MIRA INFORM REPORT

 

 

Report No. :

313276

Report Date :

26.03.2015

 

IDENTIFICATION DETAILS

 

Name :

F E POWDER SUPPLIES (PTY) LTD

 

 

Formerly Known As :

SCOPEFULL 31 (PTY) LTD

 

 

Registered Office :

No 7 Volt Lane, Kya Sand, Randburg, Johannesburg, Gauteng

 

 

Country :

South Africa

 

 

Date of Incorporation :

18.07.2000

 

 

Com. Reg. No.:

2000/016071/07

 

 

Legal Form :

Private Company

 

 

Line of Business :

subject operates as suppliers of Metal Spray Equipment, Consumables and Iron Powders

 

Subject product ranges includes:-

 

Iron Powders

·         Powder Metallurgy

·         Welding

·         Friction

·         SMC

·         Chemical Metallurgical

·         Surface Coating

 

Thermal Spraying

·         Corrosion

·         Abrasion

·         Friction

·         Hard Facing

 

 

No of Employees :

04, having increased from 3 reported in November 2006

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

 

 

Payment Behaviour :

Unknown

 

 

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 – December 31, 2014

 

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

South Africa

A2

A2

 

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

 


Note:

(The information contained in this report, other than statutory data and comment by outside authorities, has been voluntarily supplied by Officials of the subject):

 

 

COMPANY NAME     

 

F E POWDER SUPPLIES (PTY) LTD

 

Formerly: SCOPEFULL 31 (PTY) LTD, the name having been changed in July 2003.

 

 

PHYSICAL ADDRESS

 

No 7 Volt Lane

Kya Sand

Randburg

Johannesburg

Gauteng

 

 

POSTAL ADDRESS

 

P O Box 242

Kya Sand

2163

TELEPHONE NUMBER:            +27 11 708 7951

FAX NUMBER:                          +27 11 708 7983

 

It was stated that the subject moved its premises from Unit No 8, APD Industrial Park, Kya Sand, Randburg, 2 years ago.

 

 

SHAREHOLDERS

 

·               50%      R G McCULLOUGH

·               50%      MRS N A McCULLOUGH

 

 

ASSOCIATE COMPANIES    

 

None

 


DIRECTORS

 

·         R G McCULLOUGH                                     ID No.   6403080028087

·         MRS N A McCULLOUGH                             ID No.   5002095166105

 

 

BANKERS

 

STANDARD BANK, Randburg, Account Number: 420308083.  It was stated that the subject enjoys overdraft facilities, secured by the personal guarantees of the shareholders.  Utilisation of the overdraft is stated to be partial.

 

 

DATE REGISTERED

 

18 July 2000

Registration Certificate Number: 2000/016071/07

 

F E POWDER SUPPLIES (PTY) LTD was established in 2003, when the shelf company, namely SCOPEFULL 31 (PTY) LTD was utilised for registration purposes and changed its name to the current name.

 

 

VAT NUMBER

 

4110189364

 

 

TAX NUMBER

 

9447116147

 

 

BBBEE STATUS

 

In the process of BBBEE audit

 

 

MAJOR OPERATION

 

The subject operates as suppliers of metal spray equipment, consumables and iron powders.


Product details

 

Iron Powders

·         Powder Metallurgy

·         Welding

·         Friction

·         SMC

·         Chemical Metallurgical

·         Surface Coating

 

Thermal Spraying

·         Corrosion

·         Abrasion

·         Friction

·         Hard Facing

 

MAJOR SUPPLIERS

 

The subject imports supplies from USA and also deals with small local suppliers.

 

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

 

The subject deals with companies such as Afrox, GKM Sintermetals, OESA and Highveld Steel.

 

 

AREA OF DISTRIBUTION AND SELLING

 

Southern Africa

 

 

EXPORTS

 

Zambia, Mozambique and Zimbabwe.

 

 

TOTAL EMPLOYEES

 

4, having increased from 3 reported in November 2006.

OTHER PREMISES

 

None

 

 

OWNED OR LEASED

 

Leased

 

Full financial information was not forthcoming from respondents at the subject and outside authorities were unable to assist in this regard, however, historical information dated November 2006 reads as follows:

 

             STOCK                                                                            R     1 200 000

             DEBTORS                                                                       R     1 300 000

             FIXED ASSETS                                                               R         50 000

             CREDITORS                                                                    R     1 000 000

             OVERDRAFT                                                                   R        180 000

             LOANS                                                                            R        320 000

             TURNOVER per month                                                     R        700 000

 

                                               

AUDITORS

 

NICO V D SMIT

 

 

YEAR END    

 

DECEMBER

 

 

INSURANCE BROKERS

 

MALLIC INSURANCE BROKERS

 

           

TRADE REFERENCES – APRIL 2005

 

          ACCOUNT    HIGHEST        AVERAGE TERMS    PAYMENT     EXPERIENCE

          OPENED        CREDIT          CREDIT                  PATTERN

 

1.       ±4 yrs           R200 000        ±R140 000 30 days    30 days         Very good

 

2.       ±4 yrs             R20 000          R20 000   30 days    30 days         Very good

                                                                     2.5%

 

 

TRADE REFERENCES-NOVEMBER 2006

 

          ACCOUNT    HIGHEST        AVERAGE TERMS    PAYMENT     EXPERIENCE

          OPENED        CREDIT          CREDIT                  PATTERN

 

1.       5 months        R60 000          R34 000   30 days    30 days         Very good

 

2.       10 yrs           R200 000         R120 000  30 days    30 days         Excellent

 

3.       3 yrs               R30 000          R20 000   30 days    30 days         Good

 

CURRENT TRADE REFERENCES

 

          ACCOUNT    HIGHEST        AVERAGE                TERMS         PAYMENT EXPERIENCE

          OPENED        CREDIT          CREDIT                  PATTERN

 

1.       Do not give trade references

 

2.       6 years        Open                 R50 000-  30 days    30 days         Very Good

                                                      R300 000

 

3.       Do not give trade references

 

 

NATURE OF GOODS OR SERVICES SUPPLIED

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

 

2.    Zinc

                         

 

COMMENTS

 

This is a well-established company meeting local commitments timeously. Suppliers speak highly of the subject as they have dealt with the owner in his personal capacity for a few years. The subject is considered equal to its normal business engagements. Caution is advised.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.62.34

UK Pound

1

Rs.92.65

Euro

1

Rs.68.12

 

INFORMATION DETAILS

 

Analysis Done by :

SUB

 

 

Report Prepared by :

MNL

 

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.