MIRA INFORM REPORT

 

 

Report No. :

343233

Report Date :

01.10.2015

 

IDENTIFICATION DETAILS

 

Name :

MARSMAN INDIA LIMITED (w.e.f. 06.05.2002)

 

 

Formerly Known As :

MARSMAN CONSTRUCTION EQUIPMENT LIMITED (w.e.f. 10.03.2000)

 

MARSMAN CONSTRUCTION EQUIPMENT PRIVATE LIMITED

 

 

Registered Office :

Plot No. N-16, M.I.D.C., Industrial Area, Ambad, Nasik – 422010, Maharashtra

Tel. No.:

91-253-2382940

 

 

Country :

India

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

10.03.2000

 

 

Com. Reg. No.:

11-124805

 

 

Capital Investment / Paid-up Capital :

Rs. 19.269 Million

 

 

CIN No.:

[Company Identification No.]

U45200MH2000PLC124805

 

 

IEC No.:

Not Available

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

NSKM06689E

 

 

PAN No.:

[Permanent Account No.]

AAGCM0709F

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Manufacturer and Exporter of Earthmoving and Mining Equipment.

 

 

No. of Employees :

30 (Approximately)    

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (27)

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Maximum Credit Limit :

USD 113000

 

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject was incorporated in the year 2000 engaged in manufacturing of earthmoving and mining equipment.

 

For the financial year ended 2014, the company possesses moderate operational performance and it has incurred loss from its operational activities.

 

Rating further constrained on account of company’s moderate financial profile marked by below average net worth base along with moderate debt coverage indicators and unfavorable gap between trade payables to its receivables.

 

Trade relations are reported as fair. Payments are reported to be slow but correct.

 

In view of operation loss, the company can be considered for business dealing with some caution.

 

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, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

India

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

EXTERNAL AGENCY RATING

 

NOT AVAILABLE

 

 

RBI DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

 

 

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

 

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2015.

 

 

INFORMATION PARTED BY

 

Name :

Mr. Ravinder Singh

Designation :

Account Manager

Contact No.:

91-9922500536

Date :

30.09.2015

 

 

LOCATIONS

 

Registered Office :

Plot No. N-16, M.I.D.C., Industrial Area, Ambad, Nasik – 422010, Maharashtra, India

Tel. No.:

91-253-2382940

Mobile No.:

91-9922500536 (Mr. Ravinder Singh)

Fax No.:

91-253-2380272

E-Mail :

accounts@marsmanltd.net

sales@marsmanltd.net

Website :

http://www.marsmanltd.net

Area :

3325 Sq. Ft.

Location :

Owned

Locality:

Industrial

 

 

Factory 1:

Gat. No. 581 / 582, At Post Janori, 10th Mile, Ozar, Mumbai - Agra Road, Nashik – 422206, Maharashtra, India.

Tel. No.:

91-2557-275210

Area :

3 Acre

Location :

Owned

 

 

Factory 2:

Plot No. 712, GIDC,  Manjusar, Taluka Savli,  District Vadodara – 391775, Gujarat, India

Tel. No.:

91-2667-292123

Area :

3 Acre

Location :

Owned

 

 

DIRECTORS

 

AS ON 25.09.2014

 

Name :

Mr. Ravindra Mohanlal Varma

Designation :

Managing director

Address :

Plot No. 32, S No. 12/2/2, Vrindavan Nagar, Kalpataru Nagar, Opposite Ashoka Road, Nashik - 422011, Maharashtra, India

Date of Birth/Age :

16.07.1962

Date of Appointment :

01.03.2014

DIN No.:

00357840

Other Directorship :

