MIRA INFORM REPORT

Report No. :	510918
Report Date :	25.05.2018

IDENTIFICATION DETAILS

Name :	VISUAL TECHNOLOGIES INDIA PRIVATE LIMITED (SINGAPORE BRANCH)
Registered Office :	9, Kallang Place, 02 - 08a, 339154
Country :	Singapore
Financials (as on) :	31.03.2017
Date of Incorporation :	21.06.2011
Com. Reg. No.:	T11FC0097C
Legal Form :	Foreign
Line of Business :	The Subject is engaged in the trading of audio video products.
No. of Employees :	Not Available

RATING & COMMENTS

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

MIRA’s Rating :

B

Credit Rating	Explanation	Rating Comments
B	Medium Risk	Business dealings permissible on a regular monitoring basis

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

Country Name	Previous Rating (30.09.2017)	Current Rating (31.12.2017)
Singapore	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

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 electronics, petroleum products, chemicals, medical and optical devices, pharmaceuticals, and on Singapore’s 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. Growth from 2012-2017 was slower than during the previous decade, a result of slowing structural growth - as Singapore reached high-income levels - and soft global demand for exports. Growth recovered to 3.6% in 2017 with a strengthening global economy.

The government is attempting to restructure Singapore’s economy to reduce its dependence on foreign labor, raise productivity growth, and increase wages amid slowing labor force growth and an aging population. Singapore has attracted major investments in advanced manufacturing, pharmaceuticals, and medical technology production and will continue efforts to strengthen its position as Southeast Asia's leading financial and technology hub. Singapore is a signatory of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), and a party to the Regional Comprehensive Economic Partnership (RCEP) negotiations with nine other ASEAN members plus Australia, China, India, Japan, South Korea, and New Zealand. In 2015, Singapore formed, with the other ASEAN members, the ASEAN Economic Community.

Source : CIA

EXECUTIVE SUMMARY

REGISTRATION NO.	:	T11FC0097C
COMPANY NAME	:	VISUAL TECHNOLOGIES INDIA PRIVATE LIMITED (SINGAPORE BRANCH)
FORMER NAME	:	N/A
INCORPORATION DATE	:	21/06/2011
COMPANY STATUS	:	EXIST
LEGAL FORM	:	FOREIGN
LISTED STATUS	:	NO
REGISTERED ADDRESS	:	9, KALLANG PLACE, 02 - 08A, 339154, SINGAPORE.
BUSINESS ADDRESS	:	9, KALLANG PLACE, 02 - 08A,, 339154, SINGAPORE.
TEL.NO.	:	65-62919162
FAX.NO.	:	N/A
CONTACT PERSON	:	RADHEY SHAM AGARWAL ( DIRECTOR )
PRINCIPAL ACTIVITY	:	TRADING OF AUDIO VIDEO PRODUCTS
SALES	:	USD 5,068,894 [2017]
NET WORTH	:	USD 294,502 [2017]
STAFF STRENGTH	:	N/A
LITIGATION	:	CLEAR
FINANCIAL CONDITION	:	FAIR
PAYMENT	:	SLOW BUT CORRECT
MANAGEMENT CAPABILITY	:	AVERAGE
COMMERCIAL RISK	:	N/A
CURRENCY EXPOSURE	:	N/A
GENERAL REPUTATION	:	SATISFACTORY
INDUSTRY OUTLOOK	:	MARGINAL GROWTH

HISTORY / BACKGROUND

The Subject is principally engaged in the (as a / as an) trading of audio video products.

Former Address(es)

Address	As At Date
100, JALAN SULTAN , 09-06, SULTAN PLAZA, 199001	N/A

No shareholders was found in our databank at the time of investigation

DIRECTORS

DIRECTOR 1

Name Of Subject	:	RADHEY SHAM AGARWAL
Address	:	A-48, SHIVAM APARTMENTS, VIKAS PURI, DELHI, 110018, INDIA.
IC / PP No	:	E4716015
Nationality	:	INDIAN
Date of Appointment	:	01/08/2016

INTEREST CHECK

Interest in companies	:	see below
Interest in business	:	none in our databank
Former interest	:	none in our databank

INTEREST IN COMPANY

No	Local No	Company	Designation	App Date	Shareholding		Profit/(loss) After Tax	Financial Year	Status	As At
					No.	%
1	T11FC0097C	VISUAL TECHNOLOGIES INDIA PRIVATE LIMITED (SINGAPORE BRANCH)	Director	01/08/2016	0.00	-	USD115,482.00	2017	-	24/05/2018

