MIRA
INFORM REPORT
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Report Date : |
13.12.2013 |
IDENTIFICATION DETAILS
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Name : |
T AND L INTERNATIONAL TRADE CO., LTD. |
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Registered Office : |
1#Road Wangchachang ,Hedong District, |
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Country : |
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Financials (as on) : |
30.09.2013 |
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Date of Incorporation : |
27.02.2009 |
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Com. Reg. No.: |
120102000039779 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
selling of furniture such as Dining Table, Coffee Table, End Table, TV
Stand, Coat Hanger, Computer Desk & Dining Chair |
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No. of Employees : |
15 |
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 : |
Slow but 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 – September 30th, 2013
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Country Name |
Previous Rating (30.06.2013) |
Current Rating (30.09.2013) |
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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 |
china ECONOMIC OVERVIEW
Since the late 1970s China has moved
from a closed, centrally planned system to a more market-oriented one that
plays a major global role - in 2010 China became the world's largest exporter.
Reforms began with the phasing out of collectivized agriculture, and expanded
to include the gradual liberalization of prices, fiscal decentralization,
increased autonomy for state enterprises, creation of a diversified banking
system, development of stock markets, rapid growth of the private sector, and
opening to foreign trade and investment. China has implemented reforms in a
gradualist fashion. In recent years, China has renewed its support for
state-owned enterprises in sectors it considers important to "economic
security," explicitly looking to foster globally competitive national champions.
After keeping its currency tightly linked to the US dollar for years, in July
2005 China revalued its currency by 2.1% against the US dollar and moved to an
exchange rate system that references a basket of currencies. From mid 2005 to
late 2008 cumulative appreciation of the renminbi against the US dollar was
more than 20%, but the exchange rate remained virtually pegged to the dollar
from the onset of the global financial crisis until June 2010, when Beijing
allowed resumption of a gradual appreciation. The restructuring of the economy
and resulting efficiency gains have contributed to a more than tenfold increase
in GDP since 1978. Measured on a purchasing power parity (PPP) basis that
adjusts for price differences, China in 2012 stood as the second-largest economy
in the world after the US, having surpassed Japan in 2001. The dollar values of
China's agricultural and industrial output each exceed those of the US; China
is second to the US in the value of services it produces. Still, per capita
income is below the world average. The Chinese government faces numerous
economic challenges, including: (a) reducing its high domestic savings rate and
correspondingly low domestic demand; (b) sustaining adequate job growth for
tens of millions of migrants and new entrants to the work force; (c) reducing
corruption and other economic crimes; and (d) containing environmental damage
and social strife related to the economy's rapid transformation. Economic
development has progressed further in coastal provinces than in the interior,
and by 2011 more than 250 million migrant workers and their dependents had
relocated to urban areas to find work. One consequence of population control
policy is that China is now one of the most rapidly aging countries in the
world. Deterioration in the environment - notably air pollution, soil erosion,
and the steady fall of the water table, especially in the North - is another
long-term problem. China continues to lose arable land because of erosion and
economic development. The Chinese government is seeking to add energy
production capacity from sources other than coal and oil, focusing on nuclear
and alternative energy development. In 2010-11, China faced high inflation
resulting largely from its credit-fueled stimulus program. Some tightening
measures appear to have controlled inflation, but GDP growth consequently
slowed to under 8% for 2012. An economic slowdown in Europe contributed to
China's, and is expected to further drag Chinese growth in 2013. Debt overhang
from the stimulus program, particularly among local governments, and a property
price bubble challenge policy makers currently. The government's 12th Five-Year
Plan, adopted in March 2011, emphasizes continued economic reforms and the need
to increase domestic consumption in order to make the economy less dependent on
exports in the future. However, China has made only marginal progress toward
these rebalancing goals.
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Source : CIA |
Company name & address
T and L International
Trade CO., LTD.
room 901, lihe building,
no. 279 jiefang south road,
hexi district,
tianjin, 300042 PR CHINA
TEL: 86 (0)
22-23322308 FAX: 86 (0)
22-23301020
EXECUTIVE SUMMARY
INCORPORATION DATE : feb. 27, 2009
REGISTRATION NO. : 120102000039779
REGISTERED LEGAL
FORM : Limited liabilities company
chief executive :
MR. xu xiaopeng (CHAIRMAN)
STAFF STRENGTH : 15
REGISTERED CAPITAL :
CNY 5,000,000
BUSINESS LINE : TRADING
TURNOVER : CNY 90,700,000 (JAN. 1 TO SEP. 30, 2013)
EQUITIES : CNY 6,070,000
(AS OF SEP. 30, 2013)
PAYMENT : AVERAGE
MARKET CONDITION : average
FINANCIAL CONDITION : Fairly stable
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : average
EXCHANGE RATE :
CNY 6.0716 = 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 Renminbi
Note: SC’s operating address should be the heading one, while the given one (1#Road Wangchuanchang, Hedong District, Tianjin 300162 PR) is SC’s registered address.