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Date of cessation

Company/ LLP Status

Defaulting status

1

U29290MH1998PTC112802

ULTRA-TECH EARTH-MOVING EQUIPMENTS PRIVATE LIMITED

Director

06/01/1998

06/01/1998

10/10/2010

Active

NO

2

U45203MH1998PTC113125

KAMAL ROAD ROLLERS PRIVATE LIMITED

Director

21/01/1998

21/01/1998

-

Active

NO

3

U45200MH2000PLC124805

MARSMAN INDIA LIMITED

Managing director

01/03/2014

10/03/2000

-

Active

NO

4

U93090MH2011PTC213305

AIJIS ENTERTAINMENT PRIVATE LIMITED

Director

10/02/2011

10/02/2011

-

Active

NO

 

 

Name :

Mrs. Anita Ravindra Varma

Designation :

Director

Address :

Plot No. 32, S. No. 12/2/2, Vrindavan nagar, Behind, Kalpataru Nagar, Opposite Ashoka Road, Nasik - 422011, Maharashtra, India

Date of Birth/Age :

31.07.1961

Date of Appointment :

25.04.2008

DIN No.:

02167625

 

 

Name :

Mr. Ajay Ravindra Varma

Designation :

Whole-time director

Address :

Plot No. 32, S. No. 12/2/2, Vrindavan Nagar, Behind, Kalpataru Nagar, Opposite Ashoka Road, Nasik - 422011, Maharashtra, India

Date of Birth/Age :

26.06.1988

Date of Appointment :

01.03.2014

DIN No.:

02167680

Other Directorship :

S.No.

CIN/LLPIN

Name of the Company/ LLP

Current designation of the Director/ Designated Partner

Date of appointment at current designation

Original date of appointment

Company/ LLP Status

Defaulting status

1

U45200MH2000PLC124805

MARSMAN INDIA LIMITED

Whole-time director

01/03/2014

25/04/2008

Active

NO

2

U93090MH2011PTC213305

AIJIS ENTERTAINMENT PRIVATE LIMITED

Director

10/02/2011

10/02/2011

Active

NO

 

 

KEY EXECUTIVES

 

Name :

Mr. Ravinder Singh

Designation :

Account Manager

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 25.09.2014

 

Names of Shareholders

No. of Shares

 

Ravindra Mohanlal Varma

1300781

Anita Ravindra Varma

239438

Neelam Ravi Rawal

563

Geeta Manoj Gaub

563

Vinod Mohanlal Varma

188

Priya N Talwar (Previous Name – Priya R Varma)

40781

Ajay Ravindra Varma

344625

 

 

Total

 

1926939

 

 

AS ON 25.09.2014

 

Equity Share Breakup

Percentage of Holding

Category

 

Directors or relatives of directors

100.00

 

 

Total

 

100.00

 

 

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Exporter of Earthmoving and Mining Equipment.

 

 

Brand Names :

--

 

 

Agencies Held :

--

 

 

Exports :

 

Products :

Finished Goods

Countries :

·         Germany

·         UK

·         Saudi Arabia

 

 

Imports :

 

Products :

Machine Parts

Countries :

·         Italy

·         Germany

 

 

Terms :

 

Selling :

Cash, L/C and Credit

 

 

Purchasing :

Cash, L/C and Credit

 

 

PRODUCTION STATUS: NOT AVAILABLE

 

 

GENERAL INFORMATION

 

Suppliers :

Reference:

Makharia Machineries Private Limited – Mumbai, Maharashtra, India

Name of the Person (Designation):

Not Divulged

Contact Number:

Not Divulged

Since how long known:

Not Divulged

Maximum limit dealt:

Not Divulged

Experience:

Not Divulged

Remark

Not Divulged

 

 

Customers :

Wholesaler and Retailers

 

Reference:

Harvest Machines Private Limited – U.K

Name of the Person (Designation):

Not Divulged

Contact Number:

Not Divulged

Since how long known:

Not Divulged

Maximum limit dealt:

Not Divulged

Experience:

Not Divulged

Remark

Not Divulged

 

 

No. of Employees :

30 (Approximately)

 

 

Bankers :

Bank Name:

Bank of Maharashtra

Branch:

Janmangal, Tilak Path, Nasik City Branch, Nashik - 422002, Maharashtra, India

Person Name (with Designation):

