MIRA
INFORM REPORT
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Report Date : |
10.11.2008 |
IDENTIFICATION
DETAILS
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Name : |
Shanghai Prosagro Chemical Co., Ltd. |
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Registered Office : |
RM 1402, 14/F, Xingya Plaza,
Bldg. 1, Lane 258, Yongxing Road, Shanghai, 200071 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2007 |
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Date of Incorporation : |
23.02. 2005 |
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Com. Reg. No.: |
310114001265860 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Selling Pesticide and Chemicals. |
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 10,000 |
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Status : |
Small Company |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
name & address
Shanghai Prosagro Chemical Co., Ltd.
RM 1402, 14/F,
XINGYA PLAZA, BLDG. 1, LANE 258,
YONGXING ROAD,
SHANGHAI, 200071 PR CHINA
TEL: 86 (0)
21-66531378 FAX: 86 (0) 21-6653373
EXECUTIVE SUMMARY
INCORPORATION DATE : FEBRUARY 23, 2005
REGISTRATION NO. : 310114001265860
REGISTERED LEGAL FORM : LIMITED LIABILITIES COMPANY
STAFF STRENGTH :
20
REGISTERED CAPITAL : CNY 2,000,000
BUSINESS LINE :
TRADING
TURNOVER :
CNY 9,708,000 (AS OF DEC. 31, 2007)
EQUITIES :
CNY 950,000 (AS OF DEC. 31, 2007)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO USD 10,000
MARKET CONDITION : average
FINANCIAL CONDITION : FAIRLY STABLE
OPERATIONAL TREND : FAIRLY STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY
6.83 = 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 Feb. 23, 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 selling chemical raw materials, chemicals, (excluding the
hazardous products), chemical equipment, analytical instruments, mechanical and
electrical products, metal materials, general merchandise, hardware, textiles,
arts & crafts; technology development, service, consulting and transfer of
chemicals, import & export goods and technology.
SC is mainly
engaged in selling pesticide and chemicals.
Mr. Hu Yanwang has
been legal representative and chairman of SC since 2005.
SC is known
to have approx. 20 employees at present.
SC is
currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Shanghai. Our checks reveal that SC
rents the total premise about 150 square meters.
http://www.prosagro.com/
The design is professional and the content is well organized. At present it is
in both Chinese and English versions.
Email: prosagro@126.com huyanwang@hotmail.com prosagro@rediffmail.com
Changes of its registered information:
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Date of change |
Item |
Before the change |
After the change |
|
2008-5 |
Registered capital |
CNY 1,000,000 |
CNY 2,000,000 |
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Shareholders |
Hu Yanwang 90%, Zhang Mingjuan 10% |
The present ones. |
MAIN SHAREHOLDERS:
Name %
of Shareholding
Zhang Mingjuan 5
Hu Yanwang 95
l
Chairman & General Manager:
Mr. Hu Yanwang, ID # 432801197504113011, with high school 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.
SC is mainly
engaged in selling pesticide and chemicals.
SC’s products mainly include chemical and medical interim product,
pesticide, additive and organic impregnant.
SC sources its materials 70% from domestic
market, and 30% from overseas market, mainly U.S.A. and Europe. SC sells 70% of
its products in domestic market, and 30% to overseas market, mainly Southeast
Asian market.
The buying terms of SC include Check, T/T, L/C and Credit of 30-60 days.
The payment terms of SC include Check, T/T, L/C and Credit of 30-60 days.
Shanghai Prosagro Chemical Co., Ltd. not only has become the
distribution agent of Gharda Chemicals Limited and also as the sole
representative company in China of Hemani Organics and chemicals Private 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 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 details.
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 |
67 |
1,128 |
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Inventory |
958 |
391 |
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Accounts
receivable |
38 |
0 |
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Advances to
supplies |
490 |
2,257 |
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Other
receivables |
9 |
9 |
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Other current
assets |
11 |
23 |
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------------------ |
------------------ |
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Current assets |
1,573 |
3,808 |
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Fixed assets net
value |
28 |
21 |
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Projects under
construction |
0 |
0 |
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Long-term
investments |
0 |
0 |
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Intangible and
other assets |
0 |
0 |
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------------------ |
------------------ |
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Total assets |
1,601 |
3,829 |
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============= |
============= |
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Short loans |
0 |
0 |
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Accounts payable |
723 |
0 |
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Other Accounts
payable |
23 |
907 |
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Advances from
clients |
0 |
1,960 |
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Taxes unpaid |
-100 |
1 |
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Welfares payable |
2 |
0 |
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Accrued payroll |
9 |
11 |
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Other current
liabilities |
0 |
0 |
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----------------- |
----------------- |
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Current
liabilities |
657 |
2,879 |
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Long term
liabilities |
0 |
0 |
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------------------ |
------------------ |
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Total
liabilities |
657 |
2,879 |
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Shareholders
equities |
944 |
950 |
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------------------ |
------------------ |
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Total
liabilities & equities |
1,601 |
3,829 |
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Income Statement
Unit: CNY’000
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as of Dec. 31, 2006 |
as of Dec. 31, 2007 |
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Turnover |
15,068 |
9,708 |
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Cost of goods
sold |
14,615 |
9,085 |
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Sales expense |
78 |
72 |
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Management expense |
394 |
570 |
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Finance expense |
14 |
-31 |
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Operation Profit |
-37 |
5 |
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Less: profit tax |
0 |
0 |
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Net profit |
-37 |
5 |
Important Ratios
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as of Dec. 31, 2006 |
as of Dec. 31, 2007 |
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*Current ratio |
2.39 |
1.32 |
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*Quick ratio |
0.94 |
1.19 |
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*Liabilities
to assets |
0.41 |
0.75 |
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*Net profit
margin (%) |
-0.25 |
0.05 |
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*Return on
total assets (%) |
-2.31 |
0.13 |
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*Inventory
/Turnover ×365 |
23 days |
15 days |
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*Accounts
receivable/Turnover ×365 |
1 day |
/ |
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*Turnover/Total
assets |
9.41 |
2.54 |
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* Cost of
goods sold/Turnover |
0.97 |
0.94 |
PROFITABILITY:
AVERAGE
l
The turnover of SC appears average, but it was decreased in 2007.
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SC’s net profit margin is fair in 2006 and average in 2007.
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SC’s return on total assets is fair in 2006 and average in 2007.
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SC’s cost of goods sold is fairly high, comparing with its turnover.
LIQUIDITY: AVERAGE
l
The current ratio of SC is maintained in a normal level.
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SC’s quick ratio is maintained in a normal level.
l
The inventory of SC is maintained in an average level.
l
SC has no accounts receivable or payable in 2007.
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SC has no short-term loan in both 2 years.
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SC’s turnover is in a fairly good level, comparing with the size of its
total assets.
LEVERAGE: AVERAGE
l
The debt ratio of SC is low in 2006 but fairly high in 2007.
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 10,000 is recommended.
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
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Indian Rupees |
|
US Dollar |
1 |
Rs.47.76 |
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UK Pound |
1 |
Rs.74.87 |
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Euro |
1 |
Rs.60.81 |
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%)