MIRA INFORM REPORT

 

 

Report Date :

01.07.2013

 

IDENTIFICATION DETAILS

 

Name :

JAYDEEP COTTON FIBRES PRIVATE LIMITED

 

 

Registered Office :

C-805, The Imperial Heights, Opposite Big Bazar, 150 Feet Ring Road, Rajkot – 360005, Gujarat

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

01.09.1997

 

 

Com. Reg. No.:

04-032921

 

 

Capital Investment / Paid-up Capital :

Rs. 245.000 Millions

 

 

CIN No.:

[Company Identification No.]

U17119GJ1997PTC032921

 

 

PAN No.:

[Permanent Account No.]

AAACJ5374P

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturer of Cotton.

 

 

No. of Employees :

Not Available

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (50)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Maximum Credit Limit :

USD 1700000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having satisfactory track record.

 

Even though there appears a significant increase in the sales turnover, the net profitability has seen a drastic dip during 2012. Liquidity position seems to be strong and healthy.

 

Trade relations are fair. Business is active. Payment terms are reported to be usually correct.

 

The company can be considered normal for business dealings at usual trade terms and conditions.

 

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, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

India

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

RBI DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

 

 

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2012.

 

 

LOCATIONS

 

Registered Office :

C-805, The Imperial Heights, Opposite Big Bazar, 150 Feet Ring Road, Rajkot – 360005, Gujarat, India

Tel. No.:

91-281-2580025

Fax No.:

91-281-2580090

E-Mail :

hjamnadas1.roc@gmail.com

info@jaydeepcotton.com

jaydeep_cotton@hotmail.com

hjamnadas1@gmail.com

Website :

http://www.jaydeepcotton.com

 

 

Factory :

8-B, National Highway, Near 66, K V Sub Station, Shpar, Gujarat, India 

Tel. No.:

91-2827-252177

Fax No.:

91-2827-253490

 

 

DIRECTORS

 

As on: 25.09.2012

 

Name :

Mr. Arvindkumar Parsotambhai Patel

Designation :

Director

Address :

801, Megh Malhar Apartment, Shree Colony, Opposite Mahatma Gandhi School, City – Rajkot - 360001, Gujarat, India

Date of Birth/Age :

26.09.1966

Qualification :

HSC

Date of Appointment :

01.09.1997

PAN No.:

AGWPP3458M

DIN No.:

00554370

 

 

Name :

Mr. Alpeshbhai Vallabhbhai Patel

Designation :

Director

Address :

Flat No.702, Piramid Tower, Bansi Park, Amin Road, Rajkot – 360001, Gujarat, India

Date of Birth/Age :

05.06.1976

Qualification :

HSC

Date of Appointment :

01.09.2007

PAN No.:

AFGPP9978M

DIN No.:

01356260

 

 

Name :

Mr. Vallabhbhai Valjibhai Pan

Designation :

Director

Address :

Flat No.703, Piramid Tower, Bansi Park, Amin Road, Rajkot – 360001, Gujarat, India

Date of Appointment :

17.10.1997

PAN No.:

ACXPP9371N

DIN No.:

00554649

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on: 25.09.2012

 

Names of Shareholders

 

 

No. of Shares

(Equity)

 

 

 

Mansukh Parsottambhai Patel (As Karta of Mansukh P. Patel HUF) 

 

2081620

Arvind Parsottambhai Patel (As Karta of Arvind P. Patel HUF) 

 

1550800

Parsottambhai Valjibhai Patel

 

4200000

Sanjay Vallabhbhai Patel

 

1800000

Alpeshbhai Vallabhbhai Patel

 

2600000

Vallabhbhai Valjibhai Pan

 

1600000

Mansukhbhai Parsottambhai Patel

 

2318380

Arvindkumar Parsotambhai Patel

 

3049200

Shobhanaben Mansukhbhai Patel

 

800000

 

 

 

Total

 

 

20000000

 

 

Names of Shareholders

 

 

No. of Shares

(Preference)

 

 

 

Mansukh Parsottambhai Patel (As Karta of Mansukh P. Patel HUF) 

 

1000000

Arvind Parsottambhai Patel (As Karta of Arvind P. Patel HUF) 

 

800000

Sanjay Vallabhbhai Patel

 

350000

Alpeshbhai Vallabhbhai Patel

 

400000

Vallabhbhai Valjibhai Pan

 

600000

Ilaben Arvindkumar Patel

 

750000

Chirag Mansukhbhai Patel

 

600000

 

 

 

Total

 

 

4500000

 

 

Equity Share Break up (Percentage of Total Equity)

 

As on: 25.09.2012

 

Category

 

Percentage

 

 

 

Directors or relatives of directors

 

100.00

 

 

 

Total

 

100.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Cotton.

