MIRA
INFORM REPORT
|
Report Date : |
25.10.2008 |
IDENTIFICATION DETAILS
|
Name : |
SHANKAR AUTO INDUSTRIES |
|
|
|
|
Registered Office : |
13/374, Geeta Colony, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.03.2008 |
|
|
|
|
Year of Establishment : |
1992 |
|
|
|
|
IEC No.: |
0595020976 |
|
|
|
|
PAN No.: [Permanent
Account No.] |
ADQPB8840C |
|
|
|
|
Legal Form : |
Sole Proprietory Concern |
|
|
|
|
Line of Business : |
Manufacturer and Exporter of Precision Designed Auto Components. |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 6000 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Usually Correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well – established concern having satisfactory track.
Trade relations are fair. Payments are usually correct and as per
commitments. The concern can be considered normal for business dealings at usual
trade terms and conditions. |
INFORMATION PARTED BY
|
Name : |
Mr. Gaurav Bhola |
|
Designation : |
Chief Executive Officer |
|
Date : |
22.10.2008 |
LOCATIONS
|
Registered Office : |
13/374, Geeta Colony, New Delhi – 110 031, India |
|
Tel. No.: |
91-11-64617997 |
|
Mobile No.: |
91-9953958081 / 9213736710 / 9953461845 |
|
Fax No.: |
91-11-64617997 |
|
E-Mail : |
|
|
Website : |
|
|
Area : |
80 Sq.Mtrs |
|
Location : |
Owned |
|
|
|
|
Factory : |
Viswas Nagar and Bawan Industrial Area |
|
Location : |
Owned (Both) |
SOLE PROPRIETOR
|
Name : |
Mr. Krishan Lal Bhola |
|
Designation : |
Proprietor |
|
Date of Birth/Age : |
58 years |
|
Experience : |
40 years |
KEY EXECUTIVES
|
Name : |
Mr. Gaurav Bhola |
|
Designation : |
Chief Executive Officer |
|
Date of Birth/Age : |
25 years |
|
Qualification : |
Graduate |
|
Experience : |
4 years |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer and Exporter of Precision Designed Auto Components. |
|
|
|
|
Products : |
· Radiator Pressure Caps · Locking Fuel Caps · Fuel Caps · Fuel Filler Necks and Radiator Filler Necks · Fuel Level Gauges and Oil Dip Sticks · Radiator Spare Parts · Rubber Spare Parts and Rubber Parts · Sheet Metal Parts |
|
|
|
|
Exports : |
|
|
Countries : |
UK, USA and Europe |
|
|
|
|
Terms : |
|
|
Selling : |
Cash and Credit |
|
|
|
|
Purchasing : |
Cash and Credit |
PRODUCTION STATUS
Capacity to increase production by: 50%
GENERAL INFORMATION
|
Suppliers : |
Own Manufacturing |
|
|
|
|
Customers : |
Dealer Net Work |
|
|
|
|
No. of Employees : |
15 |
|
|
|
|
Bankers : |
Union Bank of India, Kuharji, New Delhi, India |
|
|
|
|
Banking
Relations : |
Satisfactory |
|
|
|
|
Associates/Subsidiaries : |
Name of the Company : Bhola international
Established in : New Concern Activity: Manufacturer and
Exporter of Precision Designed Auto Components |
CAPITAL STRUCTURE
|
Capital Investment : |
|
|
Owned : |
Rs. 1.200 millions |
|
Borrowed : |
--- |
|
Total : |
Rs. 1.200 millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
|
Particulars |
|
31.03.2008 |
31.03.2007 |
|
Sales Turnover |
|
8.000 |
7.000 |
|
|
|
|
|
|
Profit/Loss for the year |
|
12% |
12% |
Expected Sales (2008-09): Rs. 12.500 millions
LOCAL AGENCY FURTHER INFORMATION
TRUSTSEAL ACCEPTANCE CHART
|
Parameters |
Detail |
|
|
|
|
Existence Verification |
|
|
Name |
SHANKAR AUTO INDUSTRIES |
|
Address |
13/374, Geeta Colony, New Delhi – 110 031,
India |
|
Phone / Mobile Numbers |
91-11-64617997 |
|
Fax Number |
91-11-64617997 |
|
|
|
|
Statutory Approvals |
|
|
Legal Status of Firm |
Proprietorship Firm |
|
Income Tax Registration |
ADQPB8840C |
|
Service Tax Registration |
*07580158845 |
|
Import Export Code |
*0595020976 |
|
Name of Bank |
Union Bank of India, Kuharji, New Delhi |
|
|
|
|
Creditability Factors |
|
|
Years of Establishment |
1992 |
WEBSITE DETAILS:-
Subject is the manufacturers and exporters offering
an array of precision designed auto components. These include Radiator Caps,
Car Fuel Caps, Diesel Fuel caps, Oil Filler Caps, Radiator pressure caps, Fuel
Saving devices, locking fuel filler caps, locking gas caps, tank level gauges,
alloy fuel caps, Fuel filler necks, Radiator Filler necks, Radiator Spare
parts, Rubber parts, Rubber body parts, car part rubber, rubber spare parts,
and Sheet metal components etc
The Managing Director Mr. Krishan Lal Bhola has over 40 years of Extensive
Industrial Management Experience, and has owned his own Concern, Shankar Auto
Industries for over 16 Years.
