MIRA INFORM REPORT

 

 

Report Date :

21.02.2013

 

IDENTIFICATION DETAILS

 

Name :

LOYAL  RAINBOW  (HONG  KONG)  LTD.

 

 

Registered Office :

B1306, Block B, Sea View Estate, 2-8 Watson Road, North Point 

 

 

Country :

Hong Kong.

 

 

Date of Incorporation :

02.10.2002.

 

 

Com. Reg. No.:

33247704

 

 

Legal Form :

Private Limited Company.

 

 

Line of Business :

Importer, Wholesaler and Re-exporter of Interior decorative materials such as curtains, furnishing fabrics/products, venetian blinds, etc.

 

 

No. of Employees :

10

 

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

(31.03.2011)

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 and address

 

LOYAL  RAINBOW  (HONG  KONG)  LTD.

 

 

Address:           B1306, Block B, Sea View Estate,

                        2-8 Watson Road, North Point,

                        Hong Kong.

 

PHONE:            2566 0001

 

FAX:                 2566 6619

 

E-MAIL:                        info@loyalrainbow.com.hk

 

 

MANAGEMENT

 

Managing Director:  Mr. Lau Wing Shing

 

 

SUMMARY

 

Incorporated on:             2nd October, 2002.

 

Organization:                 Private Limited Company.

 

Capital:                         Nominal:           HK$10,000.00

Issued:              HK$2.00

 

Business Category:        Importer, Wholesaler and Re-exporter.

 

Annual Turnover:            HK$20~25 million.

 

Employees:                   10.

 

Main Dealing Banker:     DBS Bank (Hong Kong) Ltd., Hong Kong.

 

Banking Relation:           Satisfactory.


ADDRESS

 

Registered Head Office:-

B1306, Block B, Sea View Estate, 2-8 Watson Road, North Point, Hong Kong.

 

Associated Companies:-

Sheryia Curtain Co. Ltd., Hong Kong.

Royal Rainbow Fabric Industry & Handicraft

Room 3B-E08, Chengyan Fabric Handicraft City, 7 Si Ma Lu, Dashatou, Guangzhou, Guangdong Province, China.

[Tel:      86-20-8379 3701   Fax:   86-20-8379 3706

E-mail:  gzloyalrainbow@yahoo.com.cn]

 

Affiliated Company:-

Rifely Design Ltd., Hong Kong.

 

 

BUSINESS REGISTRATION NUMBER 

 

33247704

 

 

COMPANY FILE NUMBER

 

0816283

 

 

MANAGEMENT

 

Managing Director:  Mr. Lau Wing Shing

 

 

CAPITAL

 

Nominal Share Capital: HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)

 

Issued Share Capital: HK$2.00

 

 

SHAREHOLDERS

(As per registry dated 02-10-2012)

 

Name

 

No. of shares

LAU Wing Shing

 

1

HO Siu Kour

 

1

 

 

––

 

Total:

2

=

 

 

DIRECTORS

(As per registry dated 02-10-2012)

 

Name

(Nationality)

 

Address

LAU Wing Shing

B1306, Block B, Sea View Estate, 2-8 Watson Road, North Point, Hong Kong.

 

HO Siu Kour

B1306, Block B, Sea View Estate, 2-8 Watson Road, North Point, Hong Kong.

 

 

SECRETARY

(As per registry dated 02-10-2012)

 

Name

Address

Co. No.

Concord Secretarial Services Ltd.

Room 902, 9/F., On Hong Commercial Building, 145 Hennessy Road, Wanchai, Hong Kong.

0340111

 

HISTORY

 

The subject was incorporated on 2nd October, 2002 as a private limited liability company under the Hong Kong Companies Ordinance.

The subject has changed its registered address twice.  It moved to the present address in November 2003.

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

 

 

OPERATIONS

 

Activities:                      Importer, Wholesaler and Re-exporter.

 

Lines:                           Interior decorative materials such as curtains, furnishing fabrics/products, venetian blinds, etc.

 

Employees:                   10.

 

Commodities Imported:   Imported from Europe, US, India, etc.

 

Markets:                       Hong Kong, China, Macau, Taiwan, etc.

 

Annual Turnover:            HK$20~25 million.

 

Terms/Sales:                 COD or as per contracted.

