Chevy Chase-based CapitalSource, which loans money to small and mid-sized businesses, says middle-market companies are poised to start spending and hiring again.
According to a CapitalSource survey of businesses conducted by Gallup, 72 percent of mid-sized companies plan to increase capital spending in the coming year. It says 80 percent of larger companies will increase spending.
More than 40 percent of the survey's respondents said they had plans to add to their workforce in the next 12 months.
The survey is based on responses from 500 financial executives at mid-sized companies.
"We're not surprised that the vast majority of them are moving ahead with growth plans, despite the slowdown affecting some business sectors," said Capital Source Finance CEO John Delaney." Middle-market companies tend to be more nimble. ... and are often the first to recognize cyclical shifts."
Among other findings in the survey: 80 percent think the economy will strengthen somewhat or strengthen considerably in the next 12 months, 68 percent think their own companies will grow with the economy, 56 percent plan to fund growth by either cash or self financing, and 31 percent plan to raise debt.
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