MIRA
INFORM REPORT
|
Report Date : |
27.06.2012 |
IDENTIFICATION DETAILS
|
Name : |
FUJIAN XINGLIANFA KNITTING CO., LTD. |
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Registered Office : |
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Country : |
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Date of Incorporation : |
20.01.2005 |
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Com. Reg. No.: |
350181100015528 |
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Legal Form : |
Limited Liabilities
Company |
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Line of Business : |
Manufacture and Sales of Lace. |
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No. of Employees : |
400 |
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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Status : |
Moderate |
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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, 2012
|
Country Name |
Previous Rating (31.12.2011) |
Current Rating (31.03.2012) |
|
China |
A2 |
A2 |
|
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
FUJIAN XINGLIANFA KNITTING CO., LTD.
Currency in this report is Chinese Yuan
unless otherwise stated.
Exchange Rate: 1 USD=6.3595 Chinese Yuan
"--"in this report indicates
"unavailable" due to insufficient information or "no
comments"
Notes:
1.
The operation information (Dealas
in Machinery) provided in the order isn’t correct. SC mainly deals with manufacture
and sales of lace and doesn’t deal with mechanical products.
2.
Due to recent government
intervention in the AIC systems, reports of some regions could be impacted for
a certain period. For companies registered in Fujian, financial information couldn’t
be obtained.
EXECUTIVE
SUMMARY
|
DATE OF establishment |
JAN 20th, 2005 |
|
Aic Registration No. |
350181100015528 |
|
REGISTERED LEGAL FORM |
limited liabilities
company |
|
REGISTERED CAPITAL |
20,750,000.00 |
|
main BUSINESS |
Manufacture and sales of lace. |
|
tax no. |
35018177066257X |
|
employees |
400 |
|
import and export permits |
yes |
|
EXCHANGE RATE |
1 Usd=6.3595CNY
(JUNE.21ST, 2012) |
|
Registered Address |
Chengtou Town, Yuanhong Investment Zone, Fuqing City, Fuzhou City,
Fujian Province. |
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Zip Code |
350314 |
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Business Address |
Chengtou Town, Yuanhong Investment Zone, Fuqing City, Fuzhou City,
Fujian Province. |
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Zip Code |
350314 |
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Telephone |
86 591 88265600 |
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Fax |
86 591 83897029 |
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|
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SIC Code (China) |
4216 Manufacture of drawn and embroidery artware. |
REGISTRATION
|
Name (Chinese) |
福建兴联发针织有限公司 |
|
Name (English) |
FUJIAN XINGLIANFA KNITTING CO.,LTD. |
|
Date of Establishment |
Jan 20th, 2005 |
|
Registry |
Administration Bureau of Industry and Commerce –
Fuqing City |
|
Legal Representative |
Chen Wu |
|
AIC Registration Number |
350181100015528 |
|
Registered Legal Form |
limited liabilities company |
|
Registered Capital |
20,750,000.00 |
|
Operating Duration |
From Jan 20th, 2005 to Jan 19th,
2025 |
|
Business Scope |
Manufacture and sales of
lace fabric, underwear, garments, etc. |
|
Changes in Registration |
-- |
Limited liabilities co.
This form of business in PR China is defined as a
legal person. Its registered capital is contributed jointly by at least two
shareholders and no more than fifty. 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 listed
as follows:
-manufacturing co. :
RMB 500,000.00
-trading &wholesaling co. :
RMB 500,000.00
-retailing co. : RMB 300,000.00
-consultancy & service co. : RMB 100,000.00
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 50% of the registered capital while contribution by intangible
assets must not exceed 20% 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.
REGISTRATION INFO: AVAILABLE
FINANCIAL REPORTS: AVAILABLE
FIELD INVESTIGATION
1. SC’s business income comes mainly from many kinds of
lace. Its sales business is developed both directly and indirectly to its end
customers. The industry of drawn and embroidery artware SC
deals with is an industry with fierce competition. There are a lot of similar
enterprises in the local place as SC’s competitors. However, with long history
and certain business scale, SC enjoys certain popularity in the local industry
and has accumulated certain amount of customers. Generally speaking, SC’s
competitiveness is average in the local industry.
2. Fuqing City, SC’s location, is a new modern industrial
city with satisfactory economy environment. Yuanhong Investment Zone where SC
is located is with developed logistics and convenient traffic condition.
