MIRA INFORM REPORT

 

 

Report No. :

342854

Report Date :

30.09.2015

 

IDENTIFICATION DETAILS

 

Name :

SARAOGI GLOBAL PTE. LTD.

 

 

Registered Office :

141, Cecil Street, 07-05, Tung Ann Association Building, 069541

 

 

Country :

Singapore

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

21.06.2012

 

 

Com. Reg. No.:

201215352-Z

 

 

Legal Form :

Private Limited

 

 

Line of Business :

Subject is engaged in trading of coals, logistic services

 

 

No. of Employee :

1 [2015]

 

 

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 :

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 – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

Singapore

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

SINGAPORE - ECONOMIC OVERVIEW

 

Singapore has a highly developed and successful free-market economy. It enjoys a remarkably open and corruption-free environment, stable prices, and a per capita GDP higher than that of most developed countries. Unemployment is very low. The economy depends heavily on exports, particularly of consumer electronics, information technology products, medical and optical devices, pharmaceuticals, and on its vibrant transportation, business, and financial services sectors. The economy contracted 0.6% in 2009 as a result of the global financial crisis, but has continued to grow since 2010 on the strength of renewed exports. Growth in 2014 was slower at 2.9%, largely a result of soft demand for exports amid a sluggish global economy and weak growth in Singapore’s manufacturing sector. The government is attempting to restructure Singapore’s economy by weaning its dependence on foreign labor, addressing weak productivity, and increasing Singaporean wages. Singapore has attracted major investments in pharmaceuticals and medical technology production and will continue efforts to strengthen its position as Southeast Asia's leading financial and high-tech hub. Singapore is a member of the 12-nation Trans-Pacific Partnership free trade negotiations, the Regional Comprehensive Economic Partnership negotiations with the nine other ASEAN members plus Australia, China, India, Japan, South Korea and New Zealand, and in 2015, Singapore will form, with the other ASEAN members, the ASEAN Economic Community.

 

Source : CIA

 

 


 

EXECUTIVE SUMMARY

 

 

REGISTRATION NO.

:

201215352-Z

COMPANY NAME

:

SARAOGI GLOBAL PTE. LTD.

FORMER NAME

:

N/A

INCORPORATION DATE

:

21/06/2012

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED

LISTED STATUS

:

NO

REGISTERED ADDRESS

:

141, CECIL STREET, 07-05, TUNG ANN ASSOCIATION BUILDING, 069541, SINGAPORE.

BUSINESS ADDRESS

:

141, CECIL STREET, 07-05, TUNG ANN ASSOCIATION BUILDING, 069541, SINGAPORE.

TEL.NO.

:

65-62219783

FAX.NO.

:

65-62219793

CONTACT PERSON

:

N/A

PRINCIPAL ACTIVITY

:

TRADING OF COALS, LOGISTIC SERVICES

ISSUED AND PAID UP CAPITAL

:

51,000.00 ORDINARY SHARE, OF A VALUE OF USD 51,000.00

SALES

:

USD 42,895,332 [2014]

NET WORTH

:

USD 795,716 [2014]

STAFF STRENGTH

:

1 [2015]

LITIGATION

:

CLEAR

FINANCIAL CONDITION

:

FAIR

PAYMENT

:

AVERAGE

MANAGEMENT CAPABILITY

:

AVERAGE

COMMERCIAL RISK

:

N/A

CURRENCY EXPOSURE

:

N/A

GENERAL REPUTATION

:

SATISFACTORY

INDUSTRY OUTLOOK

:

AVERAGE GROWTH

 

 

HISTORY / BACKGROUND

 

The Subject is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the Subject must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the Subject is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the Subject is insolvent. The Subject is governed by the Companies Act and the company must file its annual returns, together with its financial statements with the Registrar of Companies.

The Subject is principally engaged in the (as a / as an) trading of coals, logistic services.

