The first quarter of 2014 ended on an upbeat note in the small business economy as March lending activity posted 21 percent growth according to the Small Business Lending Index released by Direct Capital, a leading national small business lender.

In addition to its 21 percent gain over February, March 2014 showed a 42 percent improvement over March 2013, continuing a trend of steady improvement in the economy that stretches back to early 2012. The Lending Index is up 25 percent in the year to date as the U.S. heads into the spring and summer.

Specific segments tracked by the Lending Index are looking particularly robust in this transitional season. Auto service, commercial vehicle, computer, medical equipment and restaurant lending all increased by double digits in March.

"There have been signs since 2014 started that small businesses are gearing up for a strong spring and summer," said Direct Capital Senior Vice President Stephen Lankler. "Demand for lending has been consistently strong throughout the winter months, even though we've had really miserable weather that has kept people inside. You can draw a credible conclusion from those factors that small businesses see a lot of pent-up demand, or they wouldn't be extending themselves by borrowing."