Not Divulged

Contact Number:

Not Divulged

Name of Account Holder:

Not Divulged

Account Number:

Not Divulged

Account Since (Date/ Year of A/c Opening):

Not Divulged

Average Balance Maintained (Optional):

Not Divulged

Credit Facilities Enjoyed (CC/OD/Term Loan):

Not Divulged

Account Operation:

Not Divulged

Remarks:

Not Divulged

 

·         Bank of Maharashtra

Nashik City Branch, Nashik - 422001, Maharashtra, India

 

·         State of India

Satpur Industrial Area Branch, M.I.D.C, Plot No. 7, Satpur, Nashik, Maharashtra, India

 

 

Facilities :

SECURED LOANS

31.03.2014

(Rs. In Million)

31.03.2013

(Rs. In Million)

LONG-TERM BORROWINGS

 

 

Term Loans

 

 

From Bank of Maharashtra, Nashik

(Secured by mortgage of land and building of janori plant and further guaranteed by two director personally, term of payment-monthly)

9.988

15.753

Car loan (Secured by hypothecation of motor cars)

1.902

1.249

 

 

 

SHORT TERM BORROWINGS

 

 

Loans repayable on demand within one year

 

 

From Banks

 

 

Bank of Maharashtra C/C A/c No. 20105244383

15.361

11.726

 

 

 

Total

 

27.251

28.728

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Phatak Joshi and Company

Chartered Accountants

Address :

Office No. 1 to 4, Yashoda Heights, Near Mahalaxmi Temple, Lawate Nagar, Off Untwadi Road, Nashik – 422002, Maharashtra, India

Income-tax PAN of auditor or auditor's firm :

AAJFP8703A

 

 

Memberships :

--

 

 

Collaborators :

--

 

 

Associates/Subsidiaries :

Not Available

 

CAPITAL STRUCTURE

 

AS ON 31.03.2014

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

2,000,000

Equity Shares

Rs. 10/- each

Rs. 20.000 Million

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

1,926,939

Equity Shares

Rs. 10/- each

Rs. 19.269 Million

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Million]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2014

31.03.2013

31.03.2012

I.              EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

19.269

15.415

15.415

(b) Reserves & Surplus

20.442

31.336

30.122

(c) Money received against share warrants

0.000

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

0.000

0.000

0.000

Total Shareholders’ Funds (1) + (2)

39.711

46.751

45.537

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) Long-term borrowings

11.890

17.002

24.950

(b) Deferred tax liabilities (Net)

0.000

0.000

0.388

(c) Other long term liabilities

0.000

0.000

0.000

(d) long-term provisions

0.000

0.000

0.000

Total Non-current Liabilities (3)

11.890

17.002

25.338

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

15.361

13.561

10.515

(b) Trade payables

11.481

10.830

15.898

(c) Other current liabilities

11.708

10.488

15.405

(d) Short-term provisions

0.898

1.294

1.549

Total Current Liabilities (4)

39.448

36.173

43.367

 

 

 

 

TOTAL

91.049

99.926

114.242

 

 

 

 

II.            ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

74.025

78.936

88.719

(ii) Intangible Assets

0.000

0.000

0.000

(iii) Capital work-in-progress

0.000

0.000

0.000

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

0.000

0.000

0.000

(c) Deferred tax assets (net)

0.307

0.035

0.000

(d)  Long-term Loan and Advances

0.295

0.283

0.265

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

74.627

79.254

88.984

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

10.511

9.562

12.085

(c) Trade receivables

0.673

0.902

0.679

(d) Cash and cash equivalents

1.937

1.616

1.832

(e) Short-term loans and advances

2.520

6.931

10.614

(f) Other current assets

0.781

1.661

0.048

Total Current Assets

16.422

20.672

25.258

 

 

 

 

TOTAL

91.049

99.926

114.242

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2014

31.03.2013

31.03.2012

 

SALES

 

 

 

 

 

Revenue from Operations

72.741

72.149

119.195

 

 