The immediate holding company of the Subject is SARAOGI UDYOG PRIVATE LIMITED, a company incorporated in INDIA.

 

Share Capital History

 

Date

Issue & Paid Up Capital

29/09/2015

USD 51,000.00

 

The major shareholder(s) of the Subject are shown as follows :


Current Shareholder(s) :

Name

Address

IC/PP/Loc No

Shareholding

(%)

SARAOGI UDYOG PRIVATE LIMITED

21, HEMANTA BASU SARANI, SUITE 212, KOLKATA 700001, 2ND FLOOR, INDIA.

T12UF2265

51,000.00

100.00

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

------

51,000.00

100.00

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

=====

+ Also Director

 

 

DIRECTORS


DIRECTOR 1

 

Name Of Subject

:

MR. ANIL KUMAR SARAOGI

Address

:

DL-20, SECTOR-II, SALT LAKE CITY, KOLKATA, 700091, INDIA.

IC / PP No

:

G5430058

Nationality

:

INDIAN

Date of Appointment

:

21/06/2012

 

DIRECTOR 2

 

Name Of Subject

:

RISHABH KUMAR SARAOGI

Address

:

DL-20, SECTOR-II, SALT LAKE CITY, KOLKATA, 700091, INDIA.

IC / PP No

:

H5923549

Nationality

:

INDIAN

Date of Appointment

:

21/06/2012

 

DIRECTOR 3

 

Name Of Subject

:

PERMINDRA MOHAN JAUHAR

Address

:

352, ANG MO KIO STREET 32, 08-133, 560352, SINGAPORE.

IC / PP No

:

S263478I

Nationality

:

SINGAPOREAN

Date of Appointment

:

21/06/2012



MANAGEMENT


No data found in our databank.

 

AUDITOR

 

Auditor

:

S. RENGANATHAN & CO.

Auditor' Address

:

N/A

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

SHIV RAJ KAPUR

IC / PP No

:

S2640515G

Address

:

122, SIMEI STREET 1, 11-436, 520122, SINGAPORE.

 

 

BANKING


No Banker found in our databank.

 

ENCUMBRANCE (S)


No encumbrance was found in our databank at the time of investigation.

 

 

LITIGATION CHECK AGAINST SUBJECT


* A check has been conducted in our databank againt the Subject whether the subject has been involved in any litigation.

No legal action was found in our databank.

No winding up petition was found in our databank.

 

PAYMENT RECORD

 

 

SOURCES OF RAW MATERIALS:

Local

:

N/A

Overseas

:

N/A


The staff from the registered office refused to disclose the Subject's suppliers.

The Subject refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :

OVERALL PAYMENT HABIT

Prompt 0-30 Days

[

]

Good 31-60 Days

[

]

Average 61-90 Days

[

X

]

Fair 91-120 Days

[

]

Poor >120 Days

[

]

 

 

CLIENTELE

 

Local

:

N/A

Overseas

:

N/A


The staff from the registered office refused to disclose the Subject's clientele information.

 

 

OPERATIONS

 

Goods Traded

:

COALS

Services

:

LOGISTIC

 

Total Number of Employees:

YEAR

2015

GROUP

N/A

COMPANY

1

 

Branch

:

NO

Other Information:


The Subject is principally engaged in the (as a / as an) trading of coals, logistic services.

The staff from the registered office refused to disclose the Subject's operation information.

 

CURRENT INVESTIGATION

 

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client

:

N/A

Current Telephone Number

:

65-62219783

Match

:

N/A

Address Provided by Client

:

141, CECIL STREET, 07-05, TUNG ANN ASSOCIATION BUILDING,069541,SINGAPORE

Current Address

:

141, CECIL STREET, 07-05, TUNG ANN ASSOCIATION BUILDING, 069541, SINGAPORE.

Match

:

YES

 

Other Investigations


We contacted one of the staff from the registered office and she provided some information.

The Subject refused to disclose its bankers.


