MIRA INFORM REPORT

Report No. :	507421.2
Report Date :	07.05.2018

IDENTIFICATION DETAILS

Name :	LIGHT CENTRE
Registered Office :	D.N. Singh Road, Bhagalpur – 812001, Bihar
Tel. No.:	91-641-2421470
Country :	India
Financials (as on) :	31.03.2017 (Details financial) 31.03.2018 (Sales Turnover)
Year of Establishment :	1965
Capital Investment / Paid-up Capital :	INR 12.133 Million
IEC No.: [Import-Export Code No.]	Not Applicable (As informed by the management that firm does not have export and import)
GSTN : [Goods & Service Tax Registration No.]	10AGMPK3709Q1Z5
TIN No.:	10520301065
CST No.:	10520301162
PAN No.: [Permanent Account No.]	AGMPK3709Q
Legal Form :	Sole Proprietary Concern
Line of Business :	Trader and distributor of electronic goods. [Confirmed by management]
No. of Employees :	11 (Approximately)

RATING & COMMENTS

(Mira Inform has adopted New Rating mechanism w.e.f. 23^rd January 2017)

MIRA’s Rating :

A

Credit Rating	Explanation	Rating Comments
A	Acceptable Risk	Business dealings permissible with moderate risk of default

Maximum Credit Limit :	USD 35000 IN INR 2338717.50
Status :	Satisfactory
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is a proprietary concern established in the year 1965. It is a trader and distributor of electronic goods. Mr. Rakesh Kumar (Proprietor) has claimed that the concern has achieved sales turnover of INR 160.000 million for the FY 2018. As per the financial of 2017, the concern has achieved revenue of INR 144.860 from its operations along with average net profit margin of 3.12%. The concern possesses satisfactory financial position marked by adequate capital base along with comfortable debt balance sheet profile. Payment seems to be slow but correct. In view of aforesaid, the concern can be considered for business dealings at usual trade terms and condition. NOTE: Site visit report will be sent in due course.

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

Country Name	Previous Rating (30.09.2017)	Current Rating (31.12.2017)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low Risk	A2
Moderately Low Risk	B1
Moderate Risk	B2
Moderately High Risk	C1
High Risk	C2
Very High Risk	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 31-03-2018.

BIFR (Board for Industrial & Financial Reconstruction) LISTING STATUS

Subject’s name is not listed as a Sick Unit in the publicly available BIFR (Board for Industrial & Financial Reconstruction) list as of 07.05.2018

IBBI (Insolvency and Bankruptcy Board of India) LISTING STATUS

Subject’s name is not listed in the publicly available IBBI (Insolvency and Bankruptcy Board of India) list as of report date.

INFORMATION PARTED BY

Name :	Mr. Rakesh Kumar
Designation :	Proprietor
Contact No.:	91-9431213928
Date :	03.05.2018

LOCATIONS

Registered Office / Warehouse :	D.N. Singh Road, Bhagalpur – 812001, Bihar, India
Tel. No.:	91-641-2421470
Mobile No.:	91-9431213928 (Mr. Rakesh Kumar)
Fax No.:	Not Available
E-Mail :	light-centre11@rediffmail.com
Location :	Owned
Locality :	Commercial

SOLE PROPRIETOR

Name :	Mr. Rakesh Kumar
Designation :	Proprietor
Qualification :	B. Com

BUSINESS DETAILS

Line of Business :	Trader and distributor of electronic goods. [Confirmed by management]
Products :	Electronic Goods
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :	Not Available
Imports :	Not Available
Terms :	Not Divulged

GENERAL INFORMATION

Suppliers :

Reference :	Not Divulged
Name of the Person :	--
Contact No.:	--
Since How Long Known :	--
Maximum Limit Dealt :	--
Experience :	--
Remark :	--

Customers :

Reference :	Shree Ganesh Electricals
Name of the Person :	--
Contact No.:	--
Since How Long Known :	--
Maximum Limit Dealt :	--
Experience :	--
Remark :	--

• Durga Electricals

No. of Employees :

11 (Approximately)

Bankers :

Banker Name :	State Bank of India
Branch :	Bhagalpur – 812001, Bihar, India
Person Name (With Designation) :	--
Contact Number :	91-8969326601 (Continuously Ringing)
Name of Account Holder :	--
Account Number :	--
Account Since (Date/Year of Account Opening) :	--
Average Balance Maintained :	--
Credit Facilities Enjoyed (CC/OD/Term Loan) :	--
Account Operation :	--
Remark :	--

• UCO Bank, Bhagalpur, Bihar, India

Auditors :
Name :	P. D. Rungta and Company Chartered Accountants
Address :	Bihar, India
Collaborators :	Not Available
Membership :	Not Available
Sister Concern :	--

CAPITAL STRUCTURE

AS ON 31.03.2017

Capital Investment :
Owned :	INR 12.133 Million
Borrowed :	--
Total :	INR 12.133 Million

FINANCIAL DATA

[all figures are INR Million]

Particulars	31.03.2018	31.03.2017	31.03.2016
Sales Turnover (Approximately)	160.000	140.000	120.000
	[Due to business growth]

The above information has been parted by Mr. Rakesh Kumar (Proprietor)

Note: Sole Proprietary and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry Records.