Other Income

1.392

1.361

0.876

 

 

TOTAL                                     (A)

74.133

73.510

120.071

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of Materials Consumed

39.919

36.595

64.900

 

 

Changes in inventories of finished goods, work-in-progress and Stock-in-Trade

0.653

1.166

2.774

 

 

Employees benefits expense

7.160

8.160

9.562

 

 

Exceptional Items

1.500

 0.000

0.000 

 

 

Other expenses

12.810

12.917

18.155

 

 

TOTAL                                     (B)

62.042

58.838

95.391

 

 

 

 

 

 

PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)     (C)

12.091

14.672

24.680

 

 

 

 

 

Less

FINANCIAL EXPENSES                                    (D)

3.037

2.923

3.608

 

 

 

 

 

 

PROFIT/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                               (E)

9.054

11.749

21.072

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

8.713

9.993

10.553

 

 

 

 

 

 

PROFIT/ (LOSS)  BEFORE TAX (E-F)                (G)

0.341

1.756

10.519

 

 

 

 

 

Less

TAX                                                                  (H)

3.775

0.542

3.319

 

 

 

 

 

 

PROFIT/ (LOSS)  AFTER TAX (G-H)                  (I)

(3.434)

1.214

7.200

 

 

 

 

 

 

Earnings/ (Loss) Per Share (Rs.)

(1.78)

0.79

4.67

 

 

PARTICULARS

 

 

 

31.03.2015

Sales Turnover (Approximately)

 

 

70.000

 

 

 

 

 

Expected Sales (2015-2016): Rs. 100.000 Million

 

The above information has been parted by Mr. Ravinder Singh (Accounts Manager).

 

 

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

 

Particulars

 

31.03.2014

31.03.2013

31.03.2012

Current Maturities of Long term debt

NA

NA

NA

 

 

 

 

Cash Generated from Operations

NA

NA

NA

 

 

 

 

Net Cash Flow from used in Operations

NA

NA

NA

 

 

KEY RATIOS

 

 

PARTICULARS

 

 

31.03.2014

31.03.2013

31.03.2012

Net Profit Margin

(PAT / Sales)

(%)

(4.72)

1.68

6.04

 

 

 

 

 

Operating Profit Margin

(PBDIT/Sales)

(%)

16.62

20.34

20.71

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

0.38

1.76

9.21

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.01

0.04

0.23

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

0.69

0.65

0.78

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

0.42

0.57

0.58

 

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

 

DEBT EQUITY RATIO

 

Particular

31.03.2012

31.03.2013

31.03.2014

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Share Capital

15.415

15.415

19.269

Reserves & Surplus

30.122

31.336

20.442

Money received against share warrants

0.000

0.000

0.000

Share Application money pending allotment

0.000

0.000

0.000

Net worth

45.537

46.751

39.711

 

 

 

 

Long-term borrowings

24.950

17.002

11.890

Short term borrowings

10.515

13.561

15.361

Total borrowings

35.465

30.563

27.251

Debt/Equity ratio

0.779

0.654

0.686

 

 

 

 

YEAR-ON-YEAR GROWTH

 

Year on Year Growth

31.03.2012

31.03.2013

31.03.2014

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Sales

119.195

72.149

72.741

 

 

(39.470)

0.821

 

 

 

NET PROFIT MARGIN

 

Net Profit Margin

31.03.2012

31.03.2013

31.03.2014

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Sales

119.195

72.149

72.741

Profit

7.200

1.214

(3.434)

 

6.04%

1.68%

(4.72%)

 

 

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Sr. No.