Their Products are Rational in Design, Advanced in technology, High quality in
Selected Materials, Various in Specifications, Reliable in Sealing, Beautiful in
Out looking and sturdy and durable in Characteristics.
Today, their capability of delivering
components in backed enamel finish, ceramic finish, nickel plated finish,
chrome plated finish and others assist them in emerging as leading
manufacturers in the market. Further, adopting “total quality management”
policy, they consistently strive towards delivering high quality Tractor engine
parts and auto parts, car auto parts, honda auto part, mazda auto part etc
Philosophy
To develop high quality components and parts that function flawlessly
Following ethical transaction procedures in
all aspects of their business, they provide precision designed component as per
order requirements of their clients
They provide a
wide range of precision designed auto components that find application in
automobile and agriculture equipment industries. These are manufactured using
high quality materials and ensures long service life. They offer :
· Fuel Filler Neck and Radiator Filler Necks
· Fuel Cap or Fuel Filler Caps
· Locking Fuel Caps
· Oil dip sticks
· Radiator pressure caps
· Car Rubber Parts
· Sheet metal Components
· Tractor Engine Parts
Apart from the above
mentioned range, they also offer the following precision designed components :
· Locking Fuel Filler Caps
· Radiator Caps
· Radiator Filler necks/Fuel Filler Necks
Application Area
They manufacture of high quality auto parts
accessories that are used in varied automobile industries like honda auto
parts, mazda auto parts, mitsubishi auto parts, volvo auto parts, audi auto parts,
volkswagen auto parts, gm auto parts, bmw auto parts, mercedes auto parts, tata
auto parts, maruti auto parts etc
Quality Assurance
Backed by stringent quality control
measures, their talented quality control professionals and in-house testing facilities
allow them to deliver their range of components as per international standards.
These are made using quality raw material like iron, alloy and die cast metal
which are tested in their modern in-house quality assurance lab and are sourced
from leading importers.
Besides this, they use hardness testers, micrometers and others that help in
optimum performance oriented components and the complete range goes through
material testing, failure analysis, ensuring zero defects.
The product being manufactured undergoes
the following quality checks which includes:
· In-coming inspection
· In- process inspection
· Final inspection
Manufacturing
Facility
They have with them well-equipped manufacturing facilities that include
modern machines, associated testing and CAD facilities. These help them in
manufacturing best quality machines that come with features like corrosion
resistance, optimum functionality standards and others.
The products are fabricated in stainless steel, alloy steel, carbon steel with
the help of following machines:
· Special purpose automated assembly tools
· Press as well as riveting equipment
These help them in manufacturing
components in the following finishes :
· Enamel and baked enamel finish
· Powder coated finish
· Resin coated and dipped finish
· Rubberized finish
· Ceramic finish
· Chrome plated finish
· Nickel plated finish
Designing
Capabilities
They have with them a well equipped in
-house design unit that helps them in product engineering and designing
throughout throughout the procurements process.
Warehousing
They have a spacious warehousing facility,
which helps them to provide adequate storage space to keep their end products.
They also maintain a controlled atmosphere free from moisture to prevent their
fuel tank caps, sheet metal parts and tractor and portable genset parts from
rusting and corrosion.
Wide Distribution Network
They have wide distribution network that
assist them conducting safe delivery of their precision engineered components.
Through their well-defined logistic support and tie-ups with major C and F
companies, they are committed to deliver their consignments as per the targeted
time.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts, India Prisons Service,
Interpol, etc.
1] INFORMATION ON
DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners, controlling
shareholders or senior officers as terrorist or terrorist organization or whom
notice had been received that all financial transactions involving their assets
have been blocked or convicted, found guilty or against whom a judgement or
order had been entered in a proceedings for violating money-laundering,
anti-corruption or bribery or international economic or anti-terrorism sanction
laws or whose assets were seized, blocked, frozen or ordered forfeited for
violation of money laundering or international anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper payments
to government officials for engaging in prohibited transactions or with
designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority for
any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws, regulations
or policies that prohibit, restrict or otherwise affect the terms and
conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.49.95 |
|
UK Pound |
1 |
Rs.79.56 |
|
Euro |
1 |
Rs.63.65 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--MARGINS |
-5~5 |
--- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
45 |
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%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
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 |
|
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 |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average. |
Small |
|
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 |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
|