MIRA INFORM REPORT
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Report Date : |
18.06.2011 |
IDENTIFICATION DETAILS
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Name : |
SHANDONG GOLD WISDOM IMPORT AND EXPORT
TRADING CO., LTD. |
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Registered Office : |
Industrial Park, Dianzi Town, Boxing
County, Shandong Province, 256508 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
02.04.2010 |
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Com. Reg. No.: |
371625200004466 |
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Legal Form : |
Limited Liabilities Co. |
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Line of Business : |
Selling Steel
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 |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Maximum Credit Limit : |
USD 30,000 |
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Status : |
Small Company |
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Payment
Behaviour : |
No Complaints |
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Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31st, 2011
|
Country Name |
Previous Rating (31.12.2010) |
Current Rating (31.03.2011) |
|
China |
a2 |
a2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Company name & address
SHANDONG GOLD
WISDOM IMPORT AND EXPORT TRADING CO., LTD.
INDUSTRIAL PARK, DIANZI TOWN, BOXING COUNTY,
SHANDONG PROVINCE, 256508 PR CHINA
TEL: 86 (0) 543-2568868/2962828 FAX: 86 (0) 543-2568665
EXECUTIVE SUMMARY
INCORPORATION DATE : APR. 2, 2010
REGISTRATION NO. :
371625200004466
REGISTERED LEGAL FORM : LIMITED LIABILITIES CO.
STAFF STRENGTH :
5
REGISTERED CAPITAL : CNY 5,180,000
BUSINESS LINE :
TRADING
TURNOVER :
CNY 14,470,000 (AS OF DEC. 31,
2010)
EQUITIES :
CNY 4,790,000 (AS OF DEC. 31, 2010)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO
USD 30,000
MARKET CONDITION :
AVERAGE
FINANCIAL CONDITION :
FAIRLY STABLE
OPERATIONAL TREND : FAIRLY STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
CNY 6.48= 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 Limited liabilities co. at local Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on Apr. 2, 2010.
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 importing and exporting business
on cold-rolled sheet, galvanized sheet, prepainted steel sheet, coated Steel
Sheet, Stainless steel plate, color board, building materials, and decorative
material.
SC is mainly engaged
in selling steel products.
Mr. Zhao Xiaoqing
is legal representative, chairman and general manager of SC at present.
SC is known
to have approx. 5 employees at present.
SC is
currently operating at the above stated address, and this address houses its
operating office in the industrial zone of Boxing County. The detailed
information about the premise is unspecified.
SC is not known to host website of its own at present.
Note: SC’s legal representative Mr. Zhao released that SC stared normal
operation in May of 2010.
MAIN
SHAREHOLDER:
Name %
of Shareholding
Wang Guofu 80
Zhao Xiaoqing 20
l
Legal Representative, Chairman and General manager:
Mr. Zhao Xiaoqing, about 36 years old. He is currently responsible for
the overall management of SC.
Working Experience(s):
At present Working
in SC as legal representative, chairman and general manager.
Note: The given contact person (Steven Hou) is confirmed to be SC’s staff, whose phone number is 8613589406094.
Note: SC’s legal representative Mr. Zhao released that SC stared normal
operation in May of 2010.
SC is mainly
engaged in selling steel products.
SC’s products mainly include: cold-rolled
sheet, galvanized sheet, preprinted steel sheet, coated Steel Sheet, Stainless
steel plate, color board, etc.
SC sources its materials
100% from domestic market. SC sells 10% of its products in domestic market, and
90% to the overseas market, mainly Africa.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include Check, T/T, L/C and Credit of 30-60 days.
Note:
SC’s management declined to release its major clients and suppliers.
SC is jointly occupying the heading premise with the following company:
Shandong
Hengyu Precision Sheet Co., Ltd.
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 accountant refused to release the detailed information of the banking.
Balance Sheet
Unit: CNY’000
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As
of Dec. 31, 2010 |
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Cash & bank |
1,900 |
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Inventory |
80 |
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Accounts
receivable |
3,560 |
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Bill receivable |
0 |
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Advances to
suppliers |
0 |
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Other
receivables |
2,560 |
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Subsidy
receivables |
1,760 |
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Other current
assets |
20 |
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------------------ |
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Current assets |
9,880 |
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Fixed assets net
value |
0 |
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Long term investment |
0 |
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Projects under
construction |
0 |
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Intangible and
other assets |
0 |
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Other assets |
0 |
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------------------ |
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Total assets |
9,880 |
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============= |
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Short loan |
2,300 |
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Accounts payable |
2,340 |
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Bill payable |
0 |
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Advances from
clients |
0 |
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Taxes payable |
-10 |
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Salaries payable |
0 |
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Welfare payable |
0 |
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Other Accounts
payable |
460 |
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Other current
liabilities |
0 |
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------------------ |
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Current
liabilities |
5,090 |
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Long term
liabilities |
0 |
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------------------ |
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Total
liabilities |
5,090 |
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Equities |
4,790 |
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------------------ |
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Total
liabilities & equities |
9,880 |
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============= |
Income Statement
Unit: CNY’000
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As
of Dec. 31, 2010 |
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Turnover |
14,470 |
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Cost
of goods sold |
14,530 |
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Sales expense |
230 |
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Management expense |
90 |
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Finance expense |
10 |
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Profit before tax |
-390 |
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Less: profit tax |
0 |
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Profits |
-390 |
Important Ratios
=============
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|
As of Dec. 31, 2010 |
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*Current ratio |
1.94 |
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*Quick ratio |
1.93 |
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*Liabilities
to assets |
0.52 |
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*Net profit
margin (%) |
-2.70 |
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*Return on total
assets (%) |
-3.95 |
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*Inventory
/Turnover ×365 |
3
days |
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*Accounts
receivable/Turnover ×365 |
90
days |
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*Turnover/Total
assets |
1.46 |
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* Cost of
goods sold/Turnover |
1.00 |
PROFITABILITY: FAIR
l
The turnover of SC appears average.
l
SC’s net profit margin is fair.
l
SC’s return on total assets is fair.
l
SC’s cost of goods sold is high, comparing with its
turnover.
LIQUIDITY: AVERAGE
l
The current ratio of SC is maintained in a normal
level.
l
SC’s quick ratio is maintained in a normal level.
l
The inventory of SC appears small.
l
The accounts receivable of SC appears average.
l
The short-term loan of SC appears average.
l
SC’s turnover is in an average level, comparing
with the size of its total assets.
LEVERAGE: AVERAGE
l
The debt ratio of SC is average.
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
and a short operating history. A credit line up to USD 30,000 would appear to
be within SC’s capacities.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.44.93 |
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UK Pound |
1 |
Rs.72.43 |
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Euro |
1 |
Rs.63.62 |
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 |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
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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NB |
New Business |
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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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.