Check list by info agents

Available in Report

(Yes/No)

1

Year of establishment

Yes

2

Constitution of the entity -Incorporation details

Yes

3

Locality of the entity

Yes

4

Premises details

Yes

5

Buyer visit details

--

6

Contact numbers

Yes

7

Name of the person contacted

Yes

8

Designation of contact person

Yes

9

Promoter’s background

Yes

10

Date of Birth of Proprietor / Partners / Directors

Yes

11

Pan Card No. of Proprietor / Partners

No

12

Voter Id Card No. of Proprietor / Partners

No

13

Type of business

Yes

14

Line of Business

Yes

15

Export/import details (if applicable)

Yes

16

No. of employees

Yes

17

Details of sister concerns

No

18

Major suppliers

Yes

19

Major customers

Yes

20

Banking Details

Yes

21

Banking facility details

Yes

22

Conduct of the banking account

--

23

Financials, if provided

Yes

24

Capital in the business

Yes

25

Last accounts filed at ROC, if applicable

Yes

26

Turnover of firm for last three years

Yes

27

Reasons for variation <> 20%

--

28

Estimation for coming financial year

Yes

29

Profitability for last three years

Yes

30

Major shareholders, if available

Yes

31

External Agency Rating, if available

No

32

Litigations that the firm/promoter involved in

--

33

Market information

--

34

Payments terms

Yes

35

Negative Reporting by Auditors in the Annual Report

No

 

 

INDEX OF CHARGES

 

S.NO.

CHARGE ID

DATE OF CHARGE CREATION/MODIFICATION

CHARGE AMOUNT SECURED

CHARGE HOLDER

ADDRESS

SERVICE REQUEST NUMBER (SRN)

1

10393144

03/12/2012

47,000,000.00

BANK OF MAHARASHTRA

NASHIK CITY BRANCH, NASHIK - 422001, MAHARASHTRA, INDIA

B64582547

2

10162184

28/05/2009

6,000,000.00

BANK OF MAHARASHTRA

NASIK CITY BRANCH, NASHIK - 422001, MAHARASHTRA, INDIA

A63651210

 


UNSECURED LOANS

 

PARTICULARS

31.03.2014

(Rs. In Million)

31.03.2013

(Rs. In Million)

LONG-TERM BORROWINGS

 

 

From other parties

 

 

Loans and advances from related parties

0.000

1.835

 

 

 

Total

 

0.000

1.835

 

 

CHANGE OF ADDRESS:

 

The Registered Office of the Company has been shifted from Plot No. N-16, Next to Jitendra Motors, Opposite Namco Bank, M.I.D.C., Ambad, Nashik – 422010, Maharashtra, India to the present address w.e.f. 30.08.2010.

 

 

FIXED ASSETS:

 

Tangible Assets

·         Land

·         Building

·         Plant and Equipment

·         Furniture and Futures

·         Vehicles

·         Office Equipment

·         Others equipment’s

Intangible Assets

·         Goodwill

·         Brand/Trademarks

·         Computer software

·         Mastheads and Publishing Titles

·         Mining rights

·         Licenses and Franchise

·         Others

 

 

CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

1]         INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

 

2]         Court Declaration :

No exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

 

3]         Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

 

4]         Record on Financial Crime :

            Charges or conviction registered against subject:                                                           None

 

5]         Records on Violation of Anti-Corruption Laws :

            Charges or investigation registered against subject:                                                        None

 

6]         Records on Int’l Anti-Money Laundering Laws/Standards :

            Charges or investigation registered against subject:                                                        None

 

7]         Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

 

8]         Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

 

9]         Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

 

10]        Press Report :

            No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

 

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

 

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

 

 

CONTRAVENTION

 

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

 

 

FOREIGN EXCHANGE RATES

 

Currency

 
Unit

Indian Rupees

US Dollar

1

Rs.65.74

UK Pound

1

Rs.99.53

Euro

1

Rs.73.80

 

 

INFORMATION DETAILS

 

Information Gathered by :

DIP

 

 

Analysis Done by :

KAR

 

 

Report Prepared by :

ARC

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

3

OPERATING SCALE

1~10

4

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

4

--PROFITABILIRY

1~10

--

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

3

--CREDIT LINES

1~10

3

--MARGINS

-5~5

--

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

YES

--AFFILIATION

YES/NO

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

27

 

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%)

 

 

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

 

--

 

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.