MIRA INFORM REPORT

Report Date :

24.11.2014

IDENTIFICATION DETAILS

Name :	HERIZ GALLERY CC

Registered Office :	Unit 1C Cnr On The Straight Shopping Centre The Straight Street Fourways Gauteng P O Box 785304 Sandton 2146

Country :	South Africa

Date of Incorporation :	28.10.1999

Legal Form :	Private Company

Line of Business :	Importing and selling of carpets and carpet cleaning as well as the restoration of carpets

No. of Employees :	10-12

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Status :	Moderate
Payment Behaviour :	Slow but correct
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 1, 2014

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

South Africa

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

SOUTH AFRICA - ECONOMIC OVERVIEW

South Africa is a middle-income, emerging market with an abundant supply of natural resources; well-developed financial, legal, communications, energy, and transport sectors and a stock exchange that is the 16th largest in the world. Even though the country's modern infrastructure supports a relatively efficient distribution of goods to major urban centers throughout the region, unstable electricity supplies retard growth. The global financial crisis reduced commodity prices and world demand. GDP fell nearly 2% in 2009 but has recovered since then, albeit slowly with 2014 growth projected at about 2%. Unemployment, poverty, and inequality - among the highest in the world - remain a challenge. Official unemployment is at nearly 25% of the work force, and runs significantly higher among black youth. Eskom, the state-run power company, has built two new power stations and installed new power demand management programs to improve power grid reliability. Construction delays at two additional plants, however, mean South Africa is operating on a razor thin margin; economists judge that growth cannot exceed 3% until those plants come on line. South Africa's economic policy has focused on controlling inflation, however, the country has had significant budget deficits that restrict its ability to deal with pressing economic problems. The current government faces growing pressure from special interest groups to use state-owned enterprises to deliver basic services to low-income areas and to increase job growth

Source : CIA

Company name and address

HERIZ GALLERY CC

PHYSICAL ADDRESS

Unit 1C

Cnr On The Straight Shopping Centre

The Straight Street

FOURWAYS

Gauteng

POSTAL ADDRESS

P O Box 785304

SANDTON

2146

TELEPHONE NUMBER: +27 11 465 7154

FAX NUMBER: +27 11 465 6952

MEMBERS

60% J SHOKOUHBIN ID No. 7109236157188

40% M SAFFARI ID No. 7002086142188

ASSOCIATE COMPANIES

SAFFARI & SON CC, which involves M SAFFARI and his family.

BANKERS

STANDARD BANK, Fourways Crossing branch. It was stated that the subject enjoys overdraft facilities secured by the personal guarantees of the members. Utilisation is stated to fluctuate.

It was stated by the respondent that the subject also utilizes an account with NEDBANK, however further information was not forthcoming.

DATE REGISTERED

28 October 1999

Registration Certificate Number: 1999/060933/23

VAT NUMBER: 4910222191

TAX NUMBER: 9161535845

BEE RATING: Non-compliant

MAJOR OPERATION

Importing and selling of carpets and carpet cleaning as well as the restoration of carpets

MAJOR SUPPLIERS

The subject imports most of their supplies and deals locally with a freight forwarder.

Previously, we have divulged the names of the major suppliers in our reports. We have discontinued this practice to protect our valuable sources of trade information. This has become necessary because we now give a description of the goods or services to which the trade references relate. This gives our client the ability to assess whether the purchases are vital to the subject’s operation and whether we have only been given their essential suppliers that must be paid promptly for the subject to maintain its operation.

MAJOR CUSTOMERS OR BUSINESS SECTORS

General public

AREA OF DISTRIBUTION AND SELLING: South Africa

EXPORTS: None

TOTAL EMPLOYEES: 10-12

OTHER PREMISES: None

OWNED OR LEASED

The premises are reported to be owned by the subject.

MEMBERS CONTRIBUTION

R100

Full financial information was not forthcoming from respondents at the subject and outside authorities were unable to assist in this regard.

AUDITORS: B G FRANCOIS

YEAR END: FEBRUARY

INSURANCE BROKERS: PENTO BROKERS

TRADE REFERENCES – AUGUST 2008

ACCOUNT HIGHEST AVERAGE TERMS PAYMENT EXPERIENCE

OPENED CREDIT CREDIT PATTERN

1. 8-10 yrs open R300 000 30 days 30 days Good

CURRENT TRADE REFERENCES

ACCOUNT HIGHEST AVERAGE TERMS PAYMENT EXPERIENCE

OPENED CREDIT CREDIT PATTERN

1. Many years open R200 000 30 days 30 days Excellent

CURRENT TRADE REFERENCES

ACCOUNT HIGHEST AVERAGE TERMS PAYMENT EXPERIENCE

OPENED CREDIT CREDIT PATTERN

1. ±10 years Open R400 000 30 days 30 days Good

NATURE OF GOODS OR SERVICES SUPPLIED

(These descriptions relate respectively by number to the above current trade transactions):

1. Freight forwarder

COMMENTS

This is an established business which is not a general credit seeker locally. The subject is considered equal to its normal business engagements however the lack of financial information should be borne in mind.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.85
UK Pound	1	Rs.97.01
Euro	1	Rs.77.62

INFORMATION DETAILS

Analysis Done by :	DIV

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.