MIRA INFORM REPORT

 

 

Report Date :

22.08.2014              

 

IDENTIFICATION DETAILS

 

Name :

FAKHRUDDIN IBRAHIM AL HINDI

 

 

Registered Office :

Fakhruddin Building, Baniyas Street, Nasser Square, P O Box 1299, Dubai

 

 

Country :

United Arab Emirates

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

01.01.1963

 

 

Com. Reg. No.:

28053, Sharjah

 

 

Legal Form :

General Partnership

 

 

Line of Business :

Import and Distribution of Bags, Stationery, Perfumes, Cosmetics, Toys and Novelty Items

 

 

No. of Employees :

200

 

 

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 :

Good

 

 

Payment Behaviour :

Regular 

 

 

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 01, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

United Arab Emirates

A2

A2

 

Risk Category

ECGC

Classification

Insignificant

 

A1

Low Risk

 

A2

Moderate Low Risk

 

B1

Moderate Risk

 

B2

Moderate High Risk

 

C1

High Risk

 

C2

Very High Risk

 

D

 

 

UNITED ARAB EMIRATES - ECONOMIC OVERVIEW

 

The UAE has an open economy with a high per capita income and a sizable annual trade surplus. Successful efforts at economic diversification have reduced the portion of GDP based on oil and gas output to 25%. Since the discovery of oil in the UAE more than 30 years ago, the country has undergone a profound transformation from an impoverished region of small desert principalities to a modern state with a high standard of living. The government has increased spending on job creation and infrastructure expansion and is opening up utilities to greater private sector involvement. In April 2004, the UAE signed a Trade and Investment Framework Agreement with Washington and in November 2004 agreed to undertake negotiations toward a Free Trade Agreement with the US; however, those talks have not moved forward. The country's Free Trade Zones - offering 100% foreign ownership and zero taxes - are helping to attract foreign investors. The global financial crisis, tight international credit, and deflated asset prices constricted the economy in 2009. UAE authorities tried to blunt the crisis by increasing spending and boosting liquidity in the banking sector. The crisis hit Dubai hardest, as it was heavily exposed to depressed real estate prices. Dubai lacked sufficient cash to meet its debt obligations, prompting global concern about its solvency. The UAE Central Bank and Abu Dhabi-based banks bought the largest shares. In December 2009 Dubai received an additional $10 billion loan from the emirate of Abu Dhabi. Dependence on oil, a large expatriate workforce, and growing inflation pressures are significant long-term challenges. The UAE's strategic plan for the next few years focuses on diversification and creating more opportunities for nationals through improved education and increased private sector employment.

 

Source : CIA

 

SUMMARY

 

Company Name                                     : FAKHRUDDIN IBRAHIM AL HINDI

Country of Origin                                    : Dubai, United Arab Emirates

Legal Form                                            : General Partnership

Registration Date                                   : 1st January 1963

Commercial Registration Number            : 28053, Sharjah

Trade Licence Number                            : 205754

Chamber Membership Number                : 231

Issued Capital                                        : UAE Dh 100,000

Paid up Capital                                      : UAE Dh 100,000

Total Workforce                                     : 200

Activities                                               : Import and distribution of bags, stationery, perfumes, cosmetics, toys  and novelty items

Financial Condition                                 : Good

Payments                                             : Nothing detrimental uncovered

Operating Trend                                     : Steady

Person Interviewed                                 : Shabir Tinwala , Finance Manager

 

COMPANY NAME

 

FAKHRUDDIN IBRAHIM AL HINDI

 

 

ADDRESS

 

Registered & Physical Address

 

Building             : Fakhruddin Building

Street               : Baniyas Street

Area                 : Nasser Square

 

PO Box             : 1299

 

Town                 : Dubai

Country             : United Arab Emirates

 

Telephone         : (971-4) 2267172 / 2262169 / 2269911 / 2352790 / 2252496 / 2255132 / 3297920

Facsimile          : (971-4) 2267172 / 2255438 / 2352791 / 2262139 / 2256606

Mobile               : (971-50) 6004008 / 971-55 6004024 / 6003988 / 6003969

Email                : hgc@fakhruddine.ae / i.hamza@fakhruddine.ae / s.tinwala@fakhruddine.ae

 

Premises

 

Subject operates from a medium sized suite of offices and a showroom that are rented and located in the Central Business Area of Dubai.

 

Branch Office (s)

 

     Location                                                                                           Description

 

·         Al Gowair Area                                                                                Showroom premises

 PO Box: 28041

 Sharjah

 Tel: (971-6) 5631471

 

 

KEY PRINCIPALS

 

     Name                                                                                              Position

 

·       Mohamed Hussain Fakhruddin                                                           Managing Partner

 

·       Asgar Ali Mulla Fakhruddin                                                                Partner

 

·       Akbar Ali Mulla Fakhruddin                                                                Partner

 

·       Hussain Ali Mulla Fakhruddin                                                             Partner

 

·       Kartik Wasu Daven                                                                            Financial Controller

 

·       Shabir Tinwala                                                                                  Finance Manager

 

·       Mostansir Shabir                                                                               Sales Manager

 

·       Amit Gera                                                                                         Commercial Manager

 

·       Hamza Ibrahim                                                                                  Public Relations Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 1st January 1963

 

Legal Form                  : General Partnership

 

Commercial Reg. No.  : 28053

 

Trade Licence No.       : 205754 (Expires 16/02/2015)

 

Chamber Member No. : 231

 

Issued Capital              : UAE Dh 100,000

 

Paid up Capital            : UAE Dh 100,000

Name of Partner (s)

 

·       Mohamed Hussain Fakhruddin

 

·       Asgar Ali Mulla Fakhruddin

 

·       Akbar Ali Mulla Fakhruddin

 

·       Hussain Ali Mulla Fakhruddin

 

 

AFFILIATED COMPANIES

 

·       Sterling Perfumes Trading LLC

     Dubai

     United Arab Emirates

 

·       Fakhruddin General Trading LLC

Dubai

United Arab Emirates

 

·       Fakhruddin Properties

Dubai

United Arab Emirates

 

·       Fakhruddin Gifts & Novelty

Dubai

     United Arab Emirates

 

 

OPERATIONS

 

Activities: Engaged in the import and distribution of bags, stationery, perfumes, cosmetics, toys and novelty items.

 

Import Countries: Egypt and the United Kingdom

 

International Suppliers:

 

·       Lord International                               Egypt

·       Janway World International                 United Kingdom

 

Operating Trend: Steady

 

Subject has a workforce of approximately 200 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: United Arab Emirates Dirham (UAE Dh)

 

                                                Year Ending 31/12/12:                Year Ending 31/12/13:

 

Total Sales                                UAE Dh 527,500,000                  UAE Dh 550,000,000

 

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

 

The above figures were provided by Mr Shabir Tinwala, Finance Manager

 

 

BANKERS

 

·       HSBC Bank Middle East

Deira Souk Branch

     PO Box: 66

     Dubai

     Tel: (971-4) 2535000

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

Date of transaction                              July 2008

Credit amount                                        150,000

Amount overdue                         0

Payment terms                                      60 days

Payment Method                                   Letters of Credit

Paying record                                        No Complaints

Currency                                               US Dollars

 

 

GENERAL COMMENTS

 

According to local sources subject is making steady progress in the local business market and nothing detrimental has been reported regarding 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.60.67

UK Pound

1

Rs.100.81

Euro

1

Rs.80.73

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

NIT

 

               

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.