MIRA
INFORM REPORT
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Report Date : |
24.11.2008 |
IDENTIFICATION DETAILS
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Name : |
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Registered Office : |
Room 2412 |
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Country : |
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Financials (as on) : |
31.12.2007 |
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Date of Incorporation : |
19.09. 2003 |
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Com. Reg. No.: |
2102002121522 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
International Trader |
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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Status : |
Moderate |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
name & address
room 2412
TEL: 86 (0)
411-82520268/82520168 FAX: 86 (0)
411-82520568
EXECUTIVE SUMMARY
INCORPORATION DATE :
september 19, 2003
REGISTRATION NO. : 2102002121522
REGISTERED LEGAL FORM : Limited liabilities
company
STAFF STRENGTH :
7
REGISTERED CAPITAL : CNY 1,000,000
BUSINESS LINE : trading
TURNOVER :
CNY 52,010,000 (AS OF DEC. 31, 2007)
EQUITIES :
CNY -220,000 (AS OF DEC. 31, 2007)
PAYMENT :
AVERAGE
RECOMM.
MARKET CONDITION : average
FINANCIAL CONDITION : fair
OPERATIONAL TREND : fair
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY6.83 = USD1
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY -
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 19, 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 selling mechanical and electrical products, building
materials, hardware, office supplies, steel, chemical products and household
articles, international trade.
SC is mainly
engaged in international trade.
Mr. Guo Baoliang
has been chairman of SC since 2003.
SC is known to
have approx. 7 employees at present.
SC is
currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Dalian. Our checks reveal that SC rents
the total premise about 100 square meters.
http://www.dloy.cn
The design is professional and the content is well organized. At present the
web site is both in Chinese and English versions.
No significant events or changes were found during our checks with the
local Administration for Industry & Commerce.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Guo Baoliang 51
Yu Chunxi 49
l
Chairman and General Manager:
Mr. Guo Baoliang, about 40 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 and general manager.
SC is mainly
engaged in international trade.
SC’s products
mainly include: farm and sideline products, such as cowpea, black kidney beans,
red kidney beans, white kidney beans Japanese type, purple speckled kidney
beans, light speckled kidney beans, purple red kidney beans, middle white
kidney beans.
SC sources its materials 100% from domestic
market, mainly
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include L/C and Credit of 30-60 days.
*Major Customer:
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BISSMA PACIFIC INC.
*Major Supplier:
==============
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.
Shenzhen Development Bank
AC#N/A
Relationship:
Balance Sheet
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Unit: CNY’000 |
as
of Dec. 31, 2006 |
as
of Dec. 31, 2007 |
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Cash & bank |
1,290 |
3,030 |
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Inventory |
20 |
3,740 |
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Accounts
receivable |
3,280 |
630 |
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Other Accounts
receivable |
190 |
10 |
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Advances to
suppliers |
-6,370 |
290 |
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To be apportioned
expense |
0 |
0 |
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Other current
assets |
10 |
-10 |
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------------------ |
------------------ |
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Current assets |
-1,580 |
7,690 |
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Fixed assets net
value |
30 |
30 |
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Projects under
construction |
0 |
0 |
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Long term
investment |
0 |
0 |
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Other assets |
-10 |
-20 |
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------------------ |
------------------ |
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Total assets |
-1,560 |
7,700 |
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============= |
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Short loans |
-80 |
-80 |
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Accounts payable |
-470 |
3,480 |
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Other Accounts
payable |
0 |
4,960 |
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Withdraw the
expenses in advance |
0 |
0 |
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Other current
liabilities |
-250 |
-430 |
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------------------ |
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Current
liabilities |
-800 |
7,930 |
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Long term
liabilities |
0 |
0 |
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Other
liabilities |
0 |
-10 |
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------------------ |
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Total
liabilities |
-800 |
7,920 |
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Equities |
-760 |
-220 |
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Total
liabilities & equities |
-1,560 |
7,700 |
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Income Statement
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Unit: CNY’000 |
as of Dec. 31,
2007 |
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Turnover |
52,010 |
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Cost of goods
sold |
48,370 |
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Sales expense |
1,700 |
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Management expense |
1,000 |
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Finance expense |
400 |
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Profit before
tax |
540 |
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Less: profit tax |
0 |
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Profits |
540 |
Important
Ratios
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As
of Dec. 31, 2006 |
As
of Dec. 31, 2007 |
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*Current ratio |
1.98 |
0.97 |
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*Quick ratio |
2.00 |
0.50 |
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*Liabilities
to assets |
0.51 |
1.03 |
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*Net profit
margin (%) |
/ |
1.04 |
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*Return on
total assets (%) |
/ |
7.01 |
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*Inventory
/Turnover ×365 |
/ |
26 days |
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*Accounts
receivable/Turnover ×365 |
/ |
4 days |
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*Turnover/Total
assets |
/ |
6.75 |
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* Cost of
goods sold/Turnover |
/ |
0.93 |
PROFITABILITY:
AVERAGE
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The turnover of SC appears fairly good in its line.
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SC’s net profit margin is average.
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SC’s return on total assets is fairly good.
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SC’s cost of goods sold is fairly high, comparing
with its turnover.
LIQUIDITY: FAIR
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The current ratio of SC is maintained in a fair
level.
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SC’s quick ratio is maintained in a fair level.
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The inventory of SC appears fairly large.
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The accounts payable of SC appears fairly large.
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SC’s turnover is in a fairly good level, comparing
with the size of its total assets.
LEVERAGE: POOR
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The debt ratio of SC is high.
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The risk for SC to go bankrupt is above average.
Overall financial
condition of the SC: Fair.
SC is considered small-sized in its line with fair financial conditions.
A credit line at the above amount appears to be beyond SC’s capacities, while
C.O.D. 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.50.09 |
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1 |
Rs.74.90 |
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Euro |
1 |
Rs.63.40 |
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%)