The Middle Market Power Index from American Express and Dun & Bradstreet reports that Massachusetts has 3,963 middle market companies with annual revenues between $10 million and $1 billion. This translates to just a bit over one-percent of all businesses in the Commonwealth. According to the report, this ranks fourth in the country in terms of percentage of middle market businesses. (Illinois had the highest percentage of middle market companies, followed by Wisconsin and New Jersey.)
The report’s numbers and findings come from Dun & Bradstreet’s proprietary databases of commercial businesses operating in the U.S.
The percentage of middle market businesses in the Bay State was also more than 30% higher than the national average. Nationwide, there were more than 136,000 middle market firms, making up about 0.7 percent of all businesses.
The report showed that Massachusetts can also boast about having almost double the average national percentage of large businesses with annual revenues exceeding $1 billion. The state has 84 such businesses, making up about 0.02 of all the state’s businesses. In the U.S. as a whole, the percentage of large businesses was only about 0.012 percent.
The overwhelming number of businesses in the United States are considered small, with annual revenues of less than $10 million. Nationally, small businesses make up 99.27 percent of all businesses. Given the numbers cited above, it should come as no surprise that, in Massachusetts, that percentage was a bit smaller, with only 98.97 percent of the state’s total number of businesses classified as small. According to the report, the total number of small businesses in the state numbered 390,760.
Nationally, middle market firms employ an average of 368 workers and generate an average of $45.1 million in revenue per firm per year. While the middle market makes up only 0.7 percent of all businesses nationwide, such businesses contribute slightly more than one in five dollars of all business revenues and employ about 28 percent of all private sector workers. Unfortunately, the report did not offer similar information for Massachusetts or any other state.
