MIRA INFORM REPORT
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Report Date : |
18.06.2014 |
IDENTIFICATION DETAILS
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Name : |
BEIJING YINRICH INTERNATIONAL TRADING CO., LTD. |
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Registered Office : |
Room 846, No. 1 Building, Shangbei Xinzuo, No. 35 West Avenue, Huilongguan, Changping District, Beijing, 102208 PR |
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Country : |
China |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
28.01.2008 |
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Com. Reg. No.: |
110102010777339 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Subject is engaged in trading of electrical equipment. products mainly
include: Center-filled Biscuit Machine, Hard candy
machinery, Lollipop machinery, Chocolate machinery, Kitchen equipment, Packaging
machinery, and Forming machinery |
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No. of Employees : |
10 |
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 – March 31, 2014
|
Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
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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 Risk |
A2 |
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Moderately Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderately High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
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, growth of the
private sector, development of stock markets and a modern banking system, 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 considered important to "economic
security," explicitly looking to foster globally competitive industries.
After keeping its currency tightly linked to the US dollar for years, in July
2005 China 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 and
expanded the daily trading band within which the RMB is permitted to fluctuate.
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 2013 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
consumption; (b) facilitating higher-wage job opportunities for the aspiring
middle class, including rural migrants and increasing numbers of college
graduates; (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. Several factors are
converging to slow China's growth, including debt overhang from its
credit-fueled stimulus program, industrial overcapacity, inefficient allocation
of capital by state-owned banks, and the slow recovery of China's trading
partners. The government's 12th Five-Year Plan, adopted in March 2011 and reiterated
at the Communist Party's "Third Plenum" meeting in November 2013,
emphasizes continued economic reforms and the need to increase domestic
consumption in order to make the economy less dependent in the future on fixed
investments, exports, and heavy industry. However, China has made only marginal
progress toward these rebalancing goals. The new government of President XI
Jinping has signaled a greater willingness to undertake reforms that focus on
China's long-term economic health, including giving the market a more decisive
role in allocating resources.
|
Source
: CIA |
Company
name and address
BEIJING YINRICH INTERNATIONAL TRADING Co., Ltd.
room 846, no. 1 building, shangbei xinzuo, no.
35 west avenue, huilongguan, changping district, beijing, 102208 PR CHINA
TEL: 86 (0) 10-64018055
FAX: 86 (0) 10-58823057
EXECUTIVE
SUMMARY
INCORPORATION DATE : JAN. 28, 2008
REGISTRATION NO. : 110102010777339
REGISTERED LEGAL FORM : LIMITED LIABILITIES COMPANY
CHIEF EXECUTIVE :
MR. XU KUI (CHAIRMAN)
STAFF STRENGTH :
10
REGISTERED CAPITAL : CNY 500,000
BUSINESS LINE :
TRADING
TURNOVER :
CNY 6,380,000 (AS OF DEC. 31, 2013)
EQUITIES :
CNY 1,040,000 (AS OF DEC. 31, 2013)
PAYMENT :
AVERAGE
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : STABLE
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.21 = 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: The was SC’s former one while its present should be the heading
one.
SC was registered as a limited liabilities company at local
Administration for Industry & Commerce (AIC - The official body of issuing
and renewing business license) on Jan. 28, 2008.
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 import and export of goods and
technology; freight forwarders; selling electrical and mechanical equipment and
accessories; maintenance of electrical and mechanical equipment; technology
development, technology transfer, technical consulting, technology services.
(with permit if needed)
SC is mainly engaged in trading of electrical equipment.
Mr. Xu Kui has been the legal representative, chairman and general
manager of SC since 2008.
SC is known to have approx. 10 employees at present.
SC is currently operating at the above stated address, and this address houses
its operating office in the commercial zone of Beijing. Detailed information of
the premise is unspecified.
http://www.yinrich.com/
This is the website of Beijing Yinrich Co., Ltd. and also including the
information of SC. The design is professional and the content is well
organized. At present it is in both Chinese and English versions.
Changes
of its registered information are as follows:
|
Date of change |
Item |
Before the change |
After the change |
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Shareholders & shareholdings |
Xu Kui 85% Lu Junhong 10% Qi Fei 5% |
Present ones |
Subject passed the annual inspection of 2012 with Administration for
Industry & Commerce.
Tax Registration Certificate No.: 110102672397098
Organization Code: 672397098
For the past two years there is no record of litigation.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Xu Kui 90
Lu Junhong 10
Legal Representative, Chairman and General Manager:
Mr. Xu Kui is currently responsible for the overall and daily management
of SC.
Working
Experience(s):
From 2008 to present
Working in SC as legal representative, chairman and general manager.
Also working in Beijing Yinrich Technology Developing Co., Ltd. as legal
representative, and in Shanghai Yinrich Machinery Manufacturing Co., Ltd. as
supervisor, etc.
