Nearly a third of small U.S. businesses are also family businesses, meaning two or more family members own the majority of the organization. Family businesses play a vital role in local economies, contribute significantly to the gross domestic product (GDP), and are major job creators.
While all small businesses face challenges, two recent reports suggest that family-owned businesses are growing and thriving these days and setting important goals for the future. Here’s an overview.
Family businesses focused on agility are seeing higher growth
A quarter of family businesses experienced double-digit sales growth in the past year, according to the PwC 2025 Global Family Business Survey of 1,325 family businesses in 62 countries. However, that dropped from 43% in 2023.
Family businesses that report stronger agility in navigating market shifts, customer demands, and operational challenges outperformed their peers by 31% compared to 21%.
Businesses with a “clearly articulated purpose” are twice as likely to pursue aggressive growth and significantly more likely to prioritize innovation and long-term goals, the report said. More than 30% actively foster a culture of experimentation and innovation compared to 24% of the total sample of family businesses.
Family business leaders said “safeguarding the business” and “preserving the family’s legacy” were their top long-term goals.
Over the next five years, family business revenue is expected to jump by 84%, reaching $29 trillion, higher than the 59% expected growth for nonfamily businesses.
Technology-wise, 60% consider artificial intelligence to be a growth opportunity, and more than 65% cited technological advancements and digital transformation as their growth priorities.
“As new and emerging technologies transform the global economy, businesses must be prioritizing agility, innovation, and their digital and AI transformation programs if they are to remain agile and unlock new avenues for growth,” Jonathan Flack, Global Private Leader at PwC US, said in a statement.
Family business revenue is expected to grow in the next five years
Family businesses with revenue of $100 million or more now make up 22% of businesses worldwide, according to a new Deloitte report, “Family Business Insights Series: Defining the Family Business Landscape, 2025,” which surveyed more than 1,500 family businesses in 36 countries. That’s a more than 20% increase over the past 10 years.
Over the next five years, family business revenue is expected to jump by 84%, reaching $29 trillion, higher than the 59% expected growth for nonfamily businesses.
While family businesses face challenges, including rising costs and economic uncertainty, many are investing in technology, such as AI, to scale their operations, reduce costs, and improve efficiency. They’re also launching new products and services to diversify revenue streams, as well as expanding beyond their domestic markets.
In the next few years, more than a quarter of family businesses say they plan to bring in outside investors or private equity, 19% plan to increase ownership among nonfamily management, 12% plan to go public, and 3% will sell their companies. Many family business leaders said the “great wealth transfer” was influencing these new ownership decisions.
“As we look to the future, many family businesses are honoring their legacy while preparing for what’s next,” Adrian Batty, Deloitte Private Global Family Enterprise Leader, Deloitte Global, said in a statement. “By investing in innovation, entering new markets, and prioritizing next-generation leadership, family businesses are readying succession plans and addressing long-standing talent gaps—key to securing continuity and long-term performance.”
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