MIRA INFORM REPORT

 

 

Report No. :

299849

Report Date :

21.01.2015

 

IDENTIFICATION DETAILS

 

Name :

HAKODATE MAJIMA CO., LTD.

 

 

Registered Office :

17-11, Matsukage-cho, Hakodate-shi, Hokkaido 040-0003

 

 

Country :

Japan

 

 

Date of Incorporation :

27.12.1957

 

 

Com. Reg. No.:

4400-01-001755

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Trader and Service provider of Motorcycle, automobile, small boat and water bike 

 

 

No. of Employee :

34

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

US$ 75,000

 

 

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 – September 30, 2014

 

Country Name

Previous Rating

(30.06.2014)

Current Rating

(30.09.2014)

Japan

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

JAPAN ECONOMIC OVERVIEW

 

In the years following World War II, government-industry cooperation, a strong work ethic, mastery of high technology, and a comparatively small defense allocation (1% of GDP) helped Japan develop a technologically advanced economy. Two notable characteristics of the post-war economy were the close interlocking structures of manufacturers, suppliers, and distributors, known as keiretsu, and the guarantee of lifetime employment for a substantial portion of the urban labor force. Both features are now eroding under the dual pressures of global competition and domestic demographic change. Japan's industrial sector is heavily dependent on imported raw materials and fuels. A small agricultural sector is highly subsidized and protected, with crop yields among the highest in the world. While self-sufficient in rice production, Japan imports about 60% of its food on a caloric basis. For three decades, overall real economic growth had been spectacular - a 10% average in the 1960s, a 5% average in the 1970s, and a 4% average in the 1980s. Growth slowed markedly in the 1990s, averaging just 1.7%, largely because of the after effects of inefficient investment and an asset price bubble in the late 1980s that required a protracted period of time for firms to reduce excess debt, capital, and labor. Modest economic growth continued after 2000, but the economy has fallen into recession three times since 2008. A sharp downturn in business investment and global demand for Japan's exports in late 2008 pushed Japan into recession. Government stimulus spending helped the economy recover in late 2009 and 2010, but the economy contracted again in 2011 as the massive 9.0 magnitude earthquake and the ensuing tsunami in March disrupted manufacturing. The economy has largely recovered in the two years since the disaster, but reconstruction in the Tohoku region has been uneven. Prime Minister Shinzo ABE has declared the economy his government's top priority; he has overturned his predecessor's plan to permanently close nuclear power plants and is pursuing an economic revitalization agenda of fiscal stimulus, monetary easing, and structural reform. Japan joined the Trans Pacific Partnership negotiations in 2013, a pact that would open Japan's economy to increased foreign competition and create new export opportunities for Japanese businesses. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, Japan in 2013 stood as the fourth-largest economy in the world after second-place China, which surpassed Japan in 2001, and third-place India, which edged out Japan in 2012. The new government will continue a longstanding debate on restructuring the economy and reining in Japan's huge government debt, which is exceeding 230% of GDP. To help raise government revenue and reduce public debt, Japan decided in 2013 to gradually increase the consumption tax to a total of 10% by the year 2015. Japan is making progress on ending deflation due to a weaker yen and higher energy costs, but reliance on exports to drive growth and an aging, shrinking population pose other major long-term challenges for the economy.

 

Source : CIA


Company name

 

HAKODATE MAJIMA CO., LTD.

 

 

OUTLINE

 

Country:                                    Japan

Company name:                        HAKODATE MAJIMA CO., LTD.

Name in local language:             HAKODATE MAJIMA K.K.  (函館マジマ株式会社)

Office address:                         17-11, Matsukage-cho, Hakodate-shi, Hokkaido 040-0003

Office tel:                                             0138-51-4686

Office fax:                                0138-51-9456

Website:                                   www.hakodate-majima.co.jp

Business type:                          Trader/Service  

Industry:                                               Motorcycle, automobile, small boat and water bike etc.

Established:                              December 27, 1957

Capital:                                                 Jp. 20,000,000 yen

Employees:                              34

Corporate formation:                 Private 

Corporation No.:                       4400-01-001755 (Hakodate Legal Affairs Bureau)

 

 

MAJOR SHAREHOLDERS

 

Paid in capital :                         Jp. 20,000,000 yen

Number of authorized shares :   960 shares

Shares issued :                         400 shares

Number of shareholder :                        4

 

Name of shareholders                                      Number of shares (%)

----------------------------------------------------------------------------------------------------------

Mr. Masaaki Majima, president                           205 shares (51.3)

Mr. Masahiko Majima, senior managing director 172 shares (43.0)

Ms. Yasuko Majima, managing director              20 shares ( 5.0)