DIRECTOR 2

Name Of Subject	:	SATISH KUMAR AGGARWAL
Address	:	C-156, MAHENDRU ENCLAVE, G.T. KARNAL ROAD, DELHI, 110033, INDIA.
IC / PP No	:	Z2011033
Nationality	:	INDIAN
Date of Appointment	:	21/06/2011

INTEREST CHECK

Interest in companies	:	see below
Interest in business	:	none in our databank
Former interest	:	none in our databank

INTEREST IN COMPANY

No	Local No	Company	Designation	App Date	Shareholding		Profit/(loss) After Tax	Financial Year	Status	As At
					No.	%
1	T11FC0097C	VISUAL TECHNOLOGIES INDIA PRIVATE LIMITED (SINGAPORE BRANCH)	Director	21/06/2011	0.00	-	USD115,482.00	2017	-	24/05/2018

MANAGEMENT

1)	Name of Subject	:	RADHEY SHAM AGARWAL
	Position	:	DIRECTOR

AUDITOR

No Auditor found in our databank

COMPANY SECRETARIES

1)	Company Secretary	:	PACKIAM PAUL DONALD DURAI
	IC / PP No	:	S1340607C
	Address	:	173, BUKIT BATOK WEST AVENUE 8, 02-327, 650173, SINGAPORE.
	Remarks	:	AUTHORISED REPRESENTATIVE

2)	Company Secretary	:	VISUVASAM SIMON
	IC / PP No	:	G5851993L
	Address	:	35, JALAN BESAR, 208800, SINGAPORE.
	Remarks	:	AUTHORISED REPRESENTATIVE

BANKING

No Banker found in our databank.

ENCUMBRANCE (S)

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

CIVIL LITIGATION CHECK - SUBJECT COMPANY AS A DEFENDANT

* A check has been conducted in our databank against 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	[	]
Fair 91-120 Days	[	X	]	Poor >120 Days	[	]

CLIENTELE

Local	:	N/A
Overseas	:	N/A

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

OPERATIONS

Goods Traded

:

AUDIO VIDEO PRODUCTS

Branch

:

NO

Other Information:

The Subject is principally engaged in the (as a / as an) trading of audio video products.

Its mission is to provide prompt and first class quality service, products and commitment to the clients. And its vision is to be the leading Audio Visual solution provider in the region.

It is the Trusted Partner in Professional Audio Video Solutions provider.

CURRENT INVESTIGATION

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client	:	65 62919162
Current Telephone Number	:	65-62919162
Match	:	YES
Address Provided by Client	:	9 KALLANG PLACE, #02-08A 339154 SINGAPORE
Current Address	:	9, KALLANG PLACE, 02 - 08A,, 339154, SINGAPORE.
Match	:	YES
We have contacted the Subject's Company Secretary for the latest financial accounts. However they have rejected our request in view of the confidentiality of the documents.

Other Investigations

We contacted one of the staff from the Subject's registered office and she only provided limited information.

She refused to disclose the fax number and number of employees.

The company name found in Singapore is VISUAL TECHNOLOGIES INDIA PRIVATE LIMITED (SINGAPORE BRANCH), and not VISUAL TECHNOLOGIES INDIA PVT LTD.

