Breaking Down the True Value of the Middle Market
When it comes to economic influence, today’s middle market is far from middling.
According to a recent report from American Express and Dun & Bradstreet, middle market companies (defined as between $10 million and $1 billion in revenues) have proven themselves powerhouses of the American economy.
Here are 5 numbers that prove the middle market’s outsize influence.
1. 25% of private sector revenue: Middle market companies make up less than 1% of active firms but “employ over one in four private sector workers and account for one-quarter of private sector business revenues.”
2. $9.3 trillion revenue: Over the past five years, middle market companies contributed $9.3 trillion in revenue to the U.S. economy.
3. 2x increase in number of companies: The number of middle market companies increased nearly 2x in the past five years, compared to an overall downward trend for all commercially active companies.
Average firm revenue and number of employees are also increasing.
4. 50.5 million new jobs: Overall employment has gone up from 141.8 million to 192.3 million, an increase of 36%, with middle market companies accounting for more than half of the 50.5 million new jobs. Employment among middle market firms has gone up 103%.
5. 100% revenue increase: Middle market companies’ revenues have increased 100% in the last five years, compared to 55% for firms over $1 billion.