Performance rarely collapses with fanfare. More often, it flatlines quietly; sales soften, productivity slows, priorities blur, and yet teams run hard without moving the needle. In 2025, the RSM U.S. Middle Market Business Index slid from the low 140s into the low 120s in a short period, with fewer than four in 10 firms reporting revenue gains, and fewer than half seeing higher earnings. In other words: The midmarket is squarely in the “flatline” zone, where value leakage becomes a real threat.

Leaders often sense the pulse weakening—more effort with less return—yet underestimate how quickly value drains during this phase. And once value slips faster than it’s created, recovery in a volatile market becomes an uphill climb.

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