FINANCIAL ANALYSIS

 

Profitability

Turnover

:

Increased

[

433.69%

]

Profit/(Loss) Before Tax

:

Increased

[

394.36%

]

Return on Shareholder Funds

:

Favourable

[

76.95%

]

Return on Net Assets

:

Favourable

[

111.61%

]

The increase in turnover could be due to the Subject adopting an aggressive marketing strategy.The higher profit could be attributed to the increase in turnover. Generally the Subject was profitable. The favourable return on shareholders' funds and return on net assets indicate that the Subject's management was efficient in utilising the assets to generate returns.

Working Capital Control

Stock Ratio

:

Nil

[

0 Days

]

Debtor Ratio

:

Acceptable

[

64 Days

]

Creditors Ratio

:

Unfavourable

[

78 Days

]

As the Subject is a service oriented company, the Subject does not need to keep stocks. The Subject's management was quite efficient in handling its debtors. The Subject's debtors days were at an acceptable range, thus the risk of its debts turning bad was minimised. The unfavourable creditors' ratio could be due to the Subject taking advantage of the credit granted by its suppliers. However this may affect the goodwill between the Subject and its suppliers and the Subject may inadvertently have to pay more for its future supplies.

Liquidity

Liquid Ratio

:

Favourable

[

1.09 Times

]

Current Ratio

:

Unfavourable

[

1.09 Times

]

A minimum liquid ratio of 1 should be maintained by the Subject in order to assure its creditors of its ability to meet short term obligations and the Subject was in a good liquidity position. Thus, we believe the Subject is able to meet all its short term obligations as and when they fall due.

Solvency

Interest Cover

:

Acceptable

[

5.10 Times

]

Gearing Ratio

:

Favourable

[

0.00 Times

]

The Subject's interest cover was slightly low. If there is no sharp fall in its profit or sudden increase in the interest rates, we believe the Subject is able to generate sufficient income to service its interest and repay the loans. The Subject had no gearing and hence it had virtually no financial risk. The Subject was financed by its shareholders' funds and internally generated fund. During the economic downturn, the Subject, having a zero gearing, will be able to compete better than those which are highly geared in the same industry.

Overall Assessment :

Generally, the Subject's performance has improved with higher turnover and profit. The Subject was in good liquidity position with its total current liabilities well covered by its total current assets. With its current net assets, the Subject should be able to repay its short term obligations. The Subject had an acceptable interest cover. If there is no sudden sharp increase in interest rate or fall in the Subject's profit, we do believe the Subject is able to generate sufficient cash flow to service its interest payment. The Subject was a zero gearing company, it was solely dependant on its shareholders to provide funds to finance its business. The Subject has good chance of getting loans, if the needs arises.

Overall financial condition of the Subject : FAIR

 

 

SINGAPORE ECONOMIC / INDUSTRY OUTLOOK

 

Major Economic Indicators :

2010

2011

2012

2013

2014

 

Population (Million)

5.08

5.18

5.31

5.40

5.47

Gross Domestic Products ( % )

14.5

4.9

1.3

3.7

(3.5)

Consumer Price Index

2.8

5.2

4.6

2.4

2.4

Total Imports (Million)

423,221.8

459,655.1

474,554.0

466,762.0

463,779.1

Total Exports (Million)

478,840.7

514,741.2

510,329.0

513,391.0

518,922.7

 

Unemployment Rate (%)

2.2

2.1

2.0

1.9

1.9

Tourist Arrival (Million)

11.64

13.17

14.49

15.46

15.01

Hotel Occupancy Rate (%)

85.6

86.5

86.4

86.3

85.5

Cellular Phone Subscriber (Million)

1.43

1.50

1.52

1.97

1.98

 

Registration of New Companies (No.)

29,798

32,317

31,892

37,288

41,589

Registration of New Companies (%)

12.8

8.5

(1.3)

9.8

11.5

Liquidation of Companies (No.)

