According to the 2014 Chase Business Leader Outlook Survey, the improving economy has encouraged leaders of small and mid-sized U.S. businesses project to increased sales and profits for the coming year.

Among the more than 3,000 business leaders surveyed, 54% of middle-market executives and 42% of small business owners say they are optimistic about the nation’s economic prospects for the year ahead. That is 17% higher for middle market companies and 5% higher for small businesses from 2013.

Optimism about their local economy reached record levels for middle-market companies, with 63% expressing a positive view, and the feeling was mutual for small businesses, 57%, which was up 7% over last year.

Business leaders are expecting this good news to directly impact their bottom line. Nearly three-quarters (73%) of middle-market companies and 67% of small businesses expect to increase sales in 2014—and more than half of the respondents plan to boost profits as well.

“It’s encouraging to see that, despite some perceived challenges, respondents expressed confidence in the future of their companies and increased optimism about the national, global and local economy,” said Doug Petno, CEO of Chase Commercial Banking.

To read the report, click here.