FINANCIAL ANALYSIS

Profitability
Turnover	:	Erratic	[	2013 - 2017	]
Profit/(Loss) Before Tax	:	Decreased	[	2013 - 2017	]
Return on Shareholder Funds	:	Favourable	[	39.21%	]
Return on Net Assets	:	Favourable	[	41.99%	]
The fluctuating turnover reflects the fierce competition among the existing and new market players.The dip in profit could be due to the stiff market competition which reduced the Subject's profit margin. 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	:	Unfavourable	[	131 Days	]
Debtor Ratio	:	Favourable	[	54 Days	]
Creditors Ratio	:	Unfavourable	[	199 Days	]
The Subject could be incurring higher holding cost. As its capital was tied up in stocks, it could face liquidity problems. The favourable debtors' days could be due to the good credit control measures implemented by the Subject. 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	:	Unfavourable	[	0.45 Times	]
Current Ratio	:	Unfavourable	[	1.11 Times	]
A low liquid ratio means that the Subject may be facing working capital deficiency. If the Subject cannot obtain additional financing or injection of fresh capital, it may face difficulties in meeting its short term obligations.
Solvency
Interest Cover	:	Nil	[	0.00 Times	]
Gearing Ratio	:	Favourable	[	0.00 Times	]
The Subject's interest cover was nil as it did not pay any interest during the year. 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 :
The Subject recorded lower profits as its turnover showed a erratic trend. The Subject's management was unable to control its costs efficiently as its profit showed a downward trend. Due to its weak liquidity position, the Subject will be faced with problems in meeting all its short term obligations if no short term loan is obtained or additional capital injected into the Subject. The Subject did not make any interest payment during the year. The Subject was dependent on its shareholders' funds to finance its business needs. 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 :	2013	2014	2015	2016	2017*
Population (Million)	5.40	5.47	5.54	5.61	5.61
Gross Domestic Products ( % )	5.1	3.9	2.2	2.4	3.6
Consumer Price Index	2.4	1.0	(0.5)	(0.5)	0.6
Total Imports (Million)	466,762.0	463,779.1	407,767.9	398,372.0	403,300.0
Total Exports (Million)	513,391.0	518,922.7	476,285.4	468,552.0	466,900.0
Unemployment Rate (%)	1.9	1.9	1.9	2.1	-
Tourist Arrival (Million)	15.46	15.01	15.23	16.28	-
Hotel Occupancy Rate (%)	86.3	85.5	84.0	83.1	84.7
Cellular Phone Subscriber (Million)	1.97	1.98	1.99	-	-
Registration of New Companies (No.)	37,288	41,589	34,243	35,227	37,395
Registration of New Companies (%)	9.8	11.5	(17.7)	2.9	6.2
Liquidation of Companies (No.)	17,369	18,767	21,384	23,218	22,379
Liquidation of Companies (%)	(5.3)	8.0	13.9	8.6	(3.6)
Registration of New Businesses (No.)	22,893	35,773	28,480	27,120	22,148
Registration of New Businesses (%)	1.70	56.30	(20.39)	(4.78)	(18.33)
Liquidation of Businesses (No.)	22,598	22,098	26,116	35,866	24,344
Liquidation of Businesses (%)	0.5	(2.2)	18.2	37.3	(32.1)
Bankruptcy Orders (No.)	1,992	1,757	1,776	1,797	1,638
Bankruptcy Orders (%)	14.0	(11.8)	1.0	1.2	(8.9)
Bankruptcy Discharges (No.)	2,584	3,546	3,499	4,359	2,030
Bankruptcy Discharges (%)	37.4	37.2	(1.3)	24.6	(53.4)
INDUSTRIES ( % of Growth ) :
Agriculture
Production of Principal Crops	1.78	4.29	3.04	-	-
Fish Supply & Wholesale	(3.8)	(8.6)	(8.5)	(9.9)	-
Manufacturing #
Food, Beverages & Tobacco	97.9	99.4	100.0	103.7	110.3
Textiles	119.5	102.7	100.0	92.4	84.4
Wearing Apparel	334.1	212.6	100.0	83.4	88.2
Leather Products & Footwear	122.0	106.5	100.0	88.8	79.0
Wood & Wood Products	103.0	107.2	100.0	95.0	92.9
Paper & Paper Products	104.4	104.5	100.0	97.3	96.1
Printing & Media	113.8	105.968	100.0	85.1	73.1
Crude Oil Refineries	100.7	92.2	100.0	104.2	113.5
Chemical & Chemical Products	88.4	96.7	100.0	98.9	105.3
Pharmaceutical Products	101.421	109.4	100.0	113.8	96.0
Rubber & Plastic Products	109.497	109.2	100.0	91.4	93.7
Non-metallic Mineral	107.4	90.759	100.0	89.8	72.9
Basic Metals	77.2	99.3	100.0	106.2	108.3
Fabricated Metal Products	107.5	107.757	100.0	93.8	91.3
Machinery & Equipment	109.1	118.2	100.0	80.8	86.1
Electrical Machinery	87.4	97.871	100.0	101.5	111.7
Electronic Components	105.0	105.6	100.0	114.1	151.4
Transport Equipment	111.1	106.68	100.0	101.0	99.5
Construction	25.40	22.00	-	-	-
Real Estate	88.5	145.1	-	-	-
Services
Electricity, Gas & Water	6.70	6.50	-	-	-
Transport, Storage & Communication	9.80	14.20	-	-	-
Finance & Insurance	3.30	6.00	-	7.40	-
Government Services	6.50	6.30	-	-	-
Education Services	3.10	5.98	-	2.40	-
* Estimate / Preliminary
# Based on Index of Industrial Production (2015 = 100)

