Deloitte study: family business revenues expected to grow 84% in 2030 compared to 2020 globally. Economic instability and succession planning among the main challenges
Worldwide family business revenue, which now accounts for 19% of all business revenue globally, is expected to reach $29 trillion in 2030, up 84% from 2020, according to Deloitte's Defining the family business landscape 2025 study. Europe will be the region with the fastest growing number of family businesses this decade (up 12% from over 4,000 in 2025 to nearly 4,600 in 2030), and North America and Asia Pacific will see the largest revenue increