SC's suppliers), our delinquent
payment and our debt collection record concerning SC.
Trade payment
experience: A trade enquiry currently
conducted with SC's supplier(s) reveal the following:
Supplier
A
Products sold: chemical products
Date account opened: 2006
Line of credit: No comment
Terms: T/T, Credit
of 30 days
Average monthly sales: No comment
Current balance: No comment
Rating Key: 3
Any Special Comments:
______________________________________
Payment record keys :
1 = Prompt : Payment made before the credit
period expires
2 = As agreed terms : Payment made upon due
date
3 = Slightly slow but acceptable : Payment
made 5 to 20 days beyond agreed terms
4 = Slow : Payment made 16 to 45 days beyond
agreed terms
5 = Poor : Payment made over 45 days beyond
agreed terms
6
= No comment : Account is newly opened & record is not yet established
Note : In
some instances, payment beyond terms can be the result of disputes over
merchandise, lost invoices, disputed accounts & etc.
Delinquent
payment record: None in our database.
Debt collection record: No overdue amount owed by SC was placed to us for
collection within the last 6 years.
Bank
of China Zhabei Sub-branch
AC#：11663308091001
Relationship:
Normal.
Balance Sheet
Unit: CNY’000
|
|
As
of Dec. 31, 2006 |
|
Cash & bank |
1,650 |
|
Inventory |
8,520 |
|
Accounts
receivable |
930 |
|
Other Accounts
receivable |
120 |
|
Advances to
suppliers |
0 |
|
To be apportioned
expense |
0 |
|
Other current
assets |
390 |
|
|
------------------ |
|
Current assets |
11,610 |
|
Fixed assets |
280 |
|
Long term
investment |
0 |
|
Other assets |
1,710 |
|
|
------------------ |
|
Total assets |
13,600 |
|
|
============= |
|
Short loans |
500 |
|
Accounts payable |
7,180 |
|
Advance from
clients |
0 |
|
Other Accounts
payable |
980 |
|
Withdraw the
expenses in advance |
0 |
|
Other current
liabilities |
1,180 |
|
|
------------------ |
|
Current
liabilities |
9,840 |
|
Long term liabilities |
0 |
|
Other
liabilities |
0 |
|
|
------------------ |
|
Total
liabilities |
9,840 |
|
Equities |
3,760 |
|
|
------------------ |
|
Total
liabilities & equities |
13,600 |
|
|
============= |
Income Statement
Unit: CNY’000
|
|
As of Dec. 31, 2006 |
|
Turnover |
46,550 |
|
Cost of goods
sold |
44,840 |
|
Sales expense |
370 |
|
Management expense |
1,080 |
|
Finance expense |
37 |
|
Profit before
tax |
290 |
|
Less: profit tax |
40 |
|
Profits |
250 |
Important Ratios
=============
|
|
As of Dec. 31, 2006 |
|
*Current
ratio |
1.18 |
|
*Quick
ratio |
0.31 |
|
*Liabilities
to assets |
0.72 |
|
*Net
profit margin (%) |
0.54 |
|
*Return
on total assets (%) |
1.84 |
|
*Inventory
/Turnover ×365 |
67days |
|
*Accounts
receivable/Turnover ×365 |
7days |
|
*Turnover/Total
assets |
3.42 |
|
*
Cost of goods sold/Turnover |
0.96 |
PROFITABILITY:
AVERAGE
l
The turnover of SC appears average in its line.
l
SC’s net profit margin is average.
l
SC’s return on total assets is average.
l
SC’s cost of goods sold is fairly high, comparing with its
turnover.
LIQUIDITY:
FAIR
l
The current ratio of SC is maintained in a normal level.
l
SC’s quick ratio is maintained in a poor level.
l
The inventory of SC appears LARGE.
l
The accounts payable of SC appears fairly large.
l
The short-term loan of SC is maintained in an average level.
l
SC’s turnover is in a fairly good level, comparing with the
size of its total assets.
LEVERAGE:
FAIR
l
The debt ratio of SC is fairly high
l
The risk for SC to go bankrupt is average.
Overall
financial condition of the SC: Fairly stable.
SC is considered small-sized in its line with fairly stable financial conditions.
The large amount of inventory could be a threat to SC’s financial condition. A
credit line up to USD 20,000 appears to be
within SC’s capacities upon a periodical review basis.
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. |
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 |
|
NR |
In view of the lack of information, we have no basis upon which to recommend
credit dealings |
No Rating |
|
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%)