Company is engaged in the business of manufacturing and supplying sheet metal components, auto parts, and all types of sprocket gears and machined components, that finds its application in a diverse industry, such as tractor, automobiles, material handling & earth moving equipment, railways, defense, machine tools, DIY industry etc. They also manufacture customized components as per customer specific requirements and use.

Company has their own inhouse manufacturing facility located in Faridabad, Haryana having advanced technologies to develop and manufacture the products that adhere to the stringent quality control requirements of customer.

The automobile industry is one of the key drivers of the Indian economy. Since the liberalization of the sector in 1991 and allowing 100 per cent FDI through automatic route, Indian automobile sector has come a long way. Today, there is a presence of major global auto manufacturer in the country. All categories of vehicles like two-wheeler, three wheelers, passenger cars, light commercial vehicles, Trucks, Buses, Tractors, heavy Commercial vehicles etc. are produced in India. India is the second largest manufacturer of 2W, the largest manufacturer of 3W and 3rd largest manufacturers of passenger cars in the world.

Risk associated to the issue:

• The company do not have Factory Licence for their present manufacturing unit. The land on which their existing manufacturing unit is located and the land on which they are proposing to carry out expansion activities is Agricultural Land. This might create an alert if efforts are not made on time.
• No long-term agreements with most of suppliers or customers.
• Business is subject to a variety of safety, health and environmental laws, labour, and workplace related laws and regulations. Any failure can effect the business.
• Top 5 clients account for more than 82.47% of revenue. Naming J.L AUTO PARTS PRIVATE LIMITED, TUBE INVESTMENT OF INDIA LIMITED, ROCKMAN INDUSTRIES LIMITED, MANVI AUTOMOBILES, JAIN INDUSTRIAL LIMITED.
• Top three suppliers account for more than 71.58% of the raw material procured. Namely ROYAL ISPAT UDYOG, SHARU INDUSTRIES PRIVATE LIMITED, & RAMA STEEL CORPORATION.
• M/s JBJ Industries, a Sole Proprietorship belonging to one of the Promoter Mrs. Nidhi Bedi, has objects similar to that of this Company’s business and is engaged in the similar line of business / industry in which Company operates.
• The company faces competition from both organized and unorganized players.