MIRA
INFORM REPORT
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Report Date : |
28.07.2008 |
IDENTIFICATION
DETAILS
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Name : |
anhui lvyuan perfumery co., ltd. |
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Registered Office : |
East Of Taihe Road, Taihe County, Fuyang City Anhui Province 214016 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2007 |
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Date of Incorporation : |
28.09.2005 |
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Com. Reg. No.: |
341222000009853 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Processing and Selling Essence and Spice. |
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 7,000 |
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Status : |
Small Company |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
name & address
anhui lvyuan perfumery co., ltd.
east of taihe road,
taihe county, fuyang city
anhui province
214016 PR CHINA
TEL: 86 (0)
558-8665680 FAX: 86 (0)
558-8650993
EXECUTIVE SUMMARY
INCORPORATION DATE : september 28, 2005
REGISTRATION NO. : 341222000009853
REGISTERED LEGAL FORM : Limited liabilities
company
STAFF STRENGTH :
12
REGISTERED CAPITAL : CNY 1,000,000
BUSINESS LINE :
processing
TURNOVER :
CNY 18,242,000 (AS OF DEC. 31, 2007)
EQUITIES :
CNY 1,023,000 (AS OF DEC. 31, 2007)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO usd 7,000
MARKET CONDITION : average
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.82 = 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 September 28, 2005.
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 processing, purchasing and selling pennyroyal, menthol,
dementholised peppermint oil, volatile oil, essence, spice, and mentha viridis;
purchasing and selling chemical products; importing and exporting various kinds
of commodities and technology.
SC is mainly
engaged in processing and selling essence & spice.
Mr. Zhao Feng has
been chairman of SC since 2005.
SC is known to
have approx. 12 employees at present.
SC is
currently operating at the above stated address, and this address houses its
operating office and factory in the development zone of Taihe County. Our
checks reveal that SC rents the total premise about 500 square meters.
http://www.ffchem.com/gysml/lvyuan
The design is professional and the content is simple. At present the web is
only in Chinese version.
E-mail: ahthzf@eyou.com
No significant events or changes were found during our checks with the
local AIC.
MAIN SHAREHOLDERS:
Name
% of Shareholding
Zhao Feng 51
Zhao Qingfeng 49
l
Chairman and General Manager:
Mr. Zhao Feng, with university education. He is currently responsible
for the overall management of SC.
Working Experience(s):
From 2005 to present Working
in SC as chairman and general manager.
Supervisor:
Zhao Qingfeng
SC is mainly
engaged in processing and selling essence & spice.
SC’s products
mainly include: pennyroyal, menthol, dementholised peppermint oil, etc.
SC sources its materials 100% from domestic
market, mainly Anhui. SC sells 70% of its products in domestic market, and 30%
to overseas market, mainly USA, Europe 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.
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.
SC’s management declined
to release its bank information.
Unit: CNY’000
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As
of Dec. 31, 2006 |
As
of Dec. 31, 2007 |
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Total assets |
2,940 |
9,200 |
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Long term
liabilities |
0 |
5,770 |
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Total
liabilities |
1,927 |
8,177 |
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Equities |
1,013 |
1,023 |
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Turnover |
7,251 |
18,242 |
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Profits |
27 |
17 |
Important Ratios
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As
of Dec. 31, 2006 |
As
of Dec. 31, 2007 |
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*Liabilities
to assets |
0.66 |
0.89 |
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*Net profit
margin (%) |
0.37 |
0.09 |
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*Return on
total assets (%) |
0.92 |
0.18 |
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*Turnover/Total
assets |
2.47 |
1.98 |
PROFITABILITY:
AVERAGE
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The turnover of SC appears average in its line in 2006, and it was
rising in 2007.
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SC’s net profit margin is average in 2006 and 2007.
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SC’s return on total assets is average in 2006 and 2007.
LEVERAGE: FAIR
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The debt ratio of SC is average in 2006 but high in 2007.
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The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly Stable.
Over the past 3 years, SC has made a stable growth with fairly stable
financial conditions. A credit line at the above amount appears beyond SC’s
capacities, while a credit line up to USD 7,000 is recommended.
FOREIGN EXCHANGE
RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.42.30 |
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UK Pound |
1 |
Rs.84.03 |
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Euro |
1 |
Rs.66.42 |
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%)