MIRA
INFORM REPORT
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Report Date : |
06.09.2011 |
IDENTIFICATION DETAILS
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Name : |
FUZHOU FOREYOU TRADING CO., LTD. |
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Registered Office : |
15/F, Mawei Free Trade Zone Building, Fuzhou Fujian Province 350015 Pr |
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Country : |
China |
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Financials (as on) : |
31.07.2011 |
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Date of Incorporation : |
07.08.2009 |
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Com. Reg. No.: |
350105100016821 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Operating and acting as an agent of importing and exporting various kinds of commodities and technology, excluding the goods forbidden by the government. |
RATING & COMMENTS
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MIRA’s Rating : |
Ca |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Status : |
Poor Small Company |
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Payment Behaviour : |
Usually Correct |
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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 and address
FUZHOU FOREYOU TRADING CO., LTD.
15/F, MAWEI FREE TRADE ZONE BUILDING, FUZHOU
FUJIAN PROVINCE 350015 PR CHINA
TEL: 86 (0) 591-83957962/13459446369
FAX: 86 (0) 591-83957962
EXECUTIVE SUMMARY
Date of Registration : august 7, 2009
REGISTRATION NO. : 350105100016821
LEGAL FORM : Limited liabilities company
REGISTERED CAPITAL : cny 1,000,000
staff :
8
BUSINESS CATEGORY : trading
Revenue :
CNY 770,000 (JAN. 1 2011 TO JUL. 31, 2011)
EQUITIES :
CNY
-90,000 (AS OF JUL. 31, 2011)
WEBSITE : www.fzforeyou.com
E-MAIL :
fy@fzforeyou.com
PAYMENT :
AVERAGE
Recommended Credit Limit: c.o.d.
MARKET CONDITION : fair
FINANCIAL CONDITION : poor
OPERATIONAL TREND : DOWNWARD
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.39 = USD 1
Adopted abbreviations (as follows)
SC - Subject Company
(the company inquired by you)
N/A – Not available
CNY – China Yuan Ren
Min Bi
OPERATIONAL TREND & GENERAL
REPUTATION
This section aims at indicating the relative positions of SC in respect
of its operational trend & general reputation
Operational Trend:- General
Reputation:-
Upward Excellent
Steady Good
Fairly Steady Fairly
Good
Ordinary Average
Fair Fair
Stagnant Detrimental
Downward Not
known
Not known Not
yet be determined
Not yet be determined
LEGAL STATUS & HISTORY
SC was established
as a limited liabilities company of PRC with State Administration of Industry
& Commerce (SAIC) under registration No.: 350105100016821 on August 7, 2009.
SC’s Organization Code Certificate No.:
69193714-1
SC’s registered capital: cny 1,000,000
SC’s paid-in capital: cny 1,000,000
No significant changes of SC have been noted
in SAIC since its incorporation.
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Fujian Haoyou Investment Co., Ltd. |
90 |
|
Ye Cuiping |
10 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman, and
General Manager |
Miu Hong |
|
Supervisor |
Ye Cuiping |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART &
BACKGROUND
Name %
of Shareholding
Fujian Haoyou Investment Co., Ltd. 90
Ye Cuiping 10
Fujian Haoyou
Investment Co., Ltd.
==============================
Registration No.: 350105100027390
Legal Form: Limited Liabilities
Company
Address: 15/F, Mawei Free Trade Zone
Building, Fuzhou, Fujian Province
Tel: 86 (0) 591-83957962
Fax: 86 (0) 591-83957962
MANAGEMENT
Miu Hong , Legal
Representative, Chairman and General Manager
----------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
Qualification:
University
Ø
Working
experience (s):
At
present, working in SC as legal representative, chairman and general manager
Also
working in Fujian Haoyou Commercial & Trade Co., Ltd., Fujian Haoyou
Investment Co., Ltd., Ningde Shengshun Trade Co., Ltd. and Ningde Jiaocheng
Haoyou Investment & Management Co., Ltd. as legal representative
Ye Cuiping ,
Supervisor
------------------------------------------
Ø
Gender: F
Ø
Qualification:
University
*** Michael Xiao
(the given contact person) is working in SC’s international trade department.
BUSINESS OPERATION
SC’s registered business scope includes operating and acting
as an agent of importing and exporting various kinds of commodities and
technology, excluding the goods forbidden by the government.
SC is mainly
engaged in selling metal continuous extrusion equipment and auxiliary
equipment.
SC’s products mainly
include: oil palm fiber, coconut palm fiber.
SC sources its materials 40% from domestic
market, and 60% from overseas market, mainly Malaysia, Indonesia, Philippines,
Vietnam, and India. SC sells 100% of its products in domestic market.
The buying terms
of SC include T/T, L/C and Credit of 30-60 days. The payment terms of SC
include T/T and Credit of 30-60 days.
Staff & Office:
-------------------
SC is known
to have approx. 8 staff at present.
