MIRA
INFORM REPORT
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Report Date : |
25.09.2007 |
IDENTIFICATION DETAILS
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Name : |
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Registered Office : |
No. 105, Western Renmin Road, Niutang Town, Wujin District, Changzhou,
Jiangsu Province, 213163 Pr |
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Country : |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
August 13, 2001 |
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Com. Reg. No.: |
3204832112638 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Engaged in
importing and exporting chemical dyes. |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
Up To USD 15,000 |
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Status : |
Small Company |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
name & address
NO. 105, WESTERN
RENMIN ROAD, NIUTANG TOWN, WUJIN DISTRICT, CHANGZHOU, JIANGSU PROVINCE, 213163
PR CHINA.
TEL : 86 (0) 519-6398806
FAX : 86 (0) 519-6398785
EXECUTIVE SUMMARY
INCORPORATION DATE : AUGUST 13, 2001
REGISTRATION NO. : 3204832112638
REGISTERED LEGAL FORM : LIMITED LIABILITIES COMPANY
STAFF STRENGTH : 31
REGISTERED CAPITAL : CNY 5,000,000
BUSINESS LINE : TRADING
TURNOVER : CNY 298,000,000 (AS OF DEC. 31, 2006)
EQUITIES : CNY 2,590,000 (AS OF DEC. 31, 2006)
PAYMENT : AVERAGE
RECOMM.
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : FAIR
OPERATIONAL TREND : FAIRLY STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY
7.52 = US1$
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY -
SC was registered as a limited liabilities company at local Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on Aug. 13, 2001.
Company Status: Limited liabilities co. This form of business in PR
China is defined as a legal person. 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 listed as follows: -manufacturing co. :
CNY 500,000.00 -trading &wholesaling
co. : CNY 500,000.00 -retailing co. : CNY 300,000.00 -consultancy & service
co. : CNY
100,000.00 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 50% of the registered capital while
contribution by intangible assets must not exceed 20% 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 various goods and
technologies (excluding the good prohibited or limited by the country);
processing with imported materials, processing with imported samples,
assembling with imported parts, and compensation trade in agreement; counter trade & transit trade.
SC is mainly
engaged in importing and exporting chemical dyes.
Mr.
Yuan Guoping has been legal representative and chairman of SC since 2001.
SC
owns approximately 31 staff at present.
SC is currently operating at the above stated address, and this
address houses its operating office in the industrial zone of Changzhou. Our
checks reveal that SC rents the total premise about 300 square meters.
SC is not known to host website of its own at present.
No significant events or changes were found during our
checks with the local Administration for Industry and Commerce.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Jiangsu Yabang Dyestuff Co.,
Ltd. 100
l
Legal representative and chairman:
Mr. Yuan Guoping, ID # 320421196702121911, 40 years
old with university education. He is currently responsible for the overall
management of SC.
Working Experience(s):
From 2001 to present Working in SC as chairman and legal representative.
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General manager:
Mr.
Working Experience(s):
From 2001 to present Working in SC as general manager.
SC is mainly
engaged in importing and exporting chemical dyes.
SC sources its materials 90%
from domestic market, and 10% from overseas market, mainly
The buying terms of SC include Check, T/T, L/C and Credit of
30-60 days. The payment terms of SC include Check, T/T, L/C and Credit of 30-60
days.
*Major Supplier:
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Anhui Yabang
Chemical 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 : SC did not
provide any name of trade/service suppliers and we have no other sources to
conduct the enquiry at present.
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.
China
Construction Bank
AC#：32001626739050580700
Relationship:
Balance Sheet (as of Dec. 31, 2006)
Unit: CNY’000
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Cash & bank |
27,270 |
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Inventory |
0 |
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Accounts
receivable |
42,120 |
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Notes receivable |
600 |
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Other
receivables |
17,980 |
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Other current
assets |
20 |
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Current assets |
87,990 |
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Fixed assets |
260 |
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Fixed assets net
value |
90 |
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Projects under
construction |
0 |
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Long term
investment |
0 |
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Other assets |
0 |
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Total assets |
88,080 |
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Short loans |
26,000 |
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Accounts payable |
39,560 |
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Other payable |
440 |
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Notes payable |
18,000 |
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Taxes payable |
810 |
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Other current
liabilities |
680 |
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Current
liabilities |
85,490 |
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Long term
liabilities |
0 |
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Total
liabilities |
85,490 |
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Equities |
2,590 |
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Total
liabilities & equities |
88,080 |
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Income Statement (as of Dec. 31, 2006)
Unit: CNY’000
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Turnover |
298,000 |
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Cost of goods
sold |
287,510 |
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Sales expense |
3,780 |
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Management expense |
2,830 |
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Finance expense |
3,120 |
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Profit before
tax |
650 |
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Less: profit tax |
0 |
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Profits |
650 |
Important Ratios
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as
of Dec. 31, 2006 |
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*Current ratio |
1.03 |
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*Quick ratio |
1.03 |
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*Liabilities
to assets |
0.97 |
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*Net profit
margin (%) |
0.22 |
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*Return on
total assets (%) |
0.74 |
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*Fixed
assets/Total assets |
0.001 |
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*Inventory
/Turnover ×365 |
/ |
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*Accounts
receivable/Turnover ×365 |
52days |
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*Turnover/Total
assets |
3.38 |
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* Cost of
goods sold/Turnover |
0.96 |
PROFITABILITY:
AVERAGE
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The turnover of SC appears fairly good in its line.
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SC’s net profit margin is average.
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SC’s return on total assets is average.
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SC’s cost of goods sold is fairly high, comparing
with its turnover.
LIQUIDITY: FAIR
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The current ratio of SC is maintained in a normal
level.
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SC’s quick ratio is maintained in a normal level.
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The accounts receivable of SC appears TOO LARGE.
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SC’s short-term loan appears TOO LARGE.
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SC’s turnover is in a fairly good level, comparing
with the size of its total assets.
LEVERAGE: FAIR
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The debt ratio of SC is fairly high.
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The risk for SC to go bankrupt is above average.
Overall financial
condition of the SC: Fair.
SC is considered small-sized in its line with fair financial conditions.
The large amount of short-term loan could be a threat to SC’s financial
conditions. A credit line up to USD 15,000 would appear to be within SC’s
capacities upon a periodical review basis.
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%)