Middle Market Companies Achieve New Pinnacle of Growth

Since Q4 2021, U.S. middle market companies have consistently experienced double-digit year-over-year growth in both revenues and employment. The middle market closed 2023 with several new performance records, including an all-time-high rate of YOY revenue growth (12.4%) along with the highest-ever proportion of companies reporting revenue growth, employment growth and overall improved company performance. Even as these numbers have soared, middle market leaders are delivering softer projections for the year ahead. The proportion of companies projecting revenue growth in 2024 drops to 59% from the 83% reporting gains in 2023 while the average anticipated growth rate falls to 8.1%, on par with pre-pandemic rates of growth. A similar proportion of companies (60%) expect to continue expanding the size of the workforce but at a declining rate of 8.7%. The muted projections signal that the middle market may be moving out of recovery mode and back into a more sustainable mode of ongoing healthy growth moving forward. Inflation, threat of recession and talent shortages are perceived as the most significant headwinds to this growth. Middle market companies continue to raise prices as well to invest in their people and technology, including integrating AI into various business functions, as ways to combat risks and increase capabilities for efficiently responding to the challenges of the future.

Year-End 2023 Webinar Recording

Watch the recording from our latest webinar where Doug Farren, Managing Director of NCMM, reviewed the latest research. You can download the presentation slides here


Work With Us

Whether you operate a middle market business, run an organization that serves middle market companies or are otherwise invested in the middle market’s success, the National Center for the Middle Market welcomes and values your contributions. The center offers several ways for organizations to partner with us. Learn more below about the ways you can work with the center and play a vital role in advancing the middle market’s prosperity. 


Year-End 2023