MIRA INFORM REPORT

 

                                   

Report Date :

30.11.2012

 

IDENTIFICATION DETAILS

 

Name :

RAJA  FASHIONS

 

 

Registered Office :

G/F., Fook Kiu Building, 34C Cameron Road, Tsimshatsui, Kowloon

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

01.04.1983

 

 

Com. Reg. No.:

8377536-000-04

 

 

Legal Form :

Partnership Concern

 

 

Line of Business :

Tailor, Importer and Exporter of all kinds of custom-made clothing, shirts, coats, suits, leather garments, shoes, handbags, etc.

 

 

No. of Employees :

10 employees

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory  

Payment Behaviour :

No Complaints 

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

Hong Kong

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

Hong Kong - ECONOMIC OVERVIEW

 

Hong Kong has a free market economy, highly dependent on international trade and finance - the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong's open economy left it exposed to the global economic slowdown that began in 2008. Although increasing integration with China, through trade, tourism, and financial links, helped it to make an initial recovery more quickly than many observers anticipated, it again faces a possible slowdown as exports to the Euro zone and US slump. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts; RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion quota set by Beijing for trade settlements in 2010 due to the growth of earnings from exports to the mainland. RMB deposits grew to roughly 7.8% of total system deposits in Hong Kong by the end of 2011, an increase of over 59% since the beginning of the year. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets and is seeking to expand the RMB quota. The mainland has long been Hong Kong's largest trading partner, accounting for about half of Hong Kong's exports by value. Hong Kong's natural resources are limited, and food and raw materials must be imported. As a result of China's easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 28 million in 2011, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2011 mainland Chinese companies constituted about 43% of the firms listed on the Hong Kong Stock Exchange and accounted for about 56% of the Exchange's market capitalization. During the past decade, as Hong Kong's manufacturing industry moved to the mainland, its service industry has grown rapidly. Growth slowed to 5% in 2011. Credit expansion and tight housing supply conditions caused Hong Kong property prices to rise rapidly in 2010 and inflation to rise 5.3% in 2011. Lower and middle income segments of the population are increasingly unable to afford adequate housing. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983.

 

 

 

Source : CIA

 

Company name

 

RAJA  FASHIONS

 

 

Company ADDRESS

 

G/F., Fook Kiu Building, 34C Cameron Road, Tsimshatsui, Kowloon, Hong Kong.

PHONE:            2366 7624,  2369 2385,  2367 3724,  2108 7000

FAX:                 2369 2807

E-MAIL:            raja@raja-fashions.com

 

 

MANAGEMENT

 

Manager:  Mr. Rajkumar Daswani

 

 

SUMMARY

 

Establishment:                          1st April, 1983.

 

Organization:                 Partnership.

 

Capital:                         Not disclosed.

 

Business Category:        Tailor, Importer and Exporter.

 

Employees:                   10.

 

Main Dealing Banker:     The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

 

Banking Relation:           Satisfactory.


 

Company ADDRESS

 

Head Office & Shop:-

G/F., Fook Kiu Building, 34C Cameron Road, Tsimshatsui, Kowloon, Hong Kong.

 

Factory & Warehouse:  Shenzhen, China.

 

Associated Companies:-

Asha’s (HK) Tailors
Room 501, Cammer Commercial Building, 30-32 Cameron Road, Tsimshatsui, Kowloon, Hong Kong.

[Business Registration No.:  8377536-001-04

Business Lines: Trading in fashions, electronic goods, watches, leatherware and tailors.]

Raja Leatherware
Room 501, Cammer Commercial Building, 30-32 Cameron Road, Tsimshatsui, Kowloon, Hong Kong.

[Established on:  12th April, 1986.

Business Registration No.:  8377536-004-04

Business Lines: Trading in leather garments, shoes and handbags.]

 

 

BUSINESS REGISTRATION NUMBER

 

8377536-000-04

 

 

MANAGEMENT

 

Manager:  Mr. Rajkumar Daswani

 

 

PARTNERS

 

Name:                           Mr. Rajkumar DASWANI

Residential Address:      Block C, 4/F., 16 Cameron Road, Tsimshatsui, Kowloon, Hong Kong.

 

Name:                           Ms. Shalini DASWANI

Residential Address:      Flat B, 5/F., Block E, Wylie Court, 19-21 Wylie Path, Kowloon, Hong Kong.

 

 

HISTORY

 

The subject was established on 1st April, 1983 as a partnership concern owned by Mr. Rajkumar Daswani and Mr. Shalini Daswani under the Hong Kong Business Registration Regulations.

