Thanks to an improving economy, U.S. businesses are expected to increase sales and profits this year, according to the 2014 Chase Business Leaders Outlook.

Among the 3,500 business leaders surveyed, nearly three-quarters (73 percent) of middle market companies and 67 percent of small businesses expect to increase sales this year. More than half of the respondents forecast higher profits as well.

These forecasts reflect the confidence that businesses have in their financial performance: 80 percent of middle market companies and 73 percent of small businesses have a positive outlook for the next 12 months – slightly higher than last year.

“It’s encouraging to see that, despite some real challenges, respondents continued to express strong confidence in the future of their companies,” said Doug Petno, CEO of Chase Commercial Banking.

Optimism about the national economy is up 17 percent this year for middle market companies to 54 percent, and up five percent for small businesses to 42 percent. Confidence grows closer to home, with 63 percent of middle market companies and more than half of small businesses expressing a positive view about their local economy.

“Small business owners continue to focus more on the strength of their local economies, and it’s good to see their confidence continue to grow,” said Scott Geller, CEO of Chase Business Banking.

Borrowing

• 70% of middle market companies anticipate a need for financing in 2014, primarily for capital equipment, working capital and acquisitions.
• 61% of small businesses are considering financing this year, primarily for working capital, capital equipment and technology investments.

Please click on the link to read the full report of the 2014 Chase Business Leaders Outlook.