 

 

Products :

Products Description

 

Item Code no.

Cotton, Not Carded or Combed

5201

 

 

GENERAL INFORMATION

 

No. of Employees :

Not Available

 

 

Bankers :

·         State Bank of India, Commercial Branch, "Noble House", Near Jalaram Petrol Pump, Kalawad Road, Rajkot – 360001, Gujarat, India 

·         The Lakshmi Vilas Bank Limited, 1st Floor, Ronak Complex, Gondal Road, Rajkot – 360002, Gujarat, India

 

 

Facilities :

(Rs. In Millions)

Secured Loan

As on

31.03.2012

As on

31.03.2011

Long term borrowing

 

 

Working capital loans from banks

1.568

0.277

 

 

 

Short term borrowing

 

 

Loans repayable on demand from banks

498.559

1119.493

 

 

 

Total

500.127

1119.770

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

H. Jamnadas and Company

Chartered Accountants

Address :

217-219, Heera Panna Complex, Dr. Yagik Road- Rajkot, Gujarat, India

PAN No.:

AABFH2320P

 

 

CAPITAL STRUCTURE

 

As on: 25.09.2012

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

20000000

Equity Shares

Rs.10/- each

Rs.200.000 Millions

4500000

Preference Shares

Rs.10/- each

Rs. 45.000 Millions

 

 

 

 

 

Total

 

Rs.245.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

20000000

Equity Shares

Rs.10/- each

Rs.200.000 Millions

4500000

Preference Shares

Rs.10/- each

Rs.45.000 Millions

 

 

 

 

 

Total

 

Rs.245.000 Millions

 

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

31.03.2012

31.03.2011

I. EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

 

245.000

200.000

(b) Reserves & Surplus

 

191.107

132.908

(c) Money received against share warrants

 

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

 

0.000

0.000

Total Shareholders’ Funds (1) + (2)

 

436.107

332.908

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

 

16.981

76.686

(b) Deferred tax liabilities (Net)

 

0.406

0.743

(c) Other long term liabilities

 

0.000

0.000

(d) long-term provisions

 

0.000

0.000

Total Non-current Liabilities (3)

 

17.387

77.429

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

 

498.559

1119.493

(b) Trade payables

 

162.260

236.282

(c) Other current liabilities

 

76.729

60.551

(d) Short-term provisions

 

58.082

133.067

Total Current Liabilities (4)

 

795.630

1549.393

 

 

 

 

TOTAL

 

1249.124

1959.730

 

 

 

 

II. ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

 

37.004

36.304

(ii) Intangible Assets

 

0.000

0.000

(iii) Capital work-in-progress

 

5.870

4.210

(iv) Intangible assets under development

 

0.000

0.000

(b) Non-current Investments

 

1.000

1.000

(c) Deferred tax assets (net)

 

0.000

0.000

(d)  Long-term Loan and Advances

 

3.744

0.180

(e) Other Non-current assets

 

5.505

3.947

Total Non-Current Assets

 

53.123

45.641

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

 

0.000

0.000

(b) Inventories

 

586.940

1102.888

(c) Trade receivables

 

476.087

639.169

(d) Cash and cash equivalents

 

49.818

63.981

(e) Short-term loans and advances

 

0.000

0.000

(f) Other current assets

 

83.156

108.051

Total Current Assets

 

1196.001

1914.089

 

 

 

 

TOTAL

 

1249.124

1959.730

 

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

 

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

 

90.000

2] Share Application Money

 

 

0.000

3] Reserves & Surplus

 

 

36.251

4] (Accumulated Losses)

 

 

0.000

NETWORTH

 

 

126.251

LOAN FUNDS

 

 

 

1] Secured Loans

 

 

508.276

2] Unsecured Loans

 

 

75.554

TOTAL BORROWING

 

 

583.830

DEFERRED TAX LIABILITIES

 

 

0.731

 

 

 

 

TOTAL

 

 

710.812

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

 

33.637

Capital work-in-progress

 

 

0.000

 

 

 

 

INVESTMENT

 

 

0.000

DEFERREX TAX ASSETS

 

 

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

 

 

462.303

 

Sundry Debtors

 

 

298.688

 

Cash & Bank Balances

 

 

15.537

 

Other Current Assets

 

 

12.062

 

Loans & Advances

 

 

16.216

Total Current Assets

 

 

804.806

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

 

 

106.313

 

Other Current Liabilities

 

 

4.791

 

Provisions

 

 

17.144

Total Current Liabilities

 

 

128.248

Net Current Assets

 

 

676.558

 

 

 

 

MISCELLANEOUS EXPENSES

 

 

0.615

 

 

 

 

TOTAL

 

 

710.810

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2012

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Income

 

 

 

Other Income

 

 

 

 

 

TOTAL                                     (A)