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2017
EQUITY AND LIABILITIES
1] Share Capital		12.133
2] Share Application Money		0.000
3] Reserves & Surplus		0.000
4] (Accumulated Losses)		0.000
NETWORTH		12.133
LOAN FUNDS
1] Secured Loans		0.640
2] Unsecured Loans		1.750
TOTAL BORROWING		2.390
DEFERRED TAX LIABILITIES		0.000
TOTAL		14.523
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		4.280
Capital work-in-progress		0.000
INVESTMENT		1.599
DEFERREX TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	3.661
	Sundry Debtors	14.394
	Cash & Bank Balances	4.662
	Other Current Assets	0.975
	Loans & Advances	0.000
Total Current Assets		23.692
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	14.892
	Other Current Liabilities	0.156
	Provisions	0.000
Total Current Liabilities		15.048
Net Current Assets		8.644
MISCELLANEOUS EXPENSES		0.000
TOTAL		14.523

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2017
	SALES
	Income	144.859
	Other Income	9.996
	TOTAL	154.855
Less	EXPENSES
	Cost of Materials Consumed	145.284
	Purchases of Stock-in-Trade	0.000
	Freight Charges	0.045
	Electric Charges	0.034
	Generator Expenses	0.054
	Rent (Shop and Godown	0.093
	Repairs and Maintenance (Shop	0.093
	Repairing / Servicing Charges	0.119
	Salary / Supervision/ Bonus	1.542
	Insurance (Vehicles)	0.028
	Staff Welfare	0.007
	Entertainment (Shop Expenses)	0.077
	Sales Promotion	1.671
	Advertisement	0.032
	Commission paid	0.678
	Legal Expenses	0.002
	Traveling and Conveyance	0.055
	Telephone Expenses	0.031
	Professional tax	0.001
	Municipal Tax	0.003
	Trade Licence	0.003
	Festival Expenses	0.007
	Other expenses	0.099
	TOTAL	149.958
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION	4.897
Less/ Add	DEPRECIATION/ AMORTISATION	0.373
	PROFIT/ (LOSS) BEFORE TAX	4.524

KEY RATIOS

EFFICIENCY RATIOS

PARTICULARS	31.03.2017
Average Collection Days (Sundry Debtors / Income * 365 Days)	36.27
Account Receivables Turnover (Income / Sundry Debtors)	10.06
Average Payment Days (Sundry Creditors / Purchases * 365 Days)	0.00

LEVERAGE RATIOS

PARTICULARS	31.03.2017
Debt Ratio ((Borrowing + Current Liabilities) / Total Assets)	0.59
Debt Equity Ratio (Total Liability / Networth)	0.20
Current Liabilities to Networth (Current Liabilities / Net Worth)	1.38
Fixed Assets to Networth (Net Fixed Assets / Networth)	0.35

PROFITABILITY RATIOS

PARTICULARS		31.03.2017
Net Profit Margin ((PAT / Sales) * 100)	%	3.12
Return on Total Assets ((PAT / Total Assets) * 100)	%	15.30
Return on Investment (ROI) ((PAT / Networth) * 100)	%	37.29

SOLVENCY RATIOS

PARTICULARS	31.03.2017
Current Ratio (Current Assets / Current Liabilities)	1.51
Quick Ratio ((Current Assets – Inventories) / Current Liabilities)	1.29
G-Score Ratio Financial (Networth / Total Assets)	0.41
G-Score Ratio Debt (Debts / Equity Capital)	0.20
G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities)	1.51

Total Liability = Short-term Debt + Long-term Debt + Current Maturities of Long-term debts

FINANCIAL ANALYSIS

[all figures are INR Million]

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2016	31.03.2017	31.03.2018
	INR In Million	INR In Million	INR In Million
Sales Turnover (Approximately)	120.000	140.000	160.000
		16.667	14.286

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	No
10	Date of Birth of Proprietor / Partners / Directors	No
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)	No
16	No. of employees	Yes
17	Details of sister concerns	No
18	Major suppliers	No
19	Major customers	Yes
20	Banking Details	Yes
21	Banking facility details	No
22	Conduct of the banking account	--
23	Financials, if provided	Yes
24	Capital in the business	No
25	Last accounts filed at ROC, if applicable	No
26	Turnover of firm for last three years	Yes
27	Reasons for variation <> 20%	Yes
28	Estimation for coming financial year	No
29	Profitability for last one year	Yes
30	Major shareholders, if available	No
31	External Agency Rating, if available	No
32	Litigations that the firm/promoter involved in	--
33	Market information	--
34	Payments terms	No
35	Negative Reporting by Auditors in the Annual Report	No

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 records 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 records 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	INR
US Dollar	1	INR 66.77
UK Pound	1	INR 90.58
Euro	1	INR 79.97

INFORMATION DETAILS

Information Gathered by :	SHR
Analysis Done by :	NYT
Report Prepared by :	KVT

SCORE FACTORS

DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES

RATING EXPLANATIONS

Credit Rating	Explanation	Rating Comments
A++	Minimum Risk	Business dealings permissible with minimum risk of default
A+	Low Risk	Business dealings permissible with low risk of default
A	Acceptable Risk	Business dealings permissible with moderate risk of default
B	Medium Risk	Business dealings permissible on a regular monitoring basis
C	Medium High Risk	Business dealings permissible preferably on secured basis
D	High Risk	Business dealing not recommended or on secured terms only
NB	New Business	No recommendation can be done due to business in infancy stage
NT	No Trace	No recommendation can be done as the business is not traceable

NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.

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 are as follows:

· Financial condition covering various ratios

· Company background and operations size

· Promoters / Management background

· Payment record

· Litigation against the subject

· Industry scenario / competitor analysis

· Supplier / Customer / Banker review (wherever available)

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.