Middle Market Banking And Its Distinguishing Features

A middle market bank is an investment bank dedicated to providing business solutions to middle market businesses. Clients include companies with revenues or transaction sizes of between $5 million to less than $1 billion. JP Morgan Chase, for example, covers companies with annual revenues of $10 million to $500 million.

• Wide expertise - The middle market bank has a staff of professionals with expertise and background in the fields in which they specialize. These include, but are not limited to, law, commercial and investment banking, and financial consulting firms.
• Broad array of products and services -- Middle market banking companies offer varied services, depending on their specialty. These include:
  • financing solutions - Including business loans and lines, commercial mortgages, leasing of equipment and/or real estate, industrial revenue bonds, tax-exempt bonds, succession transition financing, asset-based lending, and interest rate risk management
  • cash management
  • commercial real estate
  • investment services
  • international services
  • employee benefits
  • wealth management
    

• Varied industries and business sectors - Each middle market bank has its own list of industries and business sectors they service. These may include: automotive, industrial products, plastics, printing, business services, consumer products, retail, healthcare and biotechnology, natural resources, technology, transportation, and distribution, among others.
• Clients - Middle market banking clients include large corporations and private equity firms, as well as governmental units, and educational and not-for-profit organizations.