9046.036

7011.614

3747.924

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Office Expenses

 

 

 

Administrative Expenses

 

 

 

 

 

Advertising Expenses

 

 

 

 

 

TOTAL                                     (B)

8821.117

6691.304

3645.767

 

 

 

 

 

Less

PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)     (C)

224.919

320.310

102.157

 

 

 

 

 

Less

INTEREST

129.791

58.788

49.662

 

 

 

 

 

 

PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                       (E)

95.128

261.522

52.495

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

5.802

4.547

4.470

 

 

 

 

 

 

PROFIT BEFORE TAX (E-F)                              (G)

89.326

256.975

48.025

 

 

 

 

 

Less

TAX                                                                  (H)

31.127

90.317

16.989

 

 

 

 

 

 

PROFIT AFTER TAX (G-H)                                (I)

58.199

166.658

31.036

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Export Earnings

7449.891

5561.621

2642.372

 

TOTAL EARNINGS

7449.891

5561.621

2642.372

 

 

 

 

 

 

Earnings Per Share (Rs.)

2.91

8.33

NA

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

PAT / Total Income

(%)

0.64

2.38

0.82

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

7.20

13.15

5.72

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.20

0.77

0.39

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

1.18

3.59

4.62

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.50

1.23

6.28

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Sr. No.

Check List by Info Agents

Available in Report (Yes / No)

1]

Year of Establishment

Yes

2]

Locality of the firm

Yes

3]

Constitutions of the firm

Yes

4]

Premises details

No

5]

Type of Business

Yes

6]

Line of Business

Yes

7]

Promoter's background

Yes

8]

No. of employees

No

9]

Name of person contacted

No

10]

Designation of contact person

No

11]

Turnover of firm for last three years

Yes

12]

Profitability for last three years

Yes

13]

Reasons for variation <> 20%

--

14]

Estimation for coming financial year

No

15]

Capital in the business

Yes

16]

Details of sister concerns

No

17]

Major suppliers

No

18]

Major customers

No

19]

Payments terms

No

20]

Export / Import details (if applicable)

No

21]

Market information

--

22]

Litigations that the firm / promoter involved in

--

23]

Banking Details

Yes

24]

Banking facility details

Yes

25]

Conduct of the banking account

--

26]

Buyer visit details

--

27]

Financials, if provided

Yes

28]

Incorporation details, if applicable

Yes

29]

Last accounts filed at ROC

Yes

30]

Major Shareholders, if available

Yes

31]

Date of Birth of Proprietor/Partner/Director, if available

Yes

32]

PAN of Proprietor/Partner/Director, if available

Yes

33]

Voter ID No of Proprietor/Partner/Director, if available

No

34]

External Agency Rating, if available

No

 

 

UNSECURED LOAN

(Rs. In Millions)

Particulars

As on

31.03.2012

As on

31.03.2011

Deposits from directors

0.820

5.735

Deposits from shareholders

9.964

11.399

Deposits from others

0.000

50.015

Other loans and advance

4.629

9.260

 

 

 

Total

15.413

76.409

 

 

Note:

The Registered Office of the company has been shifted from 306/308, Ajanta Complex, Gondal Road, Rajkot – 360002, Gujarat, India to the present address w.e.f. 01.08.2012.

 

 

Bankers Charges Report as per Registry

 

Corporate identity number (CIN) or foreign company registration number of the company

U17119GJ1997PTC032921

Name of the company

JAYDEEP COTTON FIBRES PRIVATE LIMITED

Address of the registered office or of the principal place of  business in India of the company

306/308, Ajanta Complex, Gondal Road, Rajkot – 360002, Gujarat, India

Email-id - hjamnadas1.roc@gmail.com

This form is for

Modification of charge

Charge identification (ID) number of the charge to be modified

10140963

Type of charge

Immovable property

Particular of charge holder

State Bank of India, Commercial Branch, "Noble House", Near Jalaram Petrol Pump, Kalawad Road, Rajkot – 360001, Gujarat, India

Email-id - sbi.04085@sbi.co.in

Nature of instrument creating charge

Instrument Modifying Charge:

Memorandum relating to deposit of Title Deeds for creation of further charge for term loan overall limit where the initial charge is created by way of mortgage by deposit of Title Deeds.

Date of instrument Creating the charge

03.03.2012

Amount secured by the charge

Rs. 1686.600 Millions

Brief of the principal terms an conditions and extent and operation of the charge

Rate of Interest

Cash Credit: 3.25% above BR present effective rate 13.25% p.a.

EPC/ FBP/ FBD: 1.50% above BR (as per SBI Exporters' Gold Card Scheme).

PCFC/ EBR: As per Bank's extant instruction.