Supervisors:
Lu Junhong
Qi Fei
SC is mainly engaged in trading of electrical equipment.
SC’s products mainly include: Center-filled Biscuit Machine,
Hard candy machinery, Lollipop machinery, Chocolate machinery, Kitchen equipment,
Packaging machinery, and Forming machinery
SC sources its materials 100% from domestic market. SC sells 100% of its
products to overseas market.
The buying terms of SC include Check, T/T 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 declined to release its major clients and suppliers.
According to http://www.yinrich.com/,
Beijing Yinrich Co., Ltd.
======================
Registration No.: 110102000324239
Incorporation Date:
Chairman: Qi Jinghua
Shanghai Yinrich Machinery Manufacturing Co., Ltd.
======================
Registration No.: 310120001714179
Incorporation Date:
Chairman: Huang Weiping
Shanghai Qiling Machinery Manufacturing Co., Ltd. (literal translation)
======================
Registration No.: 310226001013380
Incorporation Date:
Chairman: Xu Xinglong
Beijing Yinrich Technology Developing Co., Ltd.
======================
Registration No.: 017224
Incorporation Date:
Chairman: Xu Kui
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 bank details.
Balance
Sheet
Unit: CNY’000
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as of Dec. 31,
2012 |
as of Dec. 31,
2013 |
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Cash & bank |
1,310 |
1,110 |
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Inventory |
0 |
0 |
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Accounts receivable |
170 |
70 |
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Advances to suppliers |
50 |
60 |
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Other receivables |
230 |
370 |
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Dividends receivable |
0 |
0 |
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Other current assets |
20 |
10 |
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------------------ |
------------------ |
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Current assets |
1,780 |
1,620 |
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Fixed assets net value |
840 |
760 |
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Projects under construction |
0 |
0 |
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Long term investment |
0 |
0 |
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Intangible assets |
0 |
0 |
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Other assets |
0 |
10 |
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------------------ |
------------------ |
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Total assets |
2,620 |
2,390 |
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============= |
============= |
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Short loans |
400 |
400 |
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Accounts payable |
70 |
70 |
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Other accounts payable |
0 |
0 |
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Notes payable |
0 |
0 |
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Taxes payable |
0 |
120 |
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Advances from clients |
940 |
760 |
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Accrued payroll |
0 |
0 |
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Dividends payable |
0 |
0 |
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Other payable |
0 |
0 |
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Other current liabilities |
20 |
0 |
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Current liabilities |
1,430 |
1,350 |
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Long term liabilities |
0 |
0 |
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------------------ |
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Total liabilities |
1,430 |
1,350 |
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Equities |
1,190 |
1,040 |
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------------------ |
------------------ |
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Total liabilities & equities |
2,620 |
2,390 |
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============= |
============= |
Income
Statement
Unit: CNY’000
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as of Dec. 31,
2013 |
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Turnover |
6,380 |
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Cost of goods sold |
4,420 |
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Sales expense |
920 |
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Management expense |
450 |
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Finance expense |
20 |
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Non-operating income |
30 |
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Non-operating expense |
0 |
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Profit before tax |
600 |
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Less: profit tax |
150 |
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Profits |
450 |
Important
Ratios
|
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as of Dec. 31,
2012 |
as of Dec. 31,
2013 |
|
*Current ratio |
1.24 |
1.20 |
|
*Quick ratio |
1.24 |
1.20 |
|
*Liabilities to assets |
0.55 |
0.56 |
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*Net profit margin (%) |
/ |
7.05 |
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*Return on total assets (%) |
/ |
18.83 |
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*Inventory /Turnover ×365 |
/ |
/ |
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*Accounts receivable/Turnover ×365 |
/ |
4 days |
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*Turnover/Total assets |
/ |
2.67 |
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* Cost of goods sold/Turnover |
/ |
0.69 |
PROFITABILITY:
AVERAGE
·
The turnover of SC appears average in its line in
2013.
·
SC’s net profit margin is fairly good in 2013.
·
SC’s return on total assets is good in 2013.
·
SC’s cost of goods sold is average in 2013,
comparing with its turnover.
LIQUIDITY: AVERAGE
·
The current ratio of SC is normal.
·
SC’s quick ratio is maintained in a normal level.
·
SC has no inventory in both years.
·
The accounts receivable of SC appears small in both
years.
·
SC’s short-term loan appears average in both years.
·
SC’s turnover is average in 2013, comparing with
the size of its total assets.
LEVERAGE: AVERAGE
·
The debt ratio of SC is average.
·
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Stable.
SC is considered small-sized in its line with stable financial
conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.37 |
|
|
1 |
Rs.102.48 |
|
Euro |
1 |
Rs.81.87 |
INFORMATION DETAILS
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Analysis Done by
: |
KAR |
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Report Prepared
by : |
NNA |
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 |
|
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.