INDUSTRY ANALYSIS

INDUSTRY :	TRADING
According to the Ministry of Trade and Industry, the wholesale & retail trade sector expanded to 3.0% in the fourth quarter of 2017, moderating from the 3.3% growth in the previous quarter. The wholesale trade segment was boosted by an improvement in foreign wholesale sales volume, which more than offset the weakness in domestic wholesale sales volume. For the whole of 2017, the sector expanded by 2.3%, faster than the 1.0% growth in 2016. The improvement in growth can be attributed to the wholesale segment.
The domestic wholesale sales volume fell by 1.1% in the fourth quarter 2017, reversing the 2.0% growth in the preceding quarter. The poorer outturn was led by declines in the sales volume of household equipment & furniture (-27%) and general wholesale merchandise (-19%), which outweighed the increase in the sales volume of telecommunications & computers (20%). For the whole of 2017, the domestic wholesale trade index expanded by 1.0%, a turnaround from the 2.7% decline in 2016.
On the other hand, foreign wholesale sales volume rose to 6.2% in the fourth quarter 2017, a step-up from the 5.1% growth in the preceding quarter. Growth was driven by expansions in the sales of petroleum & petroleum-related products (11%t), telecommunications & computers (19%) and electronic components (16%). However, growth was partly offset by a 20% decline in the sales volume of metals, timber & construction materials. For the full year 2017, the foreign wholesale trade index rose by 3.6%, faster than the increase of 1.5% in the previous year.
Besides, retail sales volume rose by 2.1% in the fourth quarter 2017, improving from the 0.9% growth recorded in the third quarter. Growth was supported by improvements in both motor vehicle and non-motor vehicle sales volumes. While motor vehicle sales benefitted from an on-year increase in COE supply, growth in non-motor vehicle sales came on the back of an improvement in consumer sentiments. Notably, the sales volume of discretionary goods such as recreational goods, computer & telecommunication equipment and wearing apparel & footwear grew by 4.6%, 4.3 % and 3.1% respectively.
For the full year 2017, retail sales volume expanded by 1.3%, similar to the 1.5% growth recorded in 2016. Growth was driven by both motor vehicle sales and non-motor vehicle sales, which the former rising by 1.5% and the latter increasing by 1.3%. The rise in non-motor vehicle sales was underpinned by higher sales of discretionary goods. For instance, the sales volume of recreational goods (3.9%), watches & jewellery (2.4%), computer & telecommunications equipment (1.7%) and wearing apparel & footwear (1.5%) improved in 2017.
OVERALL INDUSTRY OUTLOOK : MARGINAL GROWTH

CREDIT RISK EVALUATION & RECOMMENDATION

Incorporated in 2011, the Subject is a Foreign company, focusing on trading of audio video products. Having been in business for more than 5 years, the Subject has established a remarkable clientele base for itself which has contributed to its business growth.

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.

Financially, the Subject registered a higher turnover compared to previous year. However, its profits showed a reverse trend. The lower profit achieved was a result of higher operating cost and increased competition. 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. Due to its weak liquidity position, the Subject may face working capital deficiency in meeting its short term financial obligations if no fresh capital are injected into the Subject. 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 overall payment habit is fair and this clearly implied a weak credit control of the Subject.

The industry has reached its maturity stage and only enjoying a marginal growth. The steady growth of the country's economy will further enhance the industry activities.

In view of the above, we recommend credit be granted to the Subject with close monitoring.

PROFIT AND LOSS ACCOUNT

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

VISUAL TECHNOLOGIES INDIA PRIVATE LIMITED (SINGAPORE BRANCH)

