MIRA INFORM REPORT

 

 

Report No. :

346446

Report Date :

27.10.2015 

 

IDENTIFICATION DETAILS

 

Name :

GULF FLOOR CARPET TRADING LLC

 

 

Registered Office :

Street No 7, Store No 43, Mina Free Port, PO Box 34368, Abu Dhabi

 

 

Country :

United Arab Emirates

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

10.08.2011

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Engaged in the import and distribution of flooring products, including carpets and rugs.

 

 

No. of Employees :

5

 

 

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 :

Small Company

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 – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

United Arab Emirates

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

UNITED ARAB EMIRATES - ECONOMIC OVERVIEW

 

The UAE has an open economy with a high per capita income and a sizable annual trade surplus. Successful efforts at economic diversification have reduced the portion of GDP based on oil and gas output to 25%. Since the discovery of oil in the UAE more than 30 years ago, the country has undergone a profound transformation from an impoverished region of small desert principalities to a modern state with a high standard of living. The government has increased spending on job creation and infrastructure expansion and is opening up utilities to greater private sector involvement. The country's free trade zones - offering 100% foreign ownership and zero taxes - are helping to attract foreign investors. The global financial crisis of 2008, tight international credit, and deflated asset prices constricted the economy in 2009. UAE authorities tried to blunt the crisis by increasing spending and boosting liquidity in the banking sector. The crisis hit Dubai hardest, as it was heavily exposed to depressed real estate prices. Dubai lacked sufficient cash to meet its debt obligations, prompting global concern about its solvency and ultimately a $20 billion bailout from the UAE Central Bank and Abu Dhabi-emirate government that was refinanced in March 2014. Dependence on oil, a large expatriate workforce, and growing inflation pressures are significant long-term challenges. The UAE's strategic plan for the next few years focuses on economic diversification and creating more job opportunities for nationals through improved education and increased private sector employment.

 

Source : CIA

 

SUMMARY

 

Company Name                                    : GULF FLOOR CARPET TRADING LLC

Country of Origin                                   : Abu Dhabi, United Arab Emirates

Legal Form                                           : Limited Liability Company – LLC

Registration Date                                  : 10th August 2011

Trade Licence Number                           : 1249893

Chamber Membership Number               : 567838

Issued Capital                                       : UAE Dh 150,000

Paid up Capital                                     : UAE Dh 150,000

Total Workforce                         : 5

Activities                                               : Distributors of flooring products

Financial Condition                                : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                                    : Steady

Person Interviewed                                : Tariq Mostafa Ali Mohamed, Managing Director

 

 

COMPANY NAME

 

GULF FLOOR CARPET TRADING LLC

 

 

ADDRESS

 

Registered & Physical Address

 

Street               : Street No 7, Store No 43

Area                 : Mina Free Port

PO Box            : 34368

Town                : Abu Dhabi

Country : United Arab Emirates

Telephone         : (971-2) 4919266 / 6507075 / 4919550

Facsimile          : (971-2) 4919267

Mobile              : (971-50) 6137050

Email                : gulfflo@eim.ae

 

Please note that subject’s previous address was, Sheikh Al Yazy Building, Block A, Flat No. 204, Elektra Street, Abu Dhabi.

 

Premises

 

Subject operates from a small suite of offices and a showroom that are rented and located in the Port Area of Abu Dhabi.

 

 

KEY PRINCIPALS

 

Name                                                               Nationality                                Position

 

Tariq Mostafa Ali Mohamed                               Egyptian                                   Managing Director

 

Abdullah Ahmed Mohamed Ahmed Khalil           Emirati                                      Director

 

Yousef Paltachail                                                    -                                         Sales Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 10th August 2011

 

Legal Form                  : Limited Liability Company – LLC

 

Trade Licence No.        : 1249893 (Expires 12/08/2016)

 

Chamber Mem. No.      : 567838

 

Issued Capital              : UAE Dh 150,000

 

Paid up Capital            : UAE Dh 150,000

 

Name of Shareholder (s)                                                      Percentage

 

Abdullah Ahmed Mohamed Ahmed Khalil                                   51%

 

Tariq Mostafa Ali Mohamed                                                       49%

 

 

AFFILIATED COMPANIES

 

Diamond Sword LLC

Abu Dhabi

 

 

OPERATIONS

 

Activities: Engaged in the import and distribution of flooring products, including carpets and rugs.

 

Import Countries: Saudi Arabia and China

 

Principal Suppliers:

 

Al Abdullatif Carpets                 Saudi Arabia

Al Soraiye Carpet Factory          Saudi Arabia

Abu Dhabi Carpet Factory         Abu Dhabi

Standard Carpet Factory            Sharjah

Ebaco International                    China

Oriental Weavers                       Egypt

Al Juaidie Est                            Saudi Arabia

Fahd Al Amoudi Co                   Saudi Arabia

 

Operating Trend: Steady

 

Subject has a workforce of 5 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: United Arab Emirates Dirham (UAE Dh)

 

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

 

Total Sales                                UAE Dh 12,000,000                   UAE Dh 12,850,000

 

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

 

The above figures were provided by Mr Tariq Mostafa Ali Mohamed, Managing Director

 

 

BANKERS

 

National Bank of Abu Dhabi

Sheikh Khalifa Street

PO Box: 4

Abu Dhabi

Tel: (971-2) 6345777 / 6327113 / 6335262

Fax: (971-2) 6336078

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

Date of transaction                                November 2013

Credit amount                                       100,000

Amount overdue                                    0

Payment terms                                      90 days

Payment Method                                   Letters of Credit

Paying record                                       No Complaints

Currency                                               Euros

 

 

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 company is considered to be a fair trade risk.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.64.96

UK Pound

1

Rs.99.55

Euro

1

Rs.71.64

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAS

 

 

Report Prepared by :

TPT

 

               

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.