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 Feb. 27, 2009.
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 commodities and technology;
wholesaling and retailing hardware, furniture, handicrafts, steel, sporting goods,
daily necessities, clothing, chemical products (excluding dangerous goods and
easy to manufacture drugs), household appliances, electronic products, auto
parts, charge, minerals; Services: Business information consulting, goods
information consulting, labor services, machinery and equipment rental. (with
permit if needed)
SC is mainly
engaged in selling furniture.
Mr. Xu Xiaopeng is
legal representative and chairman of SC at present.
SC is known to
have approx. 15 employees at present.
SC
is currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Tianjin. SC’s
employee
refused to release the detailed information of the premise.
http://www.tl-inter.com/
The
design is professional and the content is well organized. At present it is in
English version.
The design is professional and
the content is well organized. At present it is in English version.
Changes
of its registered information:
|
Date of change |
Item |
Before the change |
After the change |
|
2013-7 |
Registered capital |
CNY 1,000,000 |
Present amount |
As of Sep. 30, 2013, SC’s paid-up capital was CNY 5,000,000.
For the past two years there is no record of litigation.
MAIN SHAREHOLDERS:
Name
%
of Shareholding
Xu Xiaopeng 50
Zhang Li 50
Legal representative
and chairman:
Mr. Xu Xiaopeng is currently responsible for the overall management of
SC.
Working
Experience(s):
At present Working in SC as legal representative and chairman.
SC is mainly
engaged in selling furniture.
SC’s products mainly include:
Dining Table
Coffee Table
End Table
TV Stand
Coat Hanger
Computer Desk
Dining Chair
SC sources its materials 97% from domestic market,
and 3% from overseas market. SC sells 10% of its products in domestic market,
and 90% to overseas market.
The buying terms of SC include Check, T/T, L/C 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 refused to release its
main suppliers and clients.
SC
is not known to have any subsidiary at present.
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 declined to
release its banking details.
Balance Sheet
Unit: CNY’000
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As
of Sep. 30, 2013 |
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Cash & bank |
3,180 |
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Inventory |
640 |
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Bills receivable |
2,590 |
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Accounts
receivable |
4,540 |
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Other Accounts
receivable |
60 |
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Advances to
suppliers |
0 |
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To be apportioned
expense |
0 |
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Other current
assets |
10 |
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Current assets |
11,020 |
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Fixed assets net
value |
200 |
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Long-term
investment |
0 |
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Intangible and
other assets |
10 |
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------------------ |
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Total assets |
11,230 |
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============= |
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Short loans |
0 |
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Accounts payable |
-22,830 |
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Advance from
customers |
27,540 |
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Other Accounts
payable |
90 |
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Notes payable |
0 |
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Taxes payable |
360 |
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Withdraw the
expenses in advance |
0 |
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Other current
liabilities |
0 |
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5,160 |
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Long term
liabilities |
0 |
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Other
liabilities |
0 |
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------------------ |
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Total
liabilities |
5,160 |
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Equities |
6,070 |
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------------------ |
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11,230 |
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Income Statement
Unit: CNY’000
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Jan.
1 to Sep. 30, 2013 |
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Turnover |
90,700 |
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Cost of goods sold |
86,880 |
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Taxes and additional of main operation |
15 |
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Sales expense |
2,510 |
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Management expense |
1,090 |
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Finance expense |
16 |
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Non-operating
income |
60 |
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Non-operating expense |
4 |
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Profit before
tax |
270 |
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Less: profit tax |
50 |
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Profits |
220 |
Important Ratios
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As
of Sep. 30, 2013 |
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*Current ratio |
2.14 |
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*Quick ratio |
2.01 |
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*Liabilities
to assets |
0.46 |
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*Net profit
margin (%) |
0.24 |
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*Return on
total assets (%) |
1.96 |
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*Inventory
/Turnover ×365 |
/ |
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*Accounts
receivable/Turnover ×365 |
/ |
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*Turnover/Total
assets |
8.08 |
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* Cost of
goods sold/Turnover |
0.96 |
PROFITABILITY:
AVERAGE
l
The turnover of SC appears average in its line.
l
SC’s net profit margin is average.
l
SC’s return on total assets is average.
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 fairly
good level.
l
SC’s quick ratio is maintained in a fairly good
level.
l
The inventory of SC is maintained in an average
level.
l
The accounts receivable of SC is maintained in an
average level.
l
SC has no short-term loan in the first three
quarters of 2013.
l
SC’s turnover is in a good level, comparing with
the size of its total assets.
LEVERAGE: AVERAGE
l
The debt ratio of SC is low.
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.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
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US Dollar |
1 |
Rs.61.62 |
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UK Pound |
1 |
Rs.100.84 |
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Euro |
1 |
Rs.84.98 |
INFORMATION DETAILS
|
Report
Prepared by : |
MNL |
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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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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.