MIRA INFORM REPORT

 

 

Report No. :

323432

Report Date :

23.05.2015

 

IDENTIFICATION DETAILS

 

Name :

SAFA STAR TRADING EST (SAFATEX)

 

 

Registered Office :

Ali Sharaf Building, Al Dhahab Street, Al Balad District, Souk Al Jama 18732 & 24376, Jeddah 21425

 

 

Country :

Saudi Arabia

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

04.05.2004

 

 

Com. Reg. No.:

4030149043

 

 

Legal Form :

Sole Proprietorship

 

 

Line of Business :

Engaged in the wholesale and retail of textiles, fabrics and readymade garments.

 

 

No of Employees :

6

 

 

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 :

Satisfactory

 

 

Payment Behaviour :

No Complaints

 

 

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)

Saudi Arabia

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

 

 

SAUDI ARABIA ECONOMIC OVERVIEW

 

Saudi Arabia has an oil-based economy with strong government controls over major economic activities. It possesses about 16% of the world's proven petroleum reserves, ranks as the largest exporter of petroleum, and plays a leading role in OPEC. The petroleum sector accounts for roughly 80% of budget revenues, 45% of GDP, and 90% of export earnings. Saudi Arabia is encouraging the growth of the private sector in order to diversify its economy and to employ more Saudi nationals. Diversification efforts are focusing on power generation, telecommuncations, natural gas exploration, and petrochemical sectors. Over 6 million foreign workers play an important role in the Saudi economy, particularly in the oil and service sectors, while Riyadh is struggling to reduce unemployment among its own nationals. Saudi officials are particularly focused on employing its large youth population, which generally lacks the education and technical skills the private sector needs. In 2014 the Kingdom ran its first budget deficit since 2009, and faces budget deficits for the foreseeable future because it requires an oil price greater than $100 per barrel to balance its budget. Although the Kingdom can finance high deficits for several years by drawing down its considerable foreign assets or borrowing, it probably will begin to reduce capital spending if oil prices stay low through the next year.

 

Source : CIA

SUMMARY

 

Company Name                                    : SAFA STAR TRADING EST (SAFATEX)

Country of Origin                                   : Saudi Arabia

Legal Form                                           : Sole Proprietorship

Start Date                                             : 1997

Registration Date                                  : 4th May 2004

Commercial Registration Number           : 4030149043, Jeddah

Chamber Membership Number               : 109300

Invested Capital                                    : SR 75,000

Total Workforce                                     : 6

Activities                                               : Wholesale and retail of textiles, fabrics and ready made garments.

Financial Condition                                : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                                    : Steady

Person Interviewed                                : Mohamed Jaafar, Sales Executive

Company name

 

SAFA STAR TRADING EST (SAFATEX)

 

 

company ADDRESS

 

Registered & Physical Address

 

Building                        : Ali Sharaf Building

Street               : Al Dhahab Street

Area                 : Al Balad District, Souk Al Jama

 

PO Box                        : 18732 & 24376

 

Town                : Jeddah 21425

Country             : Saudi Arabia

 

Telephone         : (966-12) 6436928 / 6456585 / 6454740

Facsimile          : (966-12) 6453022 / 6430486 / 6546585

Mobile              : (966-50) 6507108

Email                : safa_tex@hotmail.com

 

Premises

 

Subject operates from a small suite of offices and a showroom that are rented and located in the Central Business Area of Jeddah.

 

Branch Office (s)

 

     Location                                                                                          Description

 

·       Al Wazir Street                                                                                  Rented showroom premises

Riyadh

     Tel: (966-11) 4083245

 

 

KEY PRINCIPALS

 

     Name                                                                                               Position

 

·       Ismail Bin Mahmoud Bin Saleh Al Baloushi                                         Proprietor & General Manager

 

·       Zafar Abbas                                                                                     Sales Manager

 

·       Shafaqat Ali                                                                                     Commercial Manager

 

·       Arshad Farooq                                                                                 Financial Controller

 

·       Mohamed Jaafar                                                                              Sales Executive

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 1997, however subject was registered on 15/03/1425 Hijri (corresponding to 4th May 2004)

 

Legal Form                  : Sole Proprietorship

 

Commercial Reg. No.   : 4030149043, Jeddah

 

Chamber Member No.  : 109300

 

Invested Capital           : SR 75,000

 

Mr Ismail Bin Mahmoud Bin Saleh Al Baloushi is the sole proprietor of the business.

 

 

OPERATIONS

 

Activities: Engaged in the wholesale and retail of textiles, fabrics and readymade garments.

 

Import Countries: India

 

International Suppliers:

 

·       Pujani International                India

·       Aqua Marine Export              India

·       Swastik Tex                          India

·       Agiltex                                 India

 

Operating Trend: Steady

 

Subject has a workforce of 6 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Saudi Riyals (SR)

 

                                                Year Ending 31/12/13:              Year Ending 31/12/14:

 

Total Sales                                SR 16,130,000                           SR 16,700,000

 

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

 

The above financial figures are based on estimations by our local sources.

 

 

BANKERS

 

·       National Commercial Bank

Palestine Square

PO Box: 7161

Jeddah 21462

Tel: (966-12) 6697384

Fax: (966-12) 6697388

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled. As such the business is considered to be a fair trade risk.

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs. 63.57

UK Pound

1

Rs. 99.66

Euro

1

Rs. 70.92

 

INFORMATION DETAILS

 

Analysis Done by :

SAN

 

 

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%)

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.