 

Terms of Repayment

On demand

 

Margin

Raw-Material/ SIP/ FG                   : 25%

Domestic Receivables (90 days)   : 50%

Export Receivables (90 days)        : 10%

Letter of Credit                               : 25%

Bank Guarantee                             : 25%

EPC/ PCFC (Stock)                        : 10%

EPC/ PCFC (Contract) (FOB)          : 10%

                                     (CIF)         : 15%

 

Extent and Operation of the charge

The charge over mortgaged properties as extends to secure the repayment of entire revised credit facilities of Rs.1686.600 Millions together with Interests, Costs, Charges and Expenses thereon.

Short particulars of the property or asset(s) charged (including complete address and location of the property)

i) Shapar Revenue Survey No. 236, Plot No. 1 to 8 (Revenue Survey No. 236/p) and Part 1 and 2 (Revenue Survey No. 236 Paiki) Total Land admeasuring 14000.00 sq. Mtrs. Shapar (Veraval).

 

ii) R.S. No. 239/1p., Pl. No. 4 to13 and 22 to 24 adm.15710.2 Sq. yards -13135.46 Sq. Mtrs, Ind. Premises on land adm. 15710.2 Sq.yard= 13135.46 Sq. Mtrs., Shapar (Veraval), Tal. Kotda sangani Dist. Rajkot.

Date of instrument modifying the charge

23.12.2010

Particulars of the present modification

By virtue of this Modification, the charge over Company's property is extended to secure the repayment of the enhanced/ revised the credit facilities aggregating to Rs.1686.600 Millions.

 

 

OPERATION AND PROSPECTS

 

During current year of operations, the company has achieved Revenue from Operation and Other Income of Rs. 9046.036 millions as against Rs.7011.614 millions during the previous year. The Company has earned profit of Rs. 224.919 millions before depreciation and Interest. The Company has earned Profit of Rs. 58.199 millions after providing for depreciation and interest.

 

This Phenomenal progress is the result of the Directors’ vision, perseverance and consistent efforts. The Company is resolute to keep this growth story unrelenting in the coming years. The prospects of the Company’s business are bright and positive.

 

WEBSITE

 

PROFILE

 

An ISO 9001:2000 (by TUV Rheinland Group) certified Company, acclaimed for manufacturing best cotton in domestic as well as overseas arena is Subject They are having World's best manufacturing infrastructure which has completely automatised latest technology based plant in Cotton Industry to produce contamination free cotton. They have grown extra-ordinarily well in Cotton business over a period of 10 years. They believe in adding value to cotton by maintaining highest standards of quality. Their strong presence in the global supply chain in Cotton with a focus on Asia Pacific is an important feature in the cap of their achievements.

Apart from Cotton Industry, theirs is the fastest growing business Group having significant performance in various industries such as Cement, Steel Infrastructural Projects, Construction, Decorative Laminates, Agricultural Equipment. Their strength gives them courage to meet specific business challenges in the global business directly.

In the Cotton Business, Subject has created very clear and visible image of continually expanding its manufacturing and marketing capacities. They have expanded their capacities to the extent of 500% and have increased turnover to the extent of 3200% over a period of last one decade.

Their corporate headquarters is strategically located in the Western India, which enables them to effectively and efficiently serve their customers in Asia and beyond. They have rich experience and expertise in the field of cotton business of a quarter century, which give them an edge over their competitors to outperform them. Hence, partnering with Subject will give superb blend of quality and service along with world of mutual benefits.

 

FIXED ASSETS:

 

·         Land

·         Building

·         Plant and Machinery

·         Furniture and Fixture

·         Vehicles


CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

1]         INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

 

2]         Court Declaration :

No exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

 

3]         Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

 

4]         Record on Financial Crime :

            Charges or conviction registered against subject:                                                           None

 

5]         Records on Violation of Anti-Corruption Laws :

            Charges or investigation registered against subject:                                                        None

 

6]         Records on Int’l Anti-Money Laundering Laws/Standards :

            Charges or investigation registered against subject:                                                        None

 

7]         Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

 

8]         Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

 

9]         Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

 

10]        Press Report :

            No press reports / filings exists on the subject.

 


 

CORPORATE GOVERNANCE

 

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

 

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

 

 

CONTRAVENTION

 

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs. 59.70

UK Pound

1

Rs. 91.14

Euro

1

Rs. 77.98

 

 

INFORMATION DETAILS

 

Report Prepared by :

DPH

 


 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

6

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--PROFITABILIRY

1~10

5

--LIQUIDITY

1~10

6

--LEVERAGE

1~10

6

--RESERVES

1~10

5

--CREDIT LINES

1~10

5

--MARGINS

-5~5

-

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

NO

--AFFILIATION

YES/NO

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

 

 

 

TOTAL

 

50

 

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%)

 


 

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

-

 

 

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.