 

The subject was initially located at 36A, Cameron Road, Tsimshatsui, Kowloon, Hong Kong, moved to G/F., Fook Kiu Building, 34C Cameron Road, Tsimshatsui, Kowloon, Hong Kong in February 1993; to Unit M, 13/F., Phase III, Kaiser Estate, 11 Hok Yuen Street, Hunghom, Kowloon, Hong Kong in July 2011; to G/F., 34C Cameron Road, Tsimshatsui, Kowloon, Hong Kong in November 2011; to Unit M, 13/F., Phase III, Kaiser Estate, 11 Hok Yuen Street, Hunghom, Kowloon, Hong Kong in December 2011; back to 34C Cameron Road, Tsimshatsui, Kowloon, Hong Kong again in April 2012.

 

Apart from these, neither material change nor amendment has been ever traced and noted.

 

 

OPERATIONS

 

Activities:                      Tailor, Importer and Exporter.

 

Lines:                           All kinds of custom-made clothing, shirts, coats, suits, leather garments, shoes,

handbags, etc.

 

Employees:                   10.

 

Raw Materials:               Mainly imported from U.K., Italy, etc.

 

Markets:                       Hong Kong and overseas.

 

Terms/Sales:                 COD or as per contracted.

 

Terms/Buying:               L/C or as per contracted.

 

 

FINANCIAL INFORMATION

 

Capital:                         Not disclosed.

 

Profit & Loss:                Making a profit every year.

 

Condition:                      Keeping in an active state.

 

Facilities:                      Making active us of general banking facilities.

 

Payment:                      Met as required.

 

Commercial Morality:     Satisfactory.

 

Banker:                         The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.

 

Standing:                      Good.


GENERAL

 

Raja Fashions is a partnership concern jointly owned by two Indian, namely, Mr. Rajkumar Daswani (alias Raja Daswani) and Ms. Shalini Daswani.  The two Daswanis have been in Hong Kong for a very long time.

The subject was officially established in 1957 by the grandfather of Mr. Raja Daswani, who emigrated from Northern India to Hong Kong and set up a custom tailored business in Kowloon.

During the 40 year period between the establishment of the subject and the handover of Hong Kong back to China, the Raja Fashions store in Kowloon continued to grew in reputation.  When Raja Daswani assumed operations, he started promoting the brand.

Now, the subject is one of the leading tailors offering custom-made clothing, shoes, handbags and leather garments.  It is Hong Kong’s leading bespoke tailors specialized in “beautifully crafted custom made garments for men and women”.

However its core business is custom-made garments.  Since 1998, the subject also offers online service.  Customers can order their shirts and coats via E‑mail.

Now Mr. Raja Daswani is also the chief executive officer of the subject.

The subject has delivered quality hand tailored shirts since 1957.  Three generations of tailors, specializing in the craft of making shirts.  All its shirts are hand made.  It has claimed that “only the finest materials like pure cotton, Egyptian cotton, Swiss cotton, cotton oxford, polyester cotton is used”.

The subject has got large inventory of fine Italian and English fabrics which are warehoused in its own on-site facilities.  With over 20,000 fabrics in stock, ranging from affordable to exclusive (including fabrics from top European mills and houses such as Ermenegildo Zegna, Dormeuil, Holland & Sherry, Scabal, Loro Piana and more), the subject is able to serve to suit all.

The subject’s local customers comprise executives from large corporations and small companies as well as member of the Rotary Club of Hong Kong.

The subject has got its production base and warehouse in Shenzhen Special Economic Zone, China.  For orders, the work is done in Hong Kong, whereas postal and Internet orders are directed to Shenzhen.

After the handover of Hong Kong, instead of waiting for customers to come to their store in Kowloon, Mr. Daswani decided to visit his customers in United Kingdom, and began setting stores in 5-star hotels in London and letting his previous customers know by mail that he would be coming to measure people for suits.

These international tours proved profitable, so Raja Fashions quickly adapted this strategy for others cities in the United Kingdom and the United States. In 2009, Raja Fashions embarked on a second round of expansion, establishing hotel shops in Australia, Canada, Germany, New Zealand, Belgium, and Switzerland. In 2012, Raja Fashions offered service in the United Arab Emirate of Doha for the first time.

Mr. Daswani has been interviewed by local presses and media in the Unit Kingdom.

The subject has been ranked 9th best international tailors in the world.

To our knowledge, the total fix assets of Daswani in Hong Kong amount to HK$300 million.  He has six premises in Cameron Road, Tsimshatsui, Kowloon, Hong Kong.  Apart from a tailor, Daswani is also a property investor.

Being a significant tailor in Hong Kong, the subject is considered good for normal business engagements.

 

REMARKS:

 

Court case record in the past:-

Date

Plaintiff

Defendant

Cause

Amount

Mar. 1993

Chanel

Raja Fashions

Injunction

Not stated

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.55.20

UK Pound

1

Rs.88.38

Euro

1

Rs.71.47

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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.