MIRA
INFORM REPORT
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Report Date : |
02.04.2008 |
IDENTIFICATION
DETAILS
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Name : |
HANZHOU DAYOO CO LTD |
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Registered Office : |
Room 1604, 16/F, Haihua Plaza, No.658 Jianguo North Road, Xiacheng
District, Hangzhou, Zhejiang Province, 310004 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
16.04.2002 |
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Com. Reg. No.: |
330100000029069 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Subject
is engaged in selling pesticide and chemical materials. |
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 : |
USD 40,000 |
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Status : |
Small Company |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
Name & address
HANGZHOU DAYOO CO., LTD.
ROOM 1604, 16/F, HAIHUA PLAZA,
NO.658 JIANGUO NORTH ROAD,
XIACHENG DISTRICT, HANGZHOU,
ZHEJIANG PROVINCE, 310004 PR CHINA
658 16 1604
TEL: 0086-571-85865552
FAX: 0086-571-85865553
EXECUTIVE SUMMARY
INCORPORATION DATE :
APR. 16, 2002
REGISTRATION NO. :
330100000029069
REGISTERED LEGAL FORM :
LIMITED LIABILITIES CO.
CHIEF EXECUTIVE :
MR. TANG SHUYUAN (CHAIRMAN)
STAFF STRENGTH :
10
REGISTERED CAPITAL :
CNY 3,000,000
BUSINESS LINE :
TRADING
TURNOVER :
CNY 41,590,000 (AS OF DEC. 31,
2006)
EQUITIES :
CNY 3,460,000 (AS OF DEC. 31, 2006)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE :
UP TO USD 40,000
MARKET CONDITION :
AVERAGE
FINANCIAL CONDITION :
FAIRLY STABLE
OPERATIONAL TREND :
STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
CNY 7.02050 = USD 1
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 Apr. 16, 2002.
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 wholesaling and
retailing chemical materials and products (excluding poisonous and dangerous articles), textiles,
hardware, water heating equipment, metal materials, electronic products and
communication equipment, timber, office automation equipment, paper, computers
and components; services; developing computer software; importing and exporting
commodities (not
engage in any items prohibited by law and administrative regulations; able to
engage in items that need permit according to law and administrative
regulations, after obtaining the permit from relative authorities).
SC is
mainly engaged in selling chemical materials.
Mr.
Tang Shuyuan has been legal representative and chairman of SC since 2002.
SC is known to have approx. 10 employees at
present.
SC is currently operating at the above stated address, and this
address houses its operating office in the commercial zone of Hangzhou. Our
checks reveal that SC rents the total premise about 100 square meters.
http://www.dayoochem.com/ The design is professional and the content is well
organized. At present it is both in Chinese and English versions.
E-Mail: dayoochem@163.com
No significant events or changes were found during our
checks with the local Administration for Industry and Commerce.
MAIN SHAREHOLDERS:
Name % of Shareholding
Tang Shuyuan 65
Chen Qi 35
l
Legal representative and
chairman:
Mr. Tang Shuyuan, born in 1971 with university education. He
is currently responsible for the overall management of SC.
Working Experience(s):
From 2002 to present Working in SC as chairman and legal representative.
SC is
mainly engaged in selling pesticide and chemical materials.
SC’s products mainly include: Bensulfuron-methyl,
Chlorimuron-ethyl,Clethodim, Diquat dibromide, Fenoxaprop-P-ethyl, Glyphosate,
Isoproturon, Linuron and Diuron.
SC sources its merchandises 100% from domestic market. SC
sells 25% of its merchandises in domestic market, and 75% to overseas market, mainly in South America,
East Europe, Australia and Southeast Asia.
The buying terms of SC include Check, T/T 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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ZHEJIANG JINFANDA BIOCHEMICAL CO., LTD.
*Major Customer*
==============
HANGZHOU JLS FLAME RETARDANTS 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’s suppliers declined to make any comments.
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.
Hangzhou
City Commercial Bank Huanbei Sub-branch
AC#76058100051793
Relationship:
Normal.
Balance Sheet
Unit: CNY’000
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as
of Dec. 31, 2006 |
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Cash
& bank |
9,100 |
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Bills
receivable |
0 |
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Accounts
receivable |
2,690 |
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Other
receivables |
70 |
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Advances to
suppliers |
380 |
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Inventory |
700 |
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Subsidies
receivable |
340 |
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Other
current assets |
0 |
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------------------ |
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Current
assets |
13,280 |
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Fixed
assets |
690 |
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Fixed
assets net value |
690 |
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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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------------------ |
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Total
assets |
13,970 |
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============= |
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Short
loans |
0 |
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Bills
payable |
8,850 |
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Accounts
payable |
2,390 |
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Welfare
payable |
50 |
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Advances from
clients |
0 |
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Accrued
payroll |
0 |
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Tax
payable |
-780 |
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Other
payable |
0 |
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Surcharge
payable |
0 |
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Other
current liabilities |
0 |
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------------------ |
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Current
liabilities |
10,510 |
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Long
term liabilities |
0 |
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Total
liabilities |
10,510 |
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Equities |
3,460 |
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------------------ |
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Total
liabilities & equities |
13,970 |
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Income Statement
Unit: CNY’000
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as of Dec. 31, 2006 |
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Turnover |
41,590 |
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Cost of goods
sold |
37,850 |
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Sales expense |
2,770 |
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Management expense |
380 |
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Finance expense |
120 |
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Profit before
tax |
400 |
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Less: profit tax |
130 |
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Profits |
270 |
Important Ratios
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as
of Dec. 31, 2006 |
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*Current ratio |
1.26 |
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*Quick ratio |
1.20 |
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*Liabilities
to assets |
0.75 |
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*Net profit
margin (%) |
0.65 |
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*Return on
total assets (%) |
1.93 |
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*Inventory
/Turnover ×365 |
7 days |
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*Accounts
receivable/Turnover ×365 |
24days |
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*Turnover/Total
assets |
2.98 |
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* Cost of
goods sold/Turnover |
0.91 |
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 average, comparing with its
turnover.
LIQUIDITY:
AVERAGE
l
The current ratio of SC is maintained in a normal level.
l
SC’s quick ratio is maintained in a normal level.
l
The inventory conversion period of SC appears average.
l
The accounts receivable of SC appears average.
l
There’s no short-term loan of SC in 2006.
l
SC’s turnover is in an average 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. A credit line up to USD 40,000 would appear to be within
SC’s capacities.
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%)