 

Terms/Buying:               L/C, T/T, etc.

 

 

FINANCIAL INFORMATION

 

Nominal Share Capital:   HK$10,000.00 (Divided into 10,000 shares of HK$1.00 each)

 

Issued Share Capital:     HK$2.00

 

Profit & Loss:                Made small profits in the past years.

 

Condition:                      Business is rather active.

 

Facilities:                      Adequate for current running.

 

Payment:                      Met trade commitments as required.

 

Commercial Morality:      Satisfactory.

 

Banker:                         DBS Bank (Hong Kong) Ltd., Hong Kong.

 

Standing:                       Normal.

 

 

GENERAL

 

Incorporated in October 2002, Loyal Rainbow (Hong Kong) Ltd. is a private limited company equally owned by Mr. Lau Wing Shing and Mr. Henry Ho Siu Kour, both of whom are Hong Kong merchants.  The subject just has issued 2 ordinary shares of HK$1.00 each while each of the shareholders holds a single share.  Lau and Ho are also directors of the subject.

The subject is trading in interior decorative materials such as curtains, furnishing fabrics, etc.  Raw materials and commodities are imported from Europe, the United States, India, etc.  Most of the commodities are wholesaled or retailed in Hong Kong and re-exported to Macau and China.

Before setting up the subject, Mr. Henry Ho Siu Kour was the shareholder of Bedford Interiors Ltd. [Bedford] which was a Hong Kong-registered firm incorporated on 28th July, 1989.  However, this firm was dissolved on 13th January, 2006.

 

Bedford had operated the following two firms:-

Sheryia Curtain Company
[Established on 1st April, 1996 under BR No. 13341893-001-07]

Bedford Interiors
[Established on 1st April, 1996 under BR No. 13341893-002-07]

Originally Sheryia Curtain Company was established on 20th March, 1976 as a sole proprietorship owned by Mr. Henry Ho while Bedford Interiors was established in 1985 as a sole proprietorship owned by Ms. Yam Shuet Mui.  Yam is the spouse of Henry Ho.  Both companies were shifted under the control of Bedford Interiors Ltd. in April 1996.  Since Bedford has been dissolved, Sheryia Curtain Company and Bedford Interiors also ceased business simultaneously.

However, the subject has had an associated company Sheryia Curtain Co. Ltd. [SCCL] which was incorporated on 6th June, 2001.  This firm is operating a retail shop located at “Shop 2, G/F., 1 Lyndhurst Terrace Central, Hong Kong”.  SCCL is engaged in retailing curtain fabrics, household textiles, etc.  The contact person is also Henry Ho Siu Kour.

Henry Ho is an experienced businessman in the line.  He was an ex‑employee of Alice Curtain Company which is located at 242 Queen’s Road East, Hong Kong where he had worked for quite a number of years.  Subsequently, he expanded his business by setting up Rifely Design Ltd., in August 1989, which is engaged in interior designing and decoration.

The subject also imports curtains and furnishing fabrics for the other firms.  Business is active.

Most of the subject’s customers are in Hong Kong, Taiwan, China and Southeast Asia.  The subject chiefly sells its products to 5-star hotels, clubs, restaurants and luxury villas.

According to the subject, it has had a large warehouse in China which is able to provide customers with over 10,000 types of fabrics for furnishing and decoration.

The subject participates the exhibition “Hometextile China” which is held in Guangzhou, Guangdong Province, China annually.

The subject wants to further penetrate the China market which is considered to be much greater than that of Hong Kong.  It will keep on taking part in the exhibitions and fairs held in Hong Kong and China.

Now, the subject has set up a branch company in Guangzhou known as Royal Rainbow Fabric Industry & Handicraft which is engaged in marketing the subject’s fabrics in China.  This firm has about 10 employees while most of them are sales representatives.  With a registered capital of RMB1 million Yuan, the Guangzhou firm is administered by a Mr. Wu who is a Chinese.  Wu can be reached at his mobile phone number 020-8379 3701.

The subject’s annual sales turnover ranges from HK$20 to 25 million.  Business is profitable.

As the history of the subject in Hong Kong is over ten years, on the whole, consider it good for normal business engagements.

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.05

UK Pound

1

Rs.83.45

Euro

1

Rs.72.53

 

 

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.