SHAREHOLDERS
AND SHARES
As
indicated in the following table:
|
Shareholder |
Capital
Subscribed |
Percentage |
|
Chen Biao |
1,500,000.00 |
7.23% |
|
Chen Bing |
6,000,000.00 |
28.92% |
|
Chen Wu |
6,000,000.00 |
28.92% |
|
Chen Xuxiang |
3,500,000.00 |
16.87% |
|
Chen Zhenchun |
2,000,000.00 |
9.63% |
|
Deng Dengke |
750,000.00 |
3.61% |
|
Lin Cunsheng |
500,000.00 |
2.41% |
|
Lin Wenqi |
500,000.00 |
2.41% |
|
Total |
20,750,000.00 |
100% |
|
Shareholder |
Way
of Investment |
Paid-up
Percentage |
|
Chen Biao |
Capital
|
100% |
|
Chen Bing |
Capital
|
100% |
|
Chen Wu |
Capital
|
100% |
|
Chen Xuxiang |
Capital
|
100% |
|
Chen Zhenchun |
Capital
|
100% |
|
Deng Dengke |
Capital
|
100% |
|
Lin Cunsheng |
Capital
|
100% |
|
Lin Wenqi |
Capital
|
100% |
Background
of major shareholder
|
Name |
Chen Biao |
|
Gender |
Male |
|
Title |
-- |
|
Date of birth |
July 25th, 1960 |
|
Education |
-- |
|
Working experience |
10 to 15 years’ working experience. |
|
|
|
|
Name |
Chen Bing |
|
Gender |
Male |
|
Title |
-- |
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Date of birth |
May. 10th, 1965 |
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Education |
-- |
|
Working experience |
10 to 15 years’ working experience. |
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Name |
Chen Wu |
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Gender |
Male |
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Title |
Executive director |
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Date of birth |
Dec. 27th, 1967 |
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Education |
-- |
|
Working experience |
10 to 15 years |
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Name |
Chen Xuxiang |
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Gender |
Male |
|
Title |
-- |
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Date of birth |
May. 3rd, 1954 |
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Education |
-- |
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Working experience |
10 to 15 years’ working experience. |
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Name |
Chen Zhenchun |
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Gender |
Male |
|
Title |
-- |
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Date of birth |
Oct. 5th, 1956 |
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Education |
-- |
|
Working experience |
10 to 15 years’ working experience. |
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|
Name |
Deng Dengke |
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Gender |
Male |
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Title |
-- |
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Date of birth |
Nov. 3rd, 1973 |
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Education |
-- |
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Working experience |
5 to 10 years’ working experience |
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|
Name |
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|
Gender |
Male |
|
Title |
-- |
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Date of birth |
Feb. 1st, 1966 |
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Education |
-- |
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Working experience |
10 to 15 years. |
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Name |
Lin Wenqi |
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Gender |
Male |
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Title |
-- |
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Date of birth |
Aug. 21st, 1964 |
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Education |
-- |
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Working experience |
10 to 15 years. |
AFFILIATE(S)
No affiliates of
subject company is found after checking.
MANAGEMENT
|
Name |
Chen Wu |
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Gender |
Male |
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Title |
Executive director |
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Date of birth |
Dec. 27th, 1967 |
|
Education |
-- |
|
Working experience |
10 to 15 years’ working experience. |
NUMBER OF EMPLOYEES
Employees:
400
Management
Staff: 50
Recent
recruitment: Yes
|
Job-hunting websites |
Job title |
Number |
|
http://www.minjiangrc.com |
Merchandiser; Business staff; Statistical clerk;
Lace designer. |
10 |
BANKERS INFORMATION
N/A
OFFICE FACILITIES
|
Geographic Location |
Chengtou Town, Yuanhong Investment Zone, Fuqing City, Fuzhou City,
Fujian Province. |
|
Area |
25,000 square meters |
|
Environment |
Suburb. |
|
Traffic condition |
Convenient. |
|
Purpose |
Office/Warehousing/Factory. |
|
Property Ownership |
Rented |
|
Other address |
-- |
WEBSITE
|
Website |
http://fjxlf.cn.alibaba.com/ |
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e-mail |
Sale33@lianfar.com |
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Operation status |
Normal |
|
Copyright |
B2B Website. |
|
Language |
Chinese. |
TRADEMARKS
& PATENTS
After checking with the
Trademark Office of Chinese Administration Bureau of Industry and Commerce and
the State Intellectual Office, no trademarks or patents of SC were found.
