MIRA INFORM REPORT

 

 

Report Date :

17.07.2012

 

IDENTIFICATION DETAILS

 

Name :

JIAXING HEMEIDI TRADING CO., LTD.

 

 

Registered Office :

Unit #A404 Commercial & Cultural Plaza, Pinghu, Jiaxing Zhejiang Province 314200 Pr

 

 

Country :

China

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

18.03.2008

 

 

Com. Reg. No.:

330482000012761

 

 

Legal Form :

Limited Liabilities Company

 

 

Line of Business :

international trade mainly include hinges, screws, flush bolts, thresholds, door sweepers and PVC products

 

 

No. of Employees :

7

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

Payment Behaviour :

Unknown

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, 2012

 

Country Name

Previous Rating

(31.12.2011)

Current Rating

(31.03.2012)

China

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

Company name and address

 

JIAXING HEMEIDI TRADING CO., LTD.

UNIT #A404 COMMERCIAL & CULTURAL PLAZA, PINGHU, JIAXING

ZHEJIANG PROVINCE 314200 PR CHINA

TEL: 86 (0) 573-85280021

FAX: 86 (0) 573-85280021

 

 

EXECUTIVE SUMMARY

 

Date of Registration          : march 18, 2008

REGISTRATION NO.                  : 330482000012761

LEGAL FORM                           : Limited liabilities company

CHIEF EXECUTIVE                       : wu dongsheng (LEGAL REPRESENTATIVE)

REGISTERED CAPITAL             : cny 1,000,000

staff                                      : 7

BUSINESS CATEGORY             : trading

Revenue                                : CNY 18,470,000 (AS OF DEC. 31, 2011)

EQUITIES                                 : CNY 895,000 (AS OF DEC. 31, 2011)

WEBSITE                                 : N/A

E-MAIL                                     : N/A

PAYMENT                                : AVERAGE

MARKET CONDITION                : average

FINANCIAL CONDITION             : FAIRly stable

OPERATIONAL TREND              : Ordinary

GENERAL REPUTATION           : AVERAGE

EXCHANGE RATE                     : CNY 6.37 = USD 1

 

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.: 330482000012761 on March 18, 2008.

 

SC’s Organization Code Certificate No.: 672589786

 

SC’s Tax No.: 330482672589786

 

SC’s registered capital: cny 1,000,000

 

SC’s paid-in capital: cny 1,000,000

 

Registration Change Record:-

 

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

Wu Dongsheng

51

Gao Naibo

49

 

SC’s Chief Executives:-

 

Position

Name

Legal Representative and Chairman

Wu Dongsheng

General Manager

Gao Naibo

Supervisor

Ren Chunying

 

 

 

RECENT DEVELOPMENT

 

No recent development was found during our checks at present.

 

 

SHAREHOLDER CHART & BACKGROUND

 

 

Name                                                               % of Shareholding

 

Wu Dongsheng                                                              51

 

Gao Naibo                                                                     49

 

 

MANAGEMENT

 

Wu Dongsheng , Legal Representative and Chairman

--------------------------------------------------------------------------------

Ø         Gender: M

Ø         Age: 51

Ø         ID# 21010619611215091X

Ø         Qualification: University

Ø         Working experience (s):

 

From 2008 to present, working in SC as legal representative and chairman

 

Gao Naibo , General Manager

--------------------------------------------------

Ø         Gender: M

Ø         Age: 50

Ø         ID# 210102196209192520

Ø         Qualification: University

Ø         Working experience (s):

 

From 2008 to present, working in SC as general manager

 

 

Ren Chunying , Supervisor

---------------------------------------------

Ø         Gender: M

Ø         Age: 32

Ø         ID# 210111198007012523

 

 

 

 

 

BUSINESS OPERATION

 

SC’s registered business scope includes selling construction machinery, steel, building materials, metal products, metal materials, hardware machinery, chemical raw materials, rubber products, office supplies, wood products, handicrafts, cosmetics, textile products, daily necessities, clothing accessories, textiles, footwear, household appliances; selling foods, stereotypes packaged food; importing and exporting various kinds of commodities and technology.

 

SC is mainly engaged in international trade.

