Middle Market Indicator

After a better-than-expected 2012, middle market companies are beginning 2013 as the spearhead of the nation’s economic recovery.

The middle market continues to be an important component of the economy, driving growth in the U.S. and locally. Since actual and predicted revenues have been better than gains in the S&P 500, these companies also are critical to the economic recovery.

Third quarter findings indicate middle market companies plan to expand payrolls over the next 12 months, even as revenue expectations weaken and broad economic concerns persist.

The 2Q report shows steady yet slowing growth for middle market companies amid pessimism about global and U.S. economies. While middle market companies are projecting overall revenue growth in their companies, they expressed increased pessimism in the local, national, and global economies.

The first-ever Middle Market Indicator projects that expected growth in the middle market will outpace growth in larger companies. Concerns about the future impact projected growth and cause companies to hold cash. Economic confidence is mixed, but improves as middle market firms look closer to home.