MAIN
PRODUCTS & SERVICES
|
Main business |
Manufacture and sales of lace. |
|
Products and services |
SC mainly deals with manufacture and sales
of lace. Its products include elastic lace, tricot lace, eyelash lace, tricot
fabric, etc. Its products are widely used in sectors of brassiere, underwear,
garments, wedding dress, etc. |
|
Picture of specific products |
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Annual production capacity |
300 yards per month. |
|
Plants and equipments |
According
to SC’s staff, SC has introduced advanced computer knitting equipments manufactured
by KARLMAYER (Germany). It now has tricot machines of many sizes including
MRSS42, MRGSF31/16SU, MRPJ25/1, MRESJ43/1.MRESJ73/1, MRESJF31/1/24,
MRESJF53/1/24, etc. In addition, SC has introduced computer knitting and
designing software and SHANNUO designing system. It has two R & D
Departments at present. |
|
Awards & Honors |
-- |
|
Certificates / licenses |
ISO9001：2000
International Quality Management System；Oeko-tex Certification. |
SALES
INFORMATION
|
Domestic sales |
10% |
|
Regions |
All
over China |
|
Major domestic clients |
Garment
enterprises, etc. |
|
Competitors |
FUJIAN DONGLONG KNITTING
& TEXTILE CO., LTD; HANG GANG TEXTILE CO., LTD; CHANGLE FUJIAN; Xiamen Fuli Lace Co., Ltd.;
Fujian K-boxing Warpknitting Co., Ltd, etc. |
|
Payment terms |
Prompt payment; on credit |
|
Export |
90% |
|
Regions |
Europe,
America; South Korea; Japan; Mid-east; Hong Kong, etc. |
|
Major overseas clients |
Hennes
& Mauritz AB; Wal-Mart Stores,
Inc, etc. |
|
Payment terms |
L/C, T/T |
|
SC’s products are mainly
exported to overseas countries. Its clients are mainly large-sized domestic
and international textile enterprises and retail enterprises. Its client
sources are acceptable. |
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The above information was
confirmed by SC’s employee. |
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PURCHASE
INFORMATION
|
Main Commodities Purchased |
Stretch nylon, nylon, tricot machines, etc. |
|
Number of Major Suppliers |
About 5 |
|
Region |
Domestic: 80% Import:20 % |
|
Major suppliers |
GUANGDONG XINHUI MEIDA NYLON CO., LTD.;
KARL MAYER (CHINA) LTD, etc. |
|
Main Terms of Payment |
Local: Prompt payment; on
credit Import: L/C, T/T |
|
SC’s raw materials are all purchased domestically.
Its production equipments are mostly imported from overseas countries. SC has
been cooperating well with its suppliers. |
|
|
The above information was confirmed by SC’s
employee. |
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CREDIT
|
Name of supplier |
GUANGDONG XINHUI MEIDA
NYLON CO., LTD. |
|
Main commodities and service supplied |
Nylon, stretch yarn, etc. |
|
Interviewee |
Manager Chen (Sales Department of SC’s
Fujian Branch |
|
Telephone of Interviewee |
86 13822356657 |
|
Payment comment |
The investigated person confirmed that SC is
one of their clients and SC’s credit status is good. |
|
Date of interview |
June.25th, 2012 |
LITIGATION
RECORDS
After checking with China Court
organization, the local court website and other major searching websites, no
litigation record related to SC in the latest three years is found.
OTHER
ADVERSE MEDIA INFORMATION
N/A
FINANCE
According to SC’s staff,
its annual turnover is about 30 million CNY.
Important Ratios:
|
|
2010 Industry Financial Indices (249*) |
|
Return on net
assets (%) |
-0.44 |
|
Return on total
assets (%) |
-0.39 |
|
Net profit margin
(%) |
-0.41 |
|
Turnover of
total assets |
0.83 |
|
Turnover of
current assets |
1.42 |
|
Turnover of
account receivable |
65.82 |
|
Inventory
turnover |
74.52 |
|
Asset liability
ratio (%) |
47.36 |
|
Current ratio |
1.33 |
|
Quick ratio |
0.98 |
Analysis of financial
indicator
SC’s
registered capital is high and its capital strength is acceptable. With several
years history, it has accumulated abundant industry experience and has
developed stable sales channels. Its sustainable operation risk is low. In
addition, the industry SC belongs to has certain development space and its
industry risk is low.
INDUSTRY
PROFILE
Industry
SIC Code (China): 4216 Manufacture of drawn and embroidery artware.
Description: Manufacture of
drawn and embroidery artware using cotton, fibre, silk, fur, artificial fiber
textiles, textile products, etc as raw materials.
Status
Quo & Trend
Most of the enterprises in drawn and embroidery
artware industry are small enterprises which have features of energy low
consumption, material low consumption, labor intensity, etc. The drawn and
embroidery artware industry has disadvantages of product homogeneity, unobvious
brand effect, single sales method, etc. In 2011, there were totally 3067
large-sized enterprises in the drawn and embroidery artware industry; the total
asset of these 3067 enterprises was over 226.4 billion CNY, increasing 32.18%
year/year; the total main business income was 502.74 billion CNY, increasing
36.17% yer/year; the total profit was 26.986 billion CNY, increasing 39.52%
year/year. In addition, the drawn and embroidery artware industry has problems
of professionals deficiency, over capacity, virulent price competition, etc.
As national economy is developing fast and
sustainably and people’s income is improving, the market demand for drawn and
embroidery artware is also increasing gradually.
Industry Associations
|
Name of association |
Membership of subject (Yes/No) |
|
China Knitting Industry Association Warp
Knitting Branch |
Not Known |
|
Fujian Textile Industry Association |
Not Known |
|
China Textile Product Industry Enterprises
Management Association |
Not Known |
GENERAL
COMMENTS
Established in January, 2005
with the registered capital of 20,750,000.00 CNY, SC is engaged in manufacture
and sales of lace. With long history and large business scale, SC has developed
stable purchase and sales channels. It has business in many overseas countries
including USA, Japan, South Korea, Hong Kong, Taiwan, Middle East, EU, etc and
enjoys certain popularity in these countries.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.57.07 |
|
|
1 |
Rs.88.96 |
|
Euro |
1 |
Rs.71.40 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.