15,126

19,005

17,218

17,369

18,767

Liquidation of Companies (%)

(32.5)

25.6

9.4

(5.3)

8.0

 

Registration of New Businesses (No.)

23,978

23,494

24,788

22,893

35,773

Registration of New Businesses (%)

(10.78)

2.02

5.51

1.70

56.30

Liquidation of Businesses (No.)

24,211

23,005

22,489

22,598

22,098

Liquidation of Businesses (%)

2.8

(5)

(2.2)

0.5

(2.2)

 

Bankruptcy Orders (No.)

1,537

1,527

1,748

1,992

1,757

Bankruptcy Orders (%)

(25.3)

(0.7)

14.5

14.0

(11.8)

Bankruptcy Discharges (No.)

2,252

1,391

1,881

2,584

3,546

Bankruptcy Discharges (%)

(26.3)

(38.2)

35.2

37.4

37.2

 

INDUSTRIES ( % of Growth ) :

Agriculture

Production of Principal Crops

(0.48)

4.25

3.64

-

Fish Supply & Wholesale

(10.5)

12.10

(0.5)

-

2.80

 

Manufacturing *

92.8

100.0

100.3

102.0

Food, Beverages & Tobacco

96.4

100.0

103.5

103.5

105.0

Textiles

122.1

100.0

104.0

87.1

74.9

Wearing Apparel

123.3

100.0

92.1

77.8

49.5

Leather Products & Footwear

81.8

100.0

98.6

109.8

95.9

Wood & Wood Products

104.0

100.0

95.5

107.4

112.0

Paper & Paper Products

106.1

100.0

97.4

103.2

103.4

Printing & Media

103.5

100.0

93.0

86.1

80.3

Crude Oil Refineries

95.6

100.0

99.4

93.5

85.6

Chemical & Chemical Products

97.6

100.0

100.5

104.1

114.0

Pharmaceutical Products

75.3

100.0

109.7

107.2

115.7

Rubber & Plastic Products

112.3

100.0

96.5

92.9

92.8

Non-metallic Mineral

92.5

100.0

98.2

97.6

82.2

Basic Metals

102.2

100.0

90.6

76.5

98.3

Fabricated Metal Products

103.6

100.0

104.3

105.1

105.1

Machinery & Equipment

78.5

100.0

112.9

114.5

124.0

Electrical Machinery

124.1

100.0

99.3

108.5

121.3

Electronic Components

113.6

100.0

90.6

94.3

95.0

Transport Equipment

94.0

100.0

106.3

107.5

103.2

 

Construction

14.20

20.50

28.70

-

22.00

Real Estate

21.3

25.4

31.9

-

145.1

 

Services

Electricity, Gas & Water

4.00

7.00

6.30

-

Transport, Storage & Communication

12.80

7.40

5.30

-

14.20

Finance & Insurance

(0.4)

8.90

0.50

-

6.00

Government Services

9.70

6.90

6.00

-

Education Services

(0.9)

(1.4)

0.30

-

5.98

 

* Based on Index of Industrial Production (2011 = 100)




 

INDUSTRY ANALYSIS

 

INDUSTRY :

TRADING

The wholesale and retail trade sectors have expanded by 2.0% in the third quarter of 2014, extending the 1.8 per cent growth in the previous quarter. In 2013, the wholesale and retail sector expanded by 5.0%, after declining by 1.4% the year before. Growth of the sector was driven by the wholesale trade segment.

The domestic wholesale trade index has increased by 3.2% in the fourth quarter of 2013, moderating from the 6.6% growth in the previous quarter. The slower growth was due to a decline in the sales of furniture and household equipment (-12%) and petroleum and petroleum products (-0.6%). For the full year, the domestic wholesale trade index grew by 5.2% reversing the 2.2% decline in 2012. On the other hand, the foreign wholesale trade index has increased by a slower pace of 5.6% in the fourth quarter, compared to the 7.7% expansion in the preceding quarter. The slowdown was due to a fall in the sales of telecommunication equipment and computer (-3.8%) and petroleum and petroleum products (-2.5%). For the full year, the growth of the foreign wholesale trade index moderated slightly to 8.6% from 9.1% in the previous year.

