Accelerating Growth in
Indiana’s Mid-Market Companies
October 15 press release

Mid-Market Firms Making Major Impact; Accelerating Growth Study Continues

A small group of successful Indiana companies is making a large contribution to the state’s economy.

Preliminary results from the “Accelerating Growth in Indiana’s Mid-Market Companies” study detail the size of that impact. Mid-market companies, defined as those with between $5 million and $100 million in annual sales, comprise just 1.8% (4,738) of Indiana-headquartered firms. However, they account for 30.2% (635,000) of the jobs and 36.7% (more than $70 billion) of total sales for Indiana-based businesses.

“These numbers are even more significant than what was anticipated prior to the research effort,” said Kevin Brinegar, president of the Indiana Chamber of Commerce, which is coordinating the study. “Mid-market companies are making a tremendous difference throughout the state, and one of our goals is to maximize the opportunity for their continued growth and expansion.”

The research also reveals a broad cross-section of industry representation. Of the 3,789 for-profit, mid-market firms, the leading industries are: manufacturing (920, 24.3%), retail trade (661, 17.5%), wholesale trade (659, 17.4%) and construction (12.9%).

An online survey, conducted by study partner Walker Information, provides perspective from mid-market company leaders on doing business in Indiana. Asked to rate their experience in six areas (workforce, health care, education, public policy, transportation and digital connectivity), the most common response to each was “good.” But in rating their overall experience in the state, 7% said “excellent” and 38% “very good” – higher than the individual category rankings – demonstrating their commitment to staying and growing in Indiana.

“These people are entrepreneurs, survivors. They’re business and community leaders already,” said Steve Walker, chairman, president and CEO of Walker Information. “While they have achieved success in our state, it’s clear (based on the survey results and early interviews) that more can be done to create an even better business climate. This will lead to enhanced success for these organizations and other businesses throughout the state.”

One-on-one interviews with mid-market company leaders are currently taking place. Those interviews will provide additional valuable information, leading to a study summary and policy recommendations. The process of gathering more data and analysis about and from these companies will continue beyond the final report, building on a database that will assist in future economic development efforts.

Brinegar concludes, “While the state is doing a tremendous job in attracting new businesses and supporting start-up growth, the mid-market companies are a new area of focus. Indiana can once again lead the way nationally in identifying the impact of these companies and putting programs in place to build upon their accomplishments.”

A broad coalition of public and private sector leaders is participating in the “Accelerating Growth in Indiana’s Mid-Market Companies” study. They include: Indiana Economic Development Corporation, Indiana Secretary of State, Indiana Department of Workforce Development, Butler University Business Accelerator, Cambridge Capital Management Corp, Clifton Gunderson LLP, Duke Energy, Ginovus, Indiana Chamber, Krieg DeVault, National City Bank, NIPSCO and Walker Information.

Additional study outcomes and recommendations will be available upon completion of the project in late 2007 or early 2008.

View Kevin Brinegar commentary
View full report





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