MIRA
INFORM REPORT
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Report Date : |
08.12.2008 |
IDENTIFICATION
DETAILS
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Name : |
SINOPROUD IMP
& EXP CORPORATION |
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Registered Office : |
No. 29 Ningbian 1st Road, China
Warp Knitting Technology Park, Maqiao Town, Haining, Zhejiang Province,
314419 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2007 |
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Date of Incorporation : |
22.01.2003 |
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Com. Reg. No.: |
3304812300909 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Importing and Exporting Business. |
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 20,000 |
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Status : |
Small Company |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
name & address
SINOPROUD IMP
& EXP CORPORATION
NO. 29 NINGBIAN 1ST ROAD, CHINA
WARP KNITTING TECHNOLOGY PARK,
MAQIAO TOWN, HAINING, ZHEJIANG PROVINCE,
314419 PR CHINA
TEL: 0086-573-87987028 FAX: 0086-573-87987000
EXECUTIVE SUMMARY
INCORPORATION DATE :
JAN. 22, 2003
REGISTRATION NO. :
3304812300909
REGISTERED LEGAL FORM : LIMITED LIABILITIES CO.
CHIEF EXECUTIVE :
MR. FU PINGFEI (CHAIRMAN)
STAFF STRENGTH :
30
REGISTERED CAPITAL : CNY 3,000,000
BUSINESS LINE :
TRADING
TURNOVER :
CNY 24,440,000 (AS OF DEC. 31,
2007)
EQUITIES :
CNY 2,730,000 (AS OF DEC. 31, 2007)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO
USD 20,000
MARKET CONDITION :
AVERAGE
FINANCIAL CONDITION :
FAIRLY STABLE
OPERATIONAL TREND : FAIRLY STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
CNY 6.88 = 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 Jan. 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 and technologies (not engage in any
items prohibited by laws and administrative regulation; able to engage in items
that need permit according to laws and administrative regulation, after
obtaining the permit from relative authorities); garment advisory services;
general goods information intermediary
and services.
SC is mainly
engaged in importing and exporting business.
Mr. Fu Pingfei has
been legal representative and chairman of SC since 2003.
SC is known to have approx. 30 employees at present.
SC is
currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Haining. Our checks reveal that SC
rents the total premise about 1,000 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
Fu Pingfei 5
Liu Jun 84
Cai Jieheng 3
Yao Minxue 3
You Lumei 3
Qiu Xiaoying 2
l
Chairman:
Mr. Liu Jun, about 39 years old with university education. He is
currently responsible for the overall management of SC.
Working Experience(s):
From 2003 to present Working
in SC as chairman.
l
Legal
representative and General manager:
Mr. Fu Pingfei, about 38 years old with university education. He is
currently responsible for the daily management of SC.
Working Experience(s):
From 2003 to present Working
in SC as general manager and legal representative.
SC is mainly
engaged in importing and exporting business.
SC’s products mainly include: garment.
SC sources its merchandises 10% from the overseas market and 90% from
domestic market. SC sells 10% of its merchandises in domestic market, and 90%
to overseas market.
The buying terms of SC include Check, L/C, 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 Suppliers*
=============
Tonglu Hongyun Leather Garment Co., Ltd.
*Major Customers*
==============
MMG Ltd. (USA)
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 records 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.
CITIC Bank of
China Jiaxing Sub-branch
AC#7333110182300001262
Relationship:
Normal.
Balance Sheet
Unit: CNY’000
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as
of Dec. 31, 2007 |
as
of Dec. 31, 2006 |
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Cash & bank |
120 |
440 |
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Bills receivable |
0 |
0 |
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Accounts
receivable |
4,590 |
5,020 |
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Other
receivables |
3,420 |
2,480 |
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Advances to
suppliers |
1,930 |
3,430 |
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Inventory |
160 |
550 |
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Prepaid expenses |
40 |
30 |
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Subsidies
receivable |
530 |
2,810 |
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Other current
assets |
0 |
0 |
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------------------ |
------------------ |
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Current assets |
10,790 |
14,760 |
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Fixed assets net
value |
780 |
730 |
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Projects under
construction |
0 |
0 |
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Long term
investment |
0 |
0 |
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Other assets |
20 |
10 |
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------------------ |
------------------ |
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Total assets |
11,590 |
15,500 |
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============= |
============= |
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Short loans |
1,580 |
1,800 |
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Bills payable |
0 |
0 |
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Accounts payable |
4,940 |
9,890 |
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Welfare payable |
70 |
20 |
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Advances from clients |
1,640 |
390 |
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Accrued payroll |
330 |
0 |
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Tax payable |
-50 |
-10 |
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Other payable |
350 |
170 |
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Surcharge
payable |
0 |
0 |
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Other current
liabilities |
0 |
0 |
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------------------ |
------------------ |
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Current
liabilities |
8,860 |
12,260 |
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Long term
liabilities |
0 |
0 |
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------------------ |
------------------ |
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Total
liabilities |
8,860 |
12,260 |
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Equities |
2,730 |
3,240 |
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------------------ |
------------------ |
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Total
liabilities & equities |
11,590 |
15,500 |
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Income Statement
Unit: CNY’000
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as of Dec. 31, 2007 |
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Turnover |
24,440 |
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Cost of goods
sold |
20,810 |
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Sales expense |
1,200 |
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Management expense |
2,200 |
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Finance expense |
670 |
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Profit before
tax |
-460 |
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Less: profit tax |
0 |
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Profits |
-460 |
Important Ratios
=============
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as
of Dec. 31, 2007 |
as
of Dec. 31, 2006 |
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*Current ratio |
1.22 |
1.20 |
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*Quick ratio |
1.20 |
1.16 |
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*Liabilities
to assets |
0.76 |
0.79 |
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*Net profit
margin (%) |
-1.88 |
/ |
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*Return on
total assets (%) |
-3.97 |
/ |
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*Inventory
/Turnover ×365 |
3 days |
/ |
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*Accounts
receivable/Turnover ×365 |
69 days |
/ |
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*Turnover/Total
assets |
2.11 |
/ |
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* Cost of
goods sold/Turnover |
0.85 |
/ |
PROFITABILITY:
FAIR
l
The turnover of SC appears average in its line.
l
SC’s net profit margin is fair.
l
SC’s return on total assets is fair.
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 fairly large.
l
SC’s short-term loan is in an average level.
l
SC’s turnover is in an average level, comparing with the size of its
total assets.
LEVERAGE: AVERAGE
l
The debt ratio of SC is average.
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 at the above amount appears to be beyond SC’s capacities,
while a credit line up to USD 20,000 is recommended.
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.49.22 |
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UK Pound |
1 |
Rs.75.03 |
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Euro |
1 |
Rs.63.14 |
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%)