In the fourth quarter of 2013, retail sales volume fell by 6.2%, extending the 5.6% decline in the previous quarter. Excluding motor vehicles, retail sales volume increased by 0.4%, a slower pace of expansion as compared to the 1.6% gain in the preceding quarter. The sales volume of motor vehicles fell by 33% in the fourth quarter of 2013, extending the 32% decline in the previous quarter. Meanwhile, the sales of several discretionary items also fell in the fourth quarter of 2013. For instance, the sales of telecommunications apparatus and computers fell by 12%, while the sales of furniture and household equipment declined by 5.4%.

For the full year, retail sales volume contracted by 4.3%, a reversal from the 1.3% expansion in 2012. Excluding motor vehicle sales, the retail sales volume grew by 1.1% in 2013, slower than the 1.7% increase in 2012. Watches and jewellery recorded the largest increase (11%) in sales in 2013, followed by optical goods and book (3%) and medical goods and toiletries (3%). By contrast, the sales of telecommunications apparatus and computer (-7.3%), furniture and household equipment (-4.2%) and petrol service stations (-1.4) declined in 2013.

OVERALL INDUSTRY OUTLOOK : AVERAGE GROWTH



CREDIT RISK EVALUATION & RECOMMENDATION

 


Incorporated in 2012, the Subject is a Private Limited company, focusing on trading of coals, logistic services. The Subject has been in business for less than 5 years and it has slowly been building up contact with its clients while competing in the industry. However, it has yet to enjoy a stable market shares as it need to compete many well established players in the same field. We noted that the issued and paid up capital of the Subject stands at USD 51,000. However, with a strong backing from its holding company, the Subject enjoys timely financial assistance should the needs arise.


Being a small company, the Subject's business operation is supported by 1 employees. Overall, we regard that the Subject's management capability is average. This indicates that the Subject has greater potential to improve its business performance and raising income for the Subject.


We noted that both the turnover and profits have increased compared to the previous year. The higher profit could be due to increase in turnover and better control over its operating costs. Based on the higher profitability, the Subject has generated a favourable return based on its existing shareholders' funds which indicated that the management was efficient in utilising its funds to generate income. The Subject is in good liquidity position with its current liabilities well covered by it current assets. Hence, it has sufficient working capital to meet its short term financial obligations. Being a zero geared company, the Subject virtually has no financial risk as it is mainly dependent on its internal funds to finance its business.


The Subject's payment habit is average. With its adequate working capital, the Subject should be able to pay its short term debts.


The industry shows an upward trend and this trend is very likely to sustain in the near terms. Hence, the Subject is expected to benefit from the favourable outlook of the industry.


Based on the above condition, we recommend credit be granted to the Subject promptly.

 



 

PROFIT AND LOSS ACCOUNT

 

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH SINGAPORE FINANCIAL REPORTING STANDARDS.

SARAOGI GLOBAL PTE. LTD.

 

Financial Year End

2014-03-31

2013-03-31

Months

12

12

Consolidated Account

Company

Company

Audited Account

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

Financial Type

FULL

FULL

Currency

USD

USD

TURNOVER

42,895,332

8,037,543

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

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

Total Turnover

42,895,332

8,037,543

Costs of Goods Sold

(42,025,613)

(7,358,505)

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

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

Gross Profit

869,719

679,038

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

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

PROFIT/(LOSS) FROM OPERATIONS

713,933

144,417

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

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

PROFIT/(LOSS) BEFORE TAXATION

713,933

144,417

Taxation

(101,602)

(12,032)

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

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

PROFIT/(LOSS) AFTER TAXATION

612,331

132,385

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

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

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

As previously reported

132,385

-

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

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

As restated

132,385

-

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

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

PROFIT AVAILABLE FOR APPROPRIATIONS

744,716

132,385

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

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

RETAINED PROFIT/(LOSS) CARRIED FORWARD

744,716

132,385

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

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

INTEREST EXPENSE (as per notes to P&L)

Others

174,171

30,819

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

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

174,171

30,819

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

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

 

 

 

BALANCE SHEET

 

SARAOGI GLOBAL PTE. LTD.

