In July, the National Center for the Middle Market at Ohio State University published its Mid-Year report, estimating there were about 200,000 middle market companies in the United States in 2024. The average age of these firms is 30 years, with a median age of 23.
These figures suggest that while daily events can have significant effects on middle market businesses, their planning typically spans far beyond short-term fluctuations. According to a Texas banker with nearly two decades of experience serving companies with annual revenues between $25 million and $2 billion, long-term relationships between banks and businesses are essential for aligning financial services with company goals.
The process of establishing such relationships requires effort from business leaders. It begins with researching banks that value both culture and enduring client partnerships. “From my insider’s view, the ideal banking-client relationship is built on trust and understanding of the company’s growth and financial goals. Getting there takes time – literally years. And that’s much harder to accomplish at financial institutions that experience high turnover,” the banker said.
Changing banking relationship managers often disrupts continuity and demands additional time to bring new managers up to speed on a company’s objectives and history. Companies benefit by selecting banks capable of supporting their growth through diverse services while maintaining an environment that attracts experienced staff.
“The ideal relationship should give a company access not only to a strong collaborative partner, but to the bank’s leadership and customized product and service partners who are familiar with a business’s goals,” according to the banker.
Effective communication is also necessary for evolving from basic service provision to advisory roles. Reflecting on changes since March 2020—five years after the World Health Organization declared COVID-19 a pandemic (https://www.cdc.gov/museum/tim…)—the banker noted how virtual meetings became standard practice during periods of rapid change. However, they argue that in-person interactions remain important for building deeper connections: “My view: Businesses should consider the value of periodic in-person meetings and collaborations with their banking partner. While virtual engagement may be easier to coordinate, face-to-face communication affords deeper understanding and relationship-building.”
Businesses are encouraged to assess whether their banking services align with long-term vision rather than focusing solely on current needs. This includes evaluating products, expertise offered by industry specialists, and commitment from relationship managers. “They should ask: Does this banking partner have the expertise and are they willing to invest the time to understand our business, industry, and vision, and are they committed to helping our company achieve its goals?”
The most resilient partnerships often develop during difficult periods when creative solutions become necessary. “Relationships are easy when profits are up and targets are reached; it’s when challenges arise, and creative solutions are needed, that value is tested,” said the banker.
Ultimately, identifying a banking partner committed through both favorable and challenging times can make a significant difference for businesses seeking long-term success.