SC rents an area
as its operating office of approx. 120 sq. meters at the heading address.
RELATED COMPANY
l
Fujian Haoyou Commercial & Trade Co., Ltd.
--------------------------------------------------------
Registration No.: 350105100025923
Legal Form: Limited Liabilities
Company
l
Ningde Shengshun Trade Co., Ltd.
------------------------------------------
l
Ningde Hongyuan Farming Industry Co., Ltd.
l
Fujian Hongyuan Real Estate Co., Ltd.
l
Ningde Jiaocheng Haoyou Investment & Management Co., Ltd.
----------------------------------------------------------------------------
Registration No.: 350902100017742
Legal Form: Limited Liabilities
Company
PAYMENT
Overall payment appraisal:
( ) Excellent ( ) Good (X) Average ( ) Fair ( ) Poor ( ) Not yet be 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.
BANKING
Basic Bank:
Industrial
and Commercial Bank of China Mawei Sub-branch
AC#1402026109601046438
***Note: SC’s
management declined to release whether it has account in Bank of China.
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2010 |
As
of Jul. 31, 2011 |
|
460 |
510 |
|
|
Accounts
receivable |
0 |
0 |
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Advances to
suppliers |
0 |
0 |
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Other receivable |
10 |
10 |
|
Inventory |
640 |
2,060 |
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Non-current
assets within one year |
0 |
0 |
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Other current
assets |
60 |
120 |
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|
------------------ |
------------------ |
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Current assets |
1,170 |
2,700 |
|
Fixed assets |
30 |
20 |
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Construction in
progress |
0 |
0 |
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Intangible
assets |
0 |
0 |
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Long-term
prepaid expenses |
0 |
0 |
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Deferred income
tax assets |
0 |
0 |
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Other
non-current assets |
0 |
0 |
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|
------------------ |
------------------ |
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Total assets |
1,200 |
2,720 |
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|
============= |
============= |
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Short-term loans |
0 |
0 |
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Notes payable |
0 |
0 |
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Accounts payable |
0 |
0 |
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Wages payable |
0 |
0 |
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Advances from
clients |
940 |
2,720 |
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Other payable |
20 |
170 |
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Other current
liabilities |
10 |
-80 |
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|
------------------ |
------------------ |
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Current
liabilities |
970 |
2,810 |
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Non-current
liabilities |
0 |
0 |
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|
------------------ |
------------------ |
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Total
liabilities |
970 |
2,810 |
|
Equities |
230 |
-90 |
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|
------------------ |
------------------ |
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Total
liabilities & equities |
1,200 |
2,720 |
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|
============= |
============= |
Income Statement
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Unit: CNY’000 |
Jan.
1 2011 to Jul. 31, 2011 |
|
Revenue |
770 |
|
Cost of sales |
640 |
|
Sales expense |
200 |
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Management expense |
230 |
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Finance expense |
10 |
|
Profit before
tax |
-320 |
|
Less: profit tax |
0 |
|
-320 |
Important Ratios
=============
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|
As of Dec. 31, 2010 |
As of Jul. 31, 2011 |
|
*Current ratio |
1.21 |
0.96 |
|
*Quick ratio |
0.55 |
0.23 |
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*Liabilities
to assets |
0.81 |
1.03 |
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*Net profit
margin (%) |
-- |
-41.56 |
|
*Return on
total assets (%) |
-- |
-11.76 |
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*Inventory /
Revenue ×365 |
-- |
977 days |
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*Accounts
receivable/ Revenue ×365 |
-- |
-- |
|
*
Revenue/Total assets |
-- |
0.28 |
|
* Cost of
sales / Revenue |
-- |
0.83 |
FINANCIAL COMMENTS
PROFITABILITY:
POOR
l
The revenue of SC appears fair in its line.
l
SC’s net profit margin is poor.
l
SC’s return on total assets is poor.
l
SC’s cost of goods sold is average, comparing with
its revenue.
LIQUIDITY: FAIR
l
The current ratio of SC is maintained in a fair
level.
l
SC’s quick ratio is maintained in a poor level.
l
The inventory of SC appears large.
l
SC has no accounts receivable in 2010.
l
SC has no short-term loans in 2010.
l
SC’s revenue is in a fair level, comparing with the
size of its total assets.
LEVERAGE: POOR
l
The debt ratio of SC is high.
l
The risk for SC to go bankrupt is high.
Overall financial
condition of the SC: Poor.
CONCLUSIONS
SC is considered small-sized in its line with poor financial conditions.
The large amount of inventory may be a threat to SC’s financial condition. A
credit line at the above amount appears beyond SC’s capacities, great caution
is required in providing credit to SC and C.O.D. is recommended.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.46.12 |
|
|
1 |
Rs.74.18 |
|
Euro |
1 |
Rs.64.87 |
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 |
|
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 |
|
-- |
NB |
New Business |
-- |
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.