Hodson
and Associates
International
Business Background Report
SAMPLE
Please
note length and content of each report may vary.
Report
Type:
Business
Credit Report
Date Prepared: February 14,
20xx
Reference Number: 1234-A-5678
Client Reference
Number: 1452ABCDE
_______________________________________________________________________
SUBJECT'S NAME
Registered Name: Papgua International, C.A.
(Fictitious Sample)
Requested Name: Papguana International
Other Names: None found.
_______________________________________________________________________
ADDRESS AND
TELECOMMUNICATION
Address: 1da. Transversal No. 222-46
Zona Industrial La Hamaca
Maracay, Estado Aragua
Country: Venezuela
Phone: 58 (43) 56.61.41 /
51.90.87/51.67.68
Fax: 58 (43) 51.63.81 / 58 (2) 943.5858
Email: email@papgua.com
Website: www.papgua.com
_______________________________________________________________________
CREDIT OPINION
Financial Index
as of December 31xxxx shows subject firm with a high risk of credit.
However, bank and credit information obtained reveal a history of
prompt payments.
_______________________________________________________________________
LEGAL
Legal Form: Limited Corporation
Date Incorporated: October 23,xxxx
Date Found: February 12,
xxxx
Rif. Number: J-0046231-2
Nit Number: 0007738352
File Number: 17.612
Corporation was chartered in the
First Mercantile Registry of the Federal District and Miranda State in Caracas, on March
10, xxxx, Nš 62, Volume A-6, with a duration of 10 years. Changes: Registered on January 16, xxxx, Nš 1, Volume 3, in Maracay,
Aragua State on January 21, xxxx, change of registered office to Caracas, Nš 75,
Volume 01-A, with a duration of 20 years.
Subscribed capital VEB 6.963.187.700, fully paid in,
represented in 3.613.088 shares. Share A of VEB 1.000 each, 975.000, shares B of
VEB 1.000
each and 1.144.075 shares C of VEB 2.076 each, subscribed as follows:
Inversiones Gre-Age, C.A. 1.387.741 A and 379.935 B
Inversiones Papeleras,C.A. 12.299 A and 9.570 B
Kimberly Clark Wordwide Inc. 1.309.105 A, 346.125 B,
and 676.955 C
Venequim, C.A. 903.316 A,
238.875 B and 467.120 C.
Rolando Mosquera 627 A and
495 B.
Initial capital
VEB 200.000, increased to VEB 1.000.000 on June 26, xxxx, Nš 7, Volume 24-A; to
VEB 16.800.000
on April 22, xxxx, Nš 26, Volume 21-A First, to VEB. 46.800.000 on April 17,
xxxx, Nš
26, Volume 410-B; to VEB 86.800.000 on July 3rd, xxxx, Nš 6, Volume 492.B; to
VEB.
106.000.000 on October 27, xxxx, Nš 42, Volume 513-A; to VEB. 1.167.800.000 on March 10,
xxxx, Nš 16, Volume 475-A; to VEB. 4.588.088.000 on August 29, xxxx, Nš 7, Volume 787-A
and to VEB 6.963.187.700 on January 21st, xxxx, Nš 74, Volume 1-A.
Changes: Mr. Jean Douzoglu
sold 179.874 shares A and 964.935 B to Inversiones Gre-Age, C.A., on April 29,
xxxx.
On May 29, xxxx Inversiones Gre-Age, C.A. sold to Inversiones Olim 24, C.A. 585 shares B.
On June xxxx, Inversiones Olim 24, C.A. sold to Scott Inc. 68.444 shares A and
345.125 B. On June 4, xxxx, Inversiones Olim 24, C.A. sold to Venequim, C.A. 47.236 shares
A and 238.875 shares B. All this changes are registered on August 29,
xxxx, Nš 6, Volume
787-A.
_______________________________________________________________________
MANAGEMENT
Administration in charge of the Board of
Directors, registered on January 21, xxxx, Nš 75, Volume 01-A, made up of:
Sergio Saldariaga
President
I.C. Nš E-82.197.561
Chilean Citizen
Carlos Restripo
Vice-President
Passport Nš 74553661
Colombian Citizen
María I. de Ponce
Director
I.C. Nš 4.142.487
Peruvian Citizen
Jean Douzoglu
Director
I.C. Nš 4.917.389
Venezuelan Citizen
Juan Douzoglu
Director
I.C. Nš 7.336.411
Peruvian Citizen
Jaime Amigo
Administrative
Manager
I.C. Nš 7.336.400
Colombian Citizen
Arturo Pitter
Deputy
I.C. Nš 7.336.511
Colombian Citizen
_______________________________________________________________________
RELATED
COMPANIES
Inversiones Gre-Age, C.A Parent company.
Inversiones Papeleras, C.A. Subsidiary company.
Scott Worldwide Inc. Affiliated company.
Venequim, C.A. Shareholder of subject firm.
_______________________________________________________________________
OPERATIONS
Registered to operate in the
manufacturing,
distribution and sale of toilet paper (80%), paper towels (15%) and paper napkins
(5%).
Capacity of
production: 2.800 tons monthly. Operates at the 90% of its capacity of production, in
two daily shifts.
Imports:
Raw material and
spare parts from U.S.A.
Exports:
Colombia (70%) and Central America
(30%)
Trademarks:
Lirio, Kleeneth and
Scott
Terms of sale:
Cash (10%) and 25-90 days (90%), invoices.
The
subject has about 800
customers, 80% from the private sector and 20% from government sector.
Main
Customers:
Makro, Central
Madeirense, Distribuidora Ley, Herrera &
Asociados, Distribuidora C.M Aragua and Distribuidora
Douzoglu.
