Middle Market CEOs Pivot Toward Stability Amid Persistent Inflation

The 2026 Middle Market Business Owners Survey from Capstone Partners reveals a sector increasingly comfortable with macroeconomic volatility. While 92.3% of owners continue to grapple with inflation, concern regarding overall company growth has dipped 3.5% compared to the previous year. This resilience is reflected in a more selective approach to trade policy adjustments, with fewer firms pivoting their tariff strategies than in 2025.

Strategic priorities have shifted toward stabilization. While nearly half of surveyed owners still aim for growth, planned initiatives have softened by 7.1% year-over-year as leaders prioritize financial security. Debt capital remains heavily focused on project financing, a trend expected to continue over the next 12 months. Meanwhile, the adoption of artificial intelligence has become standard practice, with 84.5% of CEOs integrating tools primarily to streamline customer service and marketing operations.

Preparation for liquidity events appears to be a significant driver of corporate health. Data indicates that businesses with active exit plans completed 46.5% more capital market transactions and saw 20% higher revenue growth than their less-prepared counterparts. With 54.6% of owners reporting inbound interest from private equity firms, the market for middle-market assets remains robust, bolstered by an industry outlook that has improved for the first time in two years.