Manage your growing pains

Published May 8, 2006

Internal Revenue Service issued temporary and proposed regulations to eliminate the requirement that employers send copies of potentially questionable Forms W-4 to the agency. In the past, employers had to send to the IRS any Form W-4 claiming more than 10 allowances or claiming complete exemption from withholding if $200 or more in weekly wages was expected. The agency said it will step up its withholding compliance program by making more effective use of information reported on W-2 wage statements to ensure that employees have enough federal income tax withheld.

Old Dominion Freight Line has been recognized as one of the “100 Best Companies in the United States” by investment-research firm DeMarche Associates. The program, launched four years ago, recognizes U.S. companies for operating performance that significantly improves shareholder value.

Gulf Oil and Wright Express have entered into an agreement to offer flexible pricing to Gulf commercial customers at its locations through a Gulf co-branded Affinity card program. The program features the full functionality of Wright Express’ Affinity program, enhanced with pricing options that include cost-plus volume-based contract pricing and discounts at Gulf locations.

Donaldson Co., a Minneapolis-based provider of filtration systems and replacement parts, announced that the company’s board of directors has authorized the repurchase of up to 8 million common shares.

In these days of premium freight rates, most trucking companies could – and probably would – grow if they could recruit and retain drivers and other essential employees. But there likely are other reasons not to grow. Don’t overlook the notion of sustainable growth – a company’s ability to expand safely while keeping reasonable control and balance over its assets, debt-to-equity ratio and creditworthiness.

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Richard Voreis, president and chief executive officer of Marquette Funding, has seen growth companies from both sides of the banking equation: traditional banking and nontraditional lending. Voreis began his career at a traditional banker making loans to trucking companies before finally joining Marquette, a major nontraditional lender to the trucking industry.

“Sustainable growth is a major concern on one side, but less so on the other,” Voreis says. “That’s not to say it is not important to nontraditional lenders – just that the security interests make the difference.

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