SC’s products mainly include: hinges, screws, flush bolts, thresholds, door sweepers and PVC products

 

SC sources its materials 100% from domestic market, mainly Zhejiang. SC sells 20% of its products in domestic market, and 80% to overseas market, mainly Mid East, Southeast Asia, etc.

 

The buying terms of SC include Check, T/T and Credit of 30-60 days. The payment terms of SC include T/T, L/C and Credit of 30-60 days.

 

*Major Customers:

==============

Ebuy Development Ltd.

Worldwide Door Components Inc.

Genesis Architectural Products Inc.

 

Staff & Office:

--------------------------

SC is known to have approx. 7 staff at present.

 

SC rents an area as its operating office of approx. 100 sq. meters at the heading address.

 

 

RELATED COMPANY

 

SC is not known to have any subsidiary at present.

 

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:

 

Bank of China Pinghu Sub-branch

 

AC#: 860036619008091001

 

 

FINANCIALS

 

Balance Sheet

Unit: CNY’000

As of Dec. 31, 2010

As of Dec. 31, 2011

Cash

1,160

1,100

Notes receivable

0

0

Accounts receivable

0

0

Advances to suppliers

2,737

3,460

Export tax refund receivable

363

318

Other receivable

0

0

Inventory

0

1

Non-current assets within one year

0

0

Other current assets

0

-619

 

------------------

------------------

Current assets

4,260

4,260

Fixed assets

9

45

Construction in progress

0

0

Intangible assets

0

0

Long-term prepaid expenses

0

0

Deferred income tax assets

25

7

Other non-current assets

0

620

 

------------------

------------------

Total assets

4,294

4,932

 

=============

=============

Short-term loans

0

0

Notes payable

0

0

Accounts payable

0

0

Wages payable

0

0

Taxes payable

-8

-43

Advances from clients

3,440

4,078

Other payable

0

0

Other current liabilities

2

2

 

------------------

------------------

Current liabilities

3,434

4,037

Non-current liabilities

0

0

 

------------------

------------------

Total liabilities

3,434

4,037

Equities

860

895

 

------------------

------------------

Total liabilities & equities

4,294

4,932

 

=============

=============

 

Income Statement

Unit: CNY’000

As of Dec. 31, 2010

As of Dec. 31, 2011

Revenue

18,324

18,470

Cost of sales

17,219

17,206

     Sales expense

718

689

     Management expense

408

545

     Finance expense

68

68

Profit before tax

-112

33

Less: profit tax

5

0

Profits

-117

33

 

Important Ratios

=============

 

As of Dec. 31, 2010

As of Dec. 31, 2011

*Current ratio

1.24

1.06

*Quick ratio

1.24

1.05

*Liabilities to assets

0.80

0.82

*Net profit margin (%)

-0.64

0.18

*Return on total assets (%)

-2.72

0.67

*Inventory / Revenue ×365

--

1 day

*Accounts receivable/ Revenue ×365

--

--

* Revenue/Total assets

4.27

3.74

* Cost of sales / Revenue

0.94

0.93

 

 

FINANCIAL COMMENTS

 

PROFITABILITY: AVERAGE

l         The revenue of SC appears average in its line.

l         SC’s net profit margin is fair in 2010 and average in 2011.

l         SC’s return on total assets is fair in 2010 and average in 2011.

l         SC’s cost of sales is fairly high, comparing with its revenue.

 

LIQUIDITY: AVERAGE

l         The current ratio of SC is maintained in a normal level.

l         SC’s quick ratio is maintained in a fairly good level.

l         The inventory of SC appears small.

l         SC has no accounts receivable in both years.

l         SC has no short-term loans in both years.

l         SC’s revenue is in a fairly good level, comparing with the size of its total assets.

 

LEVERAGE: FAIR

l         The debt ratio of SC is fairly high.

l         The risk for SC to go bankrupt is above average.

 

Overall financial condition of the SC: Fairly Stable.

 

CONCLUSIONS

 

SC is considered small-sized in its line with fairly stable financial conditions.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.54.92

UK Pound

1

Rs.85.47

Euro

1

Rs.67.15

 

 

INFORMATION DETAILS

 

Report Prepared by :

PRL

 

 

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

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%)

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.