MIRA INFORM REPORT

 

 

Report Date :

10.10.2013

 

IDENTIFICATION DETAILS

 

Name :

FAHMY FURNITURE LLC

 

 

Registered Office :

Al Hinai Building Al Khuwair Street Al Khuwair PO Box 897, Ruwi 112 Muscat Sultanate of Oman

 

 

Country :

Oman

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

01.04.1975

 

 

Com. Reg. No.:

1/00509/0

 

 

Legal Form :

Limited Liability Company – LLC

 

 

Line of Business :

Wholesale and retail of household and office furniture.

 

 

No. of Employees :

435

 

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 – March 31st, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

Oman

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

OMAN - ECONOMIC OVERVIEW

 

Oman is a middle-income economy that is heavily dependent on dwindling oil resources. Because of declining reserves and a rapidly growing labor force, Muscat has actively pursued a development plan that focuses on diversification, industrialization, and privatization, with the objective of reducing the oil sector's contribution to GDP to 9% by 2020 and creating more jobs to employ the rising numbers of Omanis entering the workforce. Tourism and gas-based industries are key components of the government's diversification strategy. However, increases in social welfare benefits, particularly since the Arab Spring, will challenge the government's ability to effectively balance its budget if oil revenues decline. By using enhanced oil recovery techniques, Oman succeeded in increasing oil production, giving the country more time to diversify, and the increase in global oil prices through 2011 provided the government greater financial resources to invest in non-oil sectors. In 2012, continued surpluses resulting from sustained high oil prices and increased enhanced oil recovery allowed the government to maintain growth in social subsidies and public sector job creation. However, the Sultan made widely reported statements indicating this would not be sustainable, and called for expanded efforts to support SME development and entrepreneurship. Government agencies and large oligarchic group companies heeded his call, announcing new initiatives to spin off non-essential functions to entrepreneurs, incubate new businesses, train and mentor up and coming business people, and provide financing for start-ups. In response to fast growth in household indebtedness, the Central Bank reduced the ceiling on personal interest loans from 8 to 7%, lowered mortgage rates, capped the percentage of consumer loans at 50% of borrower's salaries for personal loans and 60% for housing loans, and limited maximum repayment terms to 10 and 25 years respectively. In 2012 the Central Bank also issued final regulations governing Islamic banking and two full-fledged Islamic banks held oversubscribed IPOs while four traditional banks opened sharia-compliant Islamic windows

Source : CIA


 

SUMMARY

 

Company Name                                    : FAHMY FURNITURE LLC

Country of Origin                                   : Oman

Legal Form                                           : Limited Liability Company – LLC

Registration Date                                  : 1st April 1975

Commercial Registration Number           : 1/00509/0

Chamber Membership Number               : 435

Issued Capital                                       : RO 500,000

Paid up Capital                                     : RO 500,000

Total Workforce                                     : 230

Activities                                               : Wholesale and retail of household and office furniture.

Financial Condition                                : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                                    : Steady

Person Interviewed                                : Pramod Sirdhahar, Finance Manager

 

 

COMPANY NAME

 

FAHMY FURNITURE LLC

 

 

ADDRESS

 

Registered & Physical Address

 

Building            : Al Hinai Building

Street               : Al Khuwair Street

Area                 : Al Khuwair

PO Box            : 897, Ruwi 112

Town                : Muscat

Country             : Sultanate of Oman

 

Telephone         : (968) 24489812 / 24489813

Facsimile          : (968) 24482231

Mobile              : (968) 99447365

Email                : fahmyfur@omantel.net.om / fahmyfur@gto.net.com / info@fahmyfurniture.com

 

Please note that the correct PO Box number is 897 and not 3897.

 

Premises

 

Subject operates from a suite of offices and a showroom with storage facilities covering an area of 10,000 square metres that are owned and located in the Central Business Area of Muscat.

 

Branch Offices

 

Location                                                                                           Description

 

·       Ghala Area                                                                                       Workshop premises

Muscat

Tel: (968) 24591246

 

 

KEY PRINCIPALS

 

     Name                                                                                               Position

 

·       Saeed Bin Saleh Mohamed Omair Al Hinai                                         Managing Director

 

·       Saif Bin Saleh Mohamed Omair Al Hinai                                             Director

 

·       Fahmy Saeed Bin Saleh Mohamed Omair Al Hinai                              Director

 

·       Joseph Samuel Charles                                                                    General Manager

 

·       Pramod Sirdhahar                                                                             Finance Manager

 

·       Anthony Lawrence                                                                            Sales Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 1st April 1975

 

History                         : Subject began in 1975 as a Sole Proprietorship, however is changed legal form and became

                          a Limited Liability Company in 2010.

 

Legal Form                  : Limited Liability Company – LLC

 

Commercial Reg. No.   : 1/00509/0

 

Chamber Member No.  : 435

 

Issued Capital              : RO 500,000

 

Paid up Capital            : RO 500,000

 

Name of Shareholder (s)

 

·       Saeed Bin Saleh Mohamed Omair Al Hinai

 

·       Saif Bin Saleh Mohamed Omair Al Hinai

 

·       Fahmy Saeed Bin Saleh Mohamed Omair Al Hinai

 

 

AFFILIATED COMPANIES

 

·       Poly Products LLC

     Road No. 7

     Rusayl Industrial Estate

     PO Box: 2561, Ruwi 112

     Muscat

     Tel: (968) 24626043 / 24626045 / 24626044 / 24703579

     Fax: (968) 24626046

     Email: polyprod@omantel.net.om

 

·       Al Khoudh Steel Furniture Industrial Co LLC

     Al Khoudh Factory Building

     Al Rusayl Industrial Area No. 2

     PO Box: 92

     Al Rusayl 124

     Tel: (968) 24626202

     Fax: (968) 24626201

 

 

OPERATIONS

 

Activities: Engaged in the wholesale and retail of household furniture, interior decoration materials, carpets and rugs, garden furniture, lamps and light fittings, as well as office furniture such as desks and tables, chairs, office sofas and lockers.

 

Import Countries: Malaysia, Thailand, Netherlands, Belgium, Italy and Germany

 

International Suppliers:

 

·       Merryfair                  Malaysia

·       Rockworth                Thailand

·       PVH Decor               Netherlands

·       Balta Carpets           Belgium

·       Deko                        Italy

·       Inter Stuhl                 Germany

·       Kusch                      Germany

 

Brand Names: RAHA

 

Operating Trend: Steady

 

Subject has a workforce of approximately 230 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Riyal Omani (RO)

 

                                                Year Ending 31/12/11:               Year Ending 31/12/12:

 

Total Sales                                RO 6,500,000                            RO 6,712,465

 

Local sources consider subject’s financial condition to be Fair.

 

The above figures were provided by Mr Pramod Sirdhahar, Finance Manager

 


 

BANKERS

 

·       Bank Muscat Al Ahli Al Omani

Ruwi Branch

PO Box: 3134

Muscat

Tel: (968) 24707015

 

·       The Commercial Bank of Oman SAOG

Rami Plaza

PO Box: 4696

Muscat

Tel: (968) 24793220

Fax: (968) 24793229

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

Fahmy Furniture is very well established in the local market with operations dating back over 25 years. The business specialises in the import and retail of household furniture and interior decoration materials, as well as office furniture.

 

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled. As such the company is considered to be a fair trade risk.

 

 

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.92

UK Pound

1

Rs.99.45

Euro

1

Rs.83.92

 

 

INFORMATION DETAILS

 

Report Prepared by :

NIS

 

 

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.