MIRA
INFORM REPORT
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Report Date : |
23.09.2008 |
IDENTIFICATION
DETAILS
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Name : |
OSMAN’S SPICE WORKS CC |
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Registered Office : |
178 & 180 Sirdar Road, Clairewood, Durban, Kwazulu
Natal |
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Country : |
South Africa |
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Date of Incorporation : |
28.02.1995 |
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Com. Reg. No.: |
1995/008140/23 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Manufacturers, Importers and Pre-Packers of Spices, Herbs,
Rice and Related Products. |
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 : |
Slow |
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Litigation : |
Clear |
COMPANY NAME
OSMAN’S SPICE WORKS CC
PHYSICAL ADDRESS
178 & 180 Sirdar Road
Clairewood
DURBAN
Kwazulu Natal
POSTAL ADDRESS
P O Box 1884
DURBAN
4000
TELEPHONE NUMBER: 031 465 1611 / 2
FAX NUMBER: 031 465 4961
MEMBERS
30% R OSMAN
30% MRS. N HASSIM (wife)
35.2% MRS S OSMAN (mother)
4.8% MISS R OSMAN (sister)
The Membership and was previously 60% I OSMAN, 35.2% S OSMAN and 4.8% MISS R OSMAN, having changed in September 2003.
ASSOCIATE COMPANIES
OSMAN SPICE WORKS PROPERTY INVESTMENTS (PTY) LTD (property
owning company).
ROTA TRADING COMPANY (PTY) LTD
BANKERS
HBZ BANK, Durban where it was stated that the subject enjoys overdraft facilties to an extent of R7 milllion secured by property owned by the OSMAN family. Utilisation of the overdraft is stated to fluctuate.
FIRST NATIONAL BANK, Durban where it was stated that the subject does not require overdraft facilities as credit balances are maintained at the bank.
DATE REGISTERED
28 February 1995
Registration certificate number 1995/008140/23
It was stated by the respondent at the subject, that the subject was registered to take over a well established private company. The subject is a family business and was originally commenced in 1930.
VAT NUMBER
4330136666
MAJOR OPERATION
Manufacturers, importers and pre-packers of spices, herbs, rice and related products.
MAJOR SUPPLIERS
The subject imports from the Far East (Thailand) and deals locally with:
PLASTIC WRAP Cape Town
AMIRANA TRADING COMPONENTS Rustenburg
INTERNATIONAL FREIGHT LOGISITICS Durban
PLATEX Cape Town
TRIWEST KZN
MAJOR CUSTOMERS OR BUSINESS
SECTORS
Wholesalers and retailers.
AREA OF DISTRIBUTION AND SELLING
80% Kwazulu Natal and 20% throughout South Africa.
EXPORTS
None
TOTAL EMPLOYEES
150 permanent employees and the subject utilises sub-contracted employees totalling 250 to 300 employees at a time.
OTHER PREMISES
It was stated that the subject has a factory at the heading address, a warehouse at 179 Sirdar Road as well as a warehouse in Quayside.
OWNED OR LEASED
The heading premises and the warehouse premises at 178 & 180 Sirdar Road are reported to be owned by the associate property owning company with a total value of approximately R10 million, bonded in favour of HBZ BANK. The warehouse premises situated at 170 Sirdar Road are owned by the associate property owning company, free of bond.
MEMBERS CONTRIBUTION
R100
The following estimated financial situation was submitted:
STOCK R 20 000 000
DEBTORS R35 000 000 – R 40 000 000
CREDITORS R 15 000 000
TURNOVER per annum R130 000 000 – R150 000 000
AUDITORS
GRANT THORNTON KESSEL FEINSTEIN Durban
YEAR END
FEBRUARY
INSURANCE BROKERS
PETER CHRISTIES
TRADE REFERENCES – SEPTEMBER 2005
ACCOUNT HIGHEST AVERAGE TERMS PAYMENT EXPERIENCE
OPENED CREDIT CREDIT PATTERN
1. 5 yrs+ R500
000 R 150 000 30 days 60/90 days Average
c/l
2. 25 yrs R 150 000 R 150 000 60
days 60 days Very good
3. 10 yrs R2
00 0000 R2 000 000 30 days 30
days Excellent
TRADE REFERENCES – NOVEMBER 2006
ACCOUNT HIGHEST AVERAGE TERMS PAYMENT EXPERIENCE
OPENED CREDIT CREDIT PATTERN
1. Old acc large R150 000 30 days 60/90
days Slow
2. 4-5 yrs R300
000 R270 000 30 days 30 days Very
good
CURRENT TRADE REFERENCES
ACCOUNT HIGHEST AVERAGE TERMS PAYMENT EXPERIENCE
OPENED CREDIT CREDIT PATTERN
1. 9 yrs R700
000 R320 000 15 days 15 days Very
good
2. 5
yrs R150 000 R100 000 30 days 30/45
days Good
c/l
3. 2000 R800
000 R200 000 - 30 days 37
days Average
c/l R300 000
COMMENTS
This is an established business meeting its commitments slowly at times. We have not traced dealings to an extent of $1 000 000 and would prefer to see dealings to a lesser extent on a spread basis.
FOREIGN EXCHANGE
RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.45.40 |
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UK Pound |
1 |
Rs.83.15 |
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Euro |
1 |
Rs.65.74 |
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%)