Ms. Noriko Majima, auditor                               3 shares ( 0.7)

----------------------------------------------------------------------------------------------------------

Total                                                                 400 shares (100.0)

 

 

DETAILED PRODUCT CLASSFICATION & ACTIVITY

 

Activity                         Product/Service Description

-------------------------------------------------------------------------------

Trading                                     Motorcycle

Trading                                     Automobile

Trading                                     Water bike

Trading                                     Small boat

Service                                     Rental bike

Service                                     Repair work

 

 

COMPANY MANAGEMENT

 

President                                  Mr. Masaaki Majima

Nationality:                                Japan

 

Senior Managing Director          Mr. Masahiko Majima

Nationality:                                Japan

 

Managing Director                     Ms. Yasuko Majima

Nationality:                                Japan

 

Director                                                Mr. Kozo Majima

Nationality:                                Japan

 

Director                                                Mr. Katsuhito Majima

Nationality:                                Japan

 

Auditor                                                 Ms. Noriko Majima

Nationality:                                Japan

 

Note: The names of director(s) and auditor(s) are phonetically spelt.

 

 

*Key Personnel*

==============

Mr. Masaaki Majima

President and representative director

Born on July 22, 1950

Home address: 17-11, Matsukage-cho, Hakodate-shi, Hokkaido

               (This is also the registered address.)

 

 

FINANCIALS

 

Currency: (local currency - Jp. yen)

-------------------------------------------------------------------------------------

 Year |         Sales                 |       Net Income     

-------------------------------------------------------------------------------------

2008

1,006,658,000

1,308,000

2009

1,065,178,000

4,456,000

2010

1,137,000,000

4,000,000

2011

1,175,000,000

3,000,000

2012

1,270,000,000

3,000,000

2013

1,234,000,000

7,000,000

 

 

FINANCIAL DESCRIPTION

 

*Book Closing*

============

September 30th

 

 

*Financials*

==========

As a private limited company, no official financial statement is required to be disclosed publicly.

 

 

*Bank Details*

============

Bank Name :     Esashi Shinkin Bank

Branch :            Hakodate

 

Bank Name :     Hokkaido Bank, Ltd.

Branch :            Hakodate

 

 

*Credit Opinion*

=============

Subject is a local firm, located in Hakodate, Hokkaido, northernmost island of the nation, originally started selling bicycles, but now diversified into various types of motor vehicles.

A steady growth has continued for years and net income jumped up recently.

Although the exact financial condition is not available due to non-disclosure of its financial statement, there would be a certain amount of retained earnings and some real estate and properties, judging from the history section.

The market of Hokkaido is one of the toughest ones as the population has been diminishing for years.

Our standard suggestion would be up to US$ 75,000 on terms of 90 days.

 

 

PRODUCT, TECHNOLOGY, SERVICE DESCRIPTION

 

*Main Products & Services*

======================

Retailing of the following items:

-       Motorcycle

-       Bicycle

-       Automobile

-       Boat

-       Water bike

-       Related electronic equipment

Services:

-       Insurance agency

-       Repair work of the above items

-       Rental and leasing service

 

Operating six shops and one occasional sales site in Hakodate City

 

 

ORGANIZATION STRUCTURE

 

*Address*

=========

Registered address is the same as the operational address.

 

Registered address is also the residence of the president.

 

 

*Company History*

================

Date                             Development

-----------------------------------------------------------------------------------------------

March 1948                   Started business of bicycle.

December 27, 1957       Incorporated under the name of “Majima Jitensha(Bicycle) Shokai Co., Ltd.” with an investment of JPY 700,000.

December 1977             Took the current company name and increased the capital to JPY 4 million.

September 1988            Started selling Harley Davidson.

November 1989             Increased the capital to JPY 12 million.

September 1991            Founded a subsidiary, Majima Corporation with an investment of JPY 5 million.

March  1993                  Increased the capital to JPY 20 million. Completed the head office building with five stories.

April 2000                     Became an authorized dealer of Suzuki compact cars.

April 2009                     Became an authorized dealer of Triumph. Started rental business.

 

 

TRADE REFERENCES

 

*Suppliers*

==========

Suzuki Motor Corp.

Kawasaki Motors Japan Ltd.

Yamaha Motor Corp.

Harley Davidson Japan K.K.

Triumph Japan K.K.

 

*Customers*

==========

General public

 

 

SUBSIDIARIES, JOINT-VENTURES & AFFILIATES

 

Company name:            Majima Corporation

Country:                        Japan

Status:                                      Subsidiary  

----------------------------------------------------------------------------------------------------

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.84

UK Pound

1

Rs.93.26

Euro

1

Rs.71.56

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

DPT

 

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.