MIRA
INFORM REPORT
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Report Date : |
18.08.2008 |
IDENTIFICATION
DETAILS
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Name : |
shanghai haolilai gold pen co., ltd. |
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Registered Office : |
No. 288, Kangtai Road, Zhujiajiao Industrial Park, Qingpu District Shanghai
201714 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2007 |
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Date of Incorporation : |
16.01.2004 |
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Com. Reg. No.: |
310229001252778 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Manufacturing and Selling Various Golden Pens. |
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 50,000 |
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Status : |
Small Company |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
name & address
shanghai haolilai gold pen co., ltd.
no. 288, kangtai
road, zhujiajiao industrial park, qingpu district
shanghai 201714 PR
CHINA
TEL: 86 (0)
21-69839168 FAX: 86 (0) 21-69839468
EXECUTIVE SUMMARY
INCORPORATION DATE : jan.
16, 2004
REGISTRATION NO. : 310229001252778
REGISTERED LEGAL FORM : Limited liabilities
company
STAFF STRENGTH :
200
REGISTERED CAPITAL : cny 10,000,000
BUSINESS LINE : manufacturing
TURNOVER :
cny 6,910,000 (AS OF DEC. 31, 2007)
EQUITIES :
cny 8,770,000 (AS OF DEC. 31, 2007)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO USD 50,000 (periodical review)
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : fairly
stable
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 7.85 =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 company at local
Administration for Industry & Commerce (AIC - The official body of issuing
and renewing business license) on Jan. 16, 2004.
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 manufacturing and selling various golden pens, cultural &
educational products, office supplies; selling handicrafts, groceries,
communication equipment, and hardware components.
SC is mainly
engaged in manufacturing and selling various golden pens.
Mr. Li Ronggui has
been chairman of SC since 2004.
SC is known
to have approx. 200 employees at present.
SC is
currently operating at the above stated address, and this address houses its
operating office and factory in the industrial zone of Shanghai. Our checks
reveal that SC rents the total premise about 6,000 square meters.
http://www.howlai.com
The design is professional and the content is well organized. At present the web
site is both in Chinese and English versions.
E-mail: webmaster@howlai.com
Changes of its registered information:
|
Date of change |
Item |
Before the change |
After the change |
|
2007 |
Registered capital |
CNY 3,000,000 |
CNY 10,000,000 |
MAIN SHAREHOLDERS:
Name
% of Shareholding
Li Ronggui 50
Chen Xiaoying 50
l
Chairman and General Manager:
Mr. Li Ronggui, in his 40’s with university education. He is currently
responsible for the overall management of SC.
Working Experience(s):
From 2004 to present Working
in SC as chairman and general manager.
Supervisor:
Chen Xiaoying
Sales Manager:
Ms. Zhao Meifang
SC is mainly
engaged in manufacturing and selling various golden pens.
SC’s products mainly
include: golden pens, pen boxes, etc.
Brand: “Haolilai”
SC sources its materials 80% from domestic
market, mainly Jiangsu and Shanghai, and 20% from overseas market. SC sells 90%
in domestic market, mainly Chongqing and Shanghai, and 10% to overseas market,
mainly European and American countries.
The buying terms of SC include T/T, Check, L/C, and Credit of 30-60
days. The payment terms of SC include T/T, L/C, Check and Credit of 30-60 days.
*Major Supplier:
==============
Jiangyin Weihong Pen Manufacturing Co., Ltd.
*Major Customer:
==============
Chongqing Boyou Cultural Products 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.
Industrial and
Commercial Bank of China
AC#N/A
Relationship:
Normal.
Balance Sheet
Unit: CNY’000
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As
of Dec. 31, 2006 |
As
of Dec. 31, 2007 |
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Cash & bank |
1,340 |
400 |
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Bills receivable |
0 |
0 |
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Inventory |
1,640 |
4,440 |
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Accounts
receivable |
390 |
870 |
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Other Accounts receivable |
-120 |
4,190 |
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Advances to
suppliers |
0 |
0 |
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To be
apportioned expense |
0 |
0 |
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Other current
assets |
330 |
1,410 |
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------------------ |
------------------ |
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Current assets |
3,580 |
11,310 |
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Fixed assets net
value |
1,130 |
11,320 |
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Projects under
construction |
9,660 |
0 |
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Long term
investment |
0 |
0 |
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Other assets |
0 |
10 |
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------------------ |
------------------ |
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Total assets |
14,370 |
22,640 |
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============= |
============= |
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Short loans |
5,000 |
13,000 |
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Accounts payable |
1,540 |
700 |
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Advance from
clients |
0 |
0 |
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Other Accounts
payable |
5,230 |
170 |
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Withdraw the
expenses in advance |
0 |
0 |
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Other current
liabilities |
30 |
0 |
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------------------ |
------------------ |
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Current
liabilities |
11,800 |
13,870 |
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Long term
liabilities |
0 |
0 |
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Other
liabilities |
0 |
0 |
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------------------ |
------------------ |
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Total
liabilities |
11,800 |
13,870 |
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Equities |
2,570 |
8,770 |
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------------------ |
------------------ |
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Total liabilities
& equities |
14,370 |
22,640 |
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Income Statement
Unit: CNY’000
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As
of Dec. 31, 2007 |
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Turnover |
6,910 |
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Cost of goods
sold |
5,010 |
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Sales expense |
390 |
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Management expense |
1,590 |
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Finance expense |
820 |
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Profit before
tax |
-820 |
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Less: profit tax |
0 |
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Profits |
-820 |
Important Ratios
=============
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As
of Dec. 31, 2006 |
As
of Dec. 31, 2007 |
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*Current ratio |
0.30 |
0.82 |
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*Quick ratio |
0.16 |
0.50 |
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*Liabilities
to assets |
0.82 |
0.61 |
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*Net profit
margin (%) |
/ |
-11.87 |
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*Return on
total assets (%) |
/ |
-3.62 |
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*Inventory
/Turnover ×365 |
/ |
235days |
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*Accounts
receivable/Turnover ×365 |
/ |
46days |
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*Turnover/Total
assets |
/ |
0.31 |
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* Cost of
goods sold/Turnover |
/ |
0.73 |
PROFITABILITY:
FAIR
l
The turnover of SC appears average in its line in 2007.
l
SC’s net profit margin is fair in 2007.
l
SC’s return on total assets is fair in 2007.
l
SC’s cost of goods sold is average in 2007, comparing with its turnover.
LIQUIDITY: FAIR
l
The current ratio of SC is maintained in a poor level in 2006 and fair
in 2007.
l
SC’s quick ratio is maintained in a poor level in 2006 and fair in 2007.
l
The inventory of SC appears LARGE in 2007.
l
The accounts receivable of SC is maintained in an average level in 2007.
l
The short-term loan of SC appears TOO LARGE in 2007.
l
SC’s turnover is in a fair level in 2007, comparing with the size of its
total assets.
LEVERAGE: AVERAGE
l
The debt ratio of SC is fairly high in 2006 and average in 2007.
l
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly stable.
SC is considered medium-sized in its line with fairly stable financial
conditions. The large amount of short-term loan could be a threat to SC’s
financial condition. A credit line at the above amount appears to be beyond
SC’s capacities, while a credit line up to USD 50,000 is recommended upon a
periodical review basis.
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
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Indian Rupees |
|
US Dollar |
1 |
Rs.43.23 |
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UK Pound |
1 |
Rs.80.89 |
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Euro |
1 |
Rs.63.80 |
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%)