 

Stocks

-

3,654,000

Trade debtors

7,546,947

36,352

Other debtors, deposits & prepayments

6,848

16,964

Cash & bank balances

2,363,085

4,253,955

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

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

TOTAL CURRENT ASSETS

9,916,880

7,961,271

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

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

TOTAL ASSET

9,916,880

7,961,271

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

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

CURRENT LIABILITIES

Trade creditors

8,971,792

6,938,326

Other creditors & accruals

35,738

-

Short term borrowings/Term loans

-

827,528

Provision for taxation

113,634

12,032

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

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

TOTAL CURRENT LIABILITIES

9,121,164

7,777,886

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

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

NET CURRENT ASSETS/(LIABILITIES)

795,716

183,385

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

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

TOTAL NET ASSETS

795,716

183,385

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

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

SHARE CAPITAL

Ordinary share capital

51,000

51,000

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

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

TOTAL SHARE CAPITAL

51,000

51,000

Retained profit/(loss) carried forward

744,716

132,385

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

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

TOTAL RESERVES

744,716

132,385

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

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

SHAREHOLDERS' FUNDS/EQUITY

795,716

183,385

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

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

795,716

183,385

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

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

 

 

FINANCIAL RATIO

 

SARAOGI GLOBAL PTE. LTD.

 

TYPES OF FUNDS

Cash

2,363,085

4,253,955

Net Liquid Funds

2,363,085

4,253,955

Net Liquid Assets

795,716

(3,470,615)

Net Current Assets/(Liabilities)

795,716

183,385

Net Tangible Assets

795,716

183,385

Net Monetary Assets

795,716

(3,470,615)

PROFIT & LOSS ITEMS

Earnings Before Interest & Tax (EBIT)

888,104

175,236

Earnings Before Interest, Taxes, Depreciation And Amortization (EBITDA)

888,104

175,236

BALANCE SHEET ITEMS

Total Borrowings

0

827,528

Total Liabilities

9,121,164

7,777,886

Total Assets

9,916,880

7,961,271

Net Assets

795,716

183,385

Net Assets Backing

795,716

183,385

Shareholders' Funds

795,716

183,385

Total Share Capital

51,000

51,000

Total Reserves

744,716

132,385

LIQUIDITY (Times)

Cash Ratio

0.26

0.55

Liquid Ratio

1.09

0.55

Current Ratio

1.09

1.02

WORKING CAPITAL CONTROL (Days)

Stock Ratio

0

166

Debtors Ratio

64

2

Creditors Ratio

78

344

SOLVENCY RATIOS (Times)

Gearing Ratio

0

4.51

Liabilities Ratio

11.46

42.41

Times Interest Earned Ratio

5.10

5.69

Assets Backing Ratio

15.60

3.60

PERFORMANCE RATIO (%)

Operating Profit Margin

1.66

1.80

Net Profit Margin

1.43

1.65

Return On Net Assets

111.61

95.56

Return On Capital Employed

111.61

95.56

Return On Shareholders' Funds/Equity

76.95

72.19

Dividend Pay Out Ratio (Times)

0

0

NOTES TO ACCOUNTS

Contingent Liabilities

0

0

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.66.18

UK Pound

1

Rs.100.46

Euro

1

Rs.74.61

 

INFORMATION DETAILS

 

Analysis Done by :

KAS

 

 

Report Prepared by :

ASH

 

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

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NB

                                       New Business

 

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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.