MIRA
INFORM REPORT
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Report Date : |
13.06.2008 |
IDENTIFICATION
DETAILS
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Name : |
QINGDAO LIANGHE INTERNATIONAL TRADE CO LTD |
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Registered Office : |
Room C-1006 No. 24 Guanyinxia Road, Shinan District, Qingdao, Shandong
Province, 266071 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2007 |
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Date of Incorporation : |
17.01.2006 |
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Com. Reg. No.: |
3702022817798 |
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Legal Form : |
One-Person Limited Liability Company |
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Line of Business : |
International
Trade. |
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 5,000 |
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Status : |
Small Company |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
Name & address
QINGDAO LIANGHE INTERNATIONAL TRADE CO., LTD.
ROOM C-1006 NO. 24 GUANYINXIA ROAD, SHINAN DISTRICT, QINGDAO,
SHANDONG PROVINCE, 266071 PR CHINA
24 C-1006
TEL: 86
(0) 532-82610566 FAX: 86 (0)
532-82610086
EXECUTIVE SUMMARY
INCORPORATION DATE : JAN. 17, 2006
REGISTRATION NO. : 3702022817798
REGISTERED LEGAL FORM : One-person Limited
Liability Company
STAFF STRENGTH :
8
REGISTERED CAPITAL : CNY 500,000
BUSINESS LINE :
INTERNATIONAL TRADE
TURNOVER :
cny 4,350,000 (AS OF DEC. 31, 2007)
EQUITIES :
cny 430,000 (AS OF DEC. 31, 2007)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : up to usd 5,000
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : FAIRly stable
OPERATIONAL TREND : fairly steady
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.94= 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 Ren Min Bi
SC was registered as a One-person Limited Liability
Company at local Administration for Industry & Commerce (AIC - The official
body of issuing and renewing business license) on Jan. 17, 2006.
Company Status: One-person
Limited Liability Company
Single person LLC refers to a
limited liability company set up by only one natural person or legal person
as the single shareholder of it. The minimum registered capital
of Single person LLC is CNY100,000. The shareholder’s capital contributes,
as set out by the articles of associations should be a lump-sum payment in
full. One natural person can only
invest in and set up one limited liability company, which is not permitted
to invest in and set up a new Single person LLC. As to any one-person limited
liability company, the sole-investor nature of the natural person or legal
person shall be indicated in the registration documents of the company and
shall be indicated in the business license thereof as well. The regulation of Single person
LLC should be set up by the shareholder The regulation of Single person
LLC has no shareholder meeting.
SC’s registered business scope includes importing and exporting various
goods and technology.
SC is mainly
engaged in international trade.
Ms. Chen Hongxia
has been chairman of SC since 2006.
SC is known
to have approx. 8 employees at present.
SC
is currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Qingdao. Our checks reveal that SC
rents the total premise about 100 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 local
AIC.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Chen Hongxia ID: 370205197708230521 100
l
Chairman and General Manager:
Ms. Chen Hongxia, in her 30’s with university education. She is
currently responsible for the overall management of SC.
Working Experience(s):
From 2006 to present Working
in SC as chairman and general manager.
SC is mainly
engaged in international trade.
SC’s products
mainly include: Arbutin, Arbutosie, Ursin, Uresol, Natural Arbutin, Arbutin
synthetic 99%.
SC sources its materials
100% from domestic market. SC sells 100% of its products to the overseas
market, mainly American and European countries.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include T/T, L/C and Credit of 30-60 days.
*Major Supplier:
============
Shanghai Chihon Biotechnology 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.
SC refused to
release its bank information.
Balance Sheet
Unit: CNY’000
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As
of Dec. 31, 2007 |
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Cash & bank |
190 |
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Inventory |
530 |
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Accounts
receivable |
210 |
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Advances to
suppliers |
0 |
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Other
receivables |
220 |
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Other current
assets |
190 |
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------------------ |
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Current assets |
1,340 |
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Fixed assets net
value |
110 |
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Projects under
construction |
0 |
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Long term
investment |
0 |
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Other assets |
10 |
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Total assets |
1,460 |
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Short loans |
0 |
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Accounts payable |
340 |
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Advances from
clients |
0 |
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Taxes payable |
-20 |
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Salaries payable |
0 |
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Other payable |
550 |
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Other current
liabilities |
160 |
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Current
liabilities |
1,030 |
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Long term
liabilities |
0 |
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Total
liabilities |
1,030 |
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Equities |
430 |
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Total
liabilities & equities |
1,460 |
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Income Statement
Unit: CNY’000
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As of Dec. 31, 2007 |
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Turnover |
4,350 |
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Cost of goods
sold |
3,750 |
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Sales expense |
430 |
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Management expense |
170 |
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Finance expense |
0 |
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Profit before
tax |
-100 |
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Less: profit tax |
0 |
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Profits |
-100 |
Important Ratios
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2007 |
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*Current ratio |
1.30 |
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*Quick ratio |
0.79 |
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*Liabilities
to assets |
0.71 |
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*Net profit
margin (%) |
-2.30 |
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*Return on
total assets (%) |
-6.85 |
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*Inventory
/Turnover ×365 |
44days |
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*Accounts
receivable/Turnover ×365 |
18days |
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*Turnover/Total
assets |
2.98 |
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* Cost of
goods sold/Turnover |
0.86 |
PROFITABILITY:
FAIR
l
The turnover of SC appears average in 2007.
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SC’s net profit margin is fair in 2007.
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SC’s return on total assets is fair in 2007.
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SC’s cost of goods sold is average in 2007, comparing with its turnover.
LIQUIDITY: AVERAGE
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The current ratio of SC is maintained in a normal level in 2007.
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SC’s quick ratio is maintained in a normal level in 2007.
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The accounts receivable of SC is average in 2007.
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The inventory of SC is average in 2007.
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SC has no short loan in 2007.
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SC’s turnover is in an average level in 2007, comparing with the size of
its total assets.
LEVERAGE: AVERAGE
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The debt ratio of SC is fairly high in 2007.
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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 beyond SC’s capacities,
while a credit line up to USD 5,000 is recommended.
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%)