Financial Year End	2017-03-31	2016-03-31
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	5,068,894	1,759,256
Other Income	-	5,161
	----------------	----------------
Total Turnover	5,068,894	1,764,417
	----------------	----------------
PROFIT/(LOSS) FROM OPERATIONS	123,647	166,330
	----------------	----------------
PROFIT/(LOSS) BEFORE TAXATION	123,647	166,330
Taxation	(8,165)	(6,912)
	----------------	----------------
PROFIT/(LOSS) AFTER TAXATION	115,482	159,418
Pre-acquisition profit/(loss)	-	(75,541)
	----------------	----------------
PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS	115,482	83,877
	----------------	----------------
PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS	115,482	83,877
RETAINED PROFIT/(LOSS) BROUGHT FORWARD
As previously reported	179,020	95,143
	----------------	----------------
As restated	179,020	95,143
	----------------	----------------
PROFIT AVAILABLE FOR APPROPRIATIONS	294,502	179,020
	----------------	----------------
RETAINED PROFIT/(LOSS) CARRIED FORWARD	294,502	179,020
	=============	=============

BALANCE SHEET

VISUAL TECHNOLOGIES INDIA PRIVATE LIMITED (SINGAPORE BRANCH)

	----------------	----------------
CURRENT ASSETS
Stocks	1,819,912	1,425
Trade debtors	756,425	863,503
Other debtors, deposits & prepayments	36,879	6,445
Cash & bank balances	458,282	419,085
	----------------	----------------
TOTAL CURRENT ASSETS	3,071,498	1,290,458
	----------------	----------------
TOTAL ASSET	3,071,498	1,290,458
	=============	=============
CURRENT LIABILITIES
Trade creditors	2,759,432	1,100,382
Other creditors & accruals	9,399	4,144
Provision for taxation	8,165	6,912
	----------------	----------------
TOTAL CURRENT LIABILITIES	2,776,996	1,111,438
	----------------	----------------
NET CURRENT ASSETS/(LIABILITIES)	294,502	179,020
	----------------	----------------
TOTAL NET ASSETS	294,502	179,020
	=============	=============
	----------------	----------------
RESERVES
Retained profit/(loss) carried forward	294,502	179,020
	----------------	----------------
TOTAL RESERVES	294,502	179,020
	----------------	----------------
SHAREHOLDERS' FUNDS/EQUITY	294,502	179,020
	=============	=============

FINANCIAL RATIO

VISUAL TECHNOLOGIES INDIA PRIVATE LIMITED (SINGAPORE BRANCH)

TYPES OF FUNDS
Cash	458,282	419,085
Net Liquid Funds	458,282	419,085
Net Liquid Assets	(1,525,410)	177,595
Net Current Assets/(Liabilities)	294,502	179,020
Net Tangible Assets	294,502	179,020
Net Monetary Assets	(1,525,410)	177,595
PROFIT & LOSS ITEMS
Earnings Before Interest & Tax (EBIT)	123,647	166,330
Earnings Before Interest, Taxes, Depreciation And Amortization (EBITDA)	123,647	166,330
BALANCE SHEET ITEMS
Total Borrowings	0	0
Total Liabilities	2,776,996	1,111,438
Total Assets	3,071,498	1,290,458
Net Assets	294,502	179,020
Net Assets Backing	294,502	179,020
Shareholders' Funds	294,502	179,020
Total Share Capital	0	0
Total Reserves	294,502	179,020
GROWTH RATIOS (Year on Year) (%)
Revenue	188.13	(54.95)
Proft/(Loss) Before Tax	(25.66)	(17.35)
Proft/(Loss) After Tax	(27.56)	(21.63)
Total Assets	138.02	158.00
Total Liabilities	149.86	1,043.23
LIQUIDITY (Times)
Cash Ratio	0.17	0.38
Liquid Ratio	0.45	1.16
Current Ratio	1.11	1.16
WORKING CAPITAL CONTROL (Days)
Stock Ratio	131	0
Debtors Ratio	54	179
Creditors Ratio	199	228
SOLVENCY RATIOS (Times)
Gearing Ratio	0	0
Liabilities Ratio	9.43	6.21
Times Interest Earned Ratio	0	0
Assets Backing Ratio	-	-
PERFORMANCE RATIO (%)
Operating Profit Margin	2.44	9.45
Net Profit Margin	2.28	4.77
Return On Net Assets	41.99	92.91
Return On Capital Employed	41.99	92.91
Return On Shareholders' Funds/Equity	39.21	46.85
Dividend Pay Out Ratio (Times)	0	0
NOTES TO ACCOUNTS
Contingent Liabilities	0	0

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 68.39
UK Pound	1	INR 91.44
Euro	1	INR 80.14
SGD	1	INR 50.58

Note : Above are approximate rates obtained from sources believed to be correct

INFORMATION DETAILS

Analysis Done by :	DIV
Report Prepared by :	TRU

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.