South Bend Regional Economy Continues to Show Improvement

The first quarter 2018 Michiana Benchmark Business Index (BBI), compiled by Kruggel Lawton CPAs, increased for the fourth straight quarter. The overall BBI was 62.77 out of a maximum possible score of 100, up over two percent from the first quarter of 2017.

Kruggel Lawton conducts this confidential survey of CFOs in for-profit companies in the South Bend/Elkhart region on a quarterly basis. The survey tracks changes in companies’ revenue, profitability, and employment levels compared to the same quarter of the prior year, along with CFOs’ perception of the business outlook for their companies. Participating CFOs’ input on these four metrics is combined into the overall Benchmark Business Index to provide a barometer of the Michiana-area business climate.

Noteworthy first quarter survey results include:

• This is the first time the quarterly BBI has increased for four straight quarters, a sign that last year’s steady progress is holding into the start of 2018
• Of the four metrics that comprise the BBI, CFO Optimism was the only one that declined last quarter by four percent
• Of the other three metrics, Overall Employment increased the most by a strong 12 percent

“At a high level, the first quarter survey results indicate that our regional economy is strong, and it’s maintaining a positive trend,” said Terry Bush, a Director at Kruggel Lawton CPAs. “The slight decrease in CFO Optimism is a factor we’ll want to monitor since CFOs have a unique vantage point for the business outlook for their companies. Increasing employment, while positive for workers and their families, could also indicate that competition for talented employees will continue to be brisk,” said Bush.

If you are a CFO in a northern Indiana/southwest Michigan for-profit organization and would like to participate in this survey, please contact Terry Bush at tbush@klcpas.com or call 574-289-4011.

With offices in South Bend and Elkhart, Indiana, and St. Joseph, Michigan, Kruggel Lawton CPAs is a full-service accounting and business consulting firm offering assurance services, tax consulting, estate planning, business valuation, and business accounting services. Kruggel Lawton also has national and international capabilities as an independent member of the BDO Alliance USA.