Employees:
300 employees.
Vehicles:
1 motor vehicle.
Territory of
sales:
Venezuela, Colombia
and Central America.
Location:
Own premises, in land
of 25.000 square meters, in a secondary
avenue, industrial zone, well kept.
_______________________________________________________________________
AUDITORS AND
INSURANCE
Auditors: Information not
available.
Insurance
Brokers:
Espiņeira,
Sheldon y Asociados, Public Accountants
_______________________________________________________________________
FINANCE
Currency Reported: Venezuelan Bolivar (VEB)
Approx. Ex. Rate: 1 US Dollar = 748.000 Venezuelan Bolivar
1 Venezuelan Bolivar (VEB) = 0.001337 US
Dollar (USD)
As of:
November 28, xxxx
Fiscal Year End:
Dec. 31
Inflation:
According to
information given by independent sources, the inflation at January 31st, xxxx was of 1,7%.
Accrued Inflation:
Year 1999: 20.1%
Year 1998: 29.9%
Year 1997: 37.6%
Year 1996: 103.2%
General Statement at:
12/31/xx(in thousands
of VEB)
Audited
by:
Espiņeira, Sheldon y Asociados, Public Accountants.
ASSETS
Accounts And Notes Receivable 4.593.411
Cash in Banks 557.368
Prepaid Expenses (Miscellaneous) 436.860
Inventories 2.990.769
Total Current Assets 8.578.402
Fixed Assets 17.133.115
Total Assets
25.711.517
LIABILITIES
Account and Notes
Payable
8.108.262
Bank Loans 3.292.080
Accrued Loans 805.581
Income Tax 103.018
Other Expenses 1.037.072
Total Current Liabilities 13.346.013
Net Worth 12.365.504
Total Liabilities and Net Worth 25.711.517
Profit and Loss (expressed in
thousands of VEB)
12/31/xxxx
12/31/xxxx
Sales 13.325.308 9.509.254
Cost of Sales 12.217.324 7.892.687
Gross Profit 1.107.984 1.616.567
Other (expenses) 307.116 (3.096.359)
Net Profit (Loss) 1.415.100 (1.479.792)
Comparative Figures:
(expressed in thousands of VEB)
12/31/xxxx
12/31/xxxx
12/31/xxxx
Current
Assets
8.352.499
8.578.402
7.728.262
Current Liabilities 19.582.610 13.346.013 9.141.982
Cash & Banks 84.367 557.368 450.702
Accounts Payable 5.278.425 4.593.411 3.196.211
Inventories 2.956.769 2.990.763 3.457.626
Total Liabilities 20.890.771 13.346.013 10.663.895
Net worth 9.629.277 12.365.504 10.024.540
Net sales 18.640.198 13.325.308 9.509.254
Cost of sales 14.634.105 12.217.324 7.892.687
Profit (loss) (4.143.139) 1.415.100 (1.479.792)
Finance Indexes up
to:
12/31/xxxx
12/31/xxxx
Solvency
index
0,64 to 1
0,84 to 1
Liquidity index 0,63 to 1 0,52 to1
Credit index 1,07 to –1 1,06 to -1
Patrimony
"rentability" 11,44% not app.
Profit margin 10,61% not app.
Time of
collection 124 days 121 days
Rotation
inventory 4,08 times 2,28 times
Working capital (4.493.780.000) (1.413.720.000)
________________________________________________________________________
BANK
Bank Name: Mercantil Bank
Address: 1da. Transversal No. 222-46
City Maracay
Country: Venezuela
Phone: 52-55-0000-0000
Fax: 52-55-0000-0000
Contact Name: Alejandro Lopez
Title: Bank Manager
Account Number: 987654321
Type of Account: Current Account
Comments: Overdraft low 8 figures. Has promissory note
in medium 9
figures, good experience. Deposit in medium 8 figures,
defeated.
Bank Name:
Mercantil
Bank
Address: 258 Main Street
City: Maracay
Country: Venezuela
Phone: 52-55-0011-9999
Fax: 52-55-0000-9999
Contact Name: Carlos Ruiz
Title: Account Manager
Account Number: 123456789
Type of Account: Business Account
Comments: Medium 8 figures, overdraft. Had promissory
note in medium 9
figures. Deposit in medium: 8 figures.
_______________________________________________________________________
TRADE REFERENCES
Name of Supplier: Cartón de Venezuela
Client since: 15+ Years
Provides: Boxes
Last Purchase: January xxxx
High Credit: Low 8 figures
Terms: 30 days, invoiced
Experience: Good
Name of Supplier:
Clariants de
Venezuela
Client Since: 5+ Years
Provides: Chemical products
Last Purchase: August xxxx
High Credit: Medium 7 figures
Terms: 30 days, invoiced
Experience: Good
Name of
Supplier:
Diromar
Client Since: 5+ Years
Provides: Roller bearings
High Credit: Open account
Terms: 45 days, invoiced
Experience: Good
Name of Supplier:
Cartón de Venezuela
Client Since: 10+ Years
Provides: Cardboard
Last Purchase: September xxxx
High Credit: High 8 figures
Terms: 30 days, invoiced
Experience: Good
Name of Supplier:
Diromar
Client Since: 5+ Years
Provides: Roller bearings
Last Purchase: January xxxx
High Credit: Open account. Purchases about
VEB 1000.000
monthly
Terms: 30 days, invoiced
Experience: Good
________________________________________________________________________
COMMENTS /
ADDITIONAL INFORMATION
On February 14, xxxx, Mr. Jaime Amigo,
Administrative Manager and Finance Manager was interviewed and confirmed the above
information.
________________________________________________________________________
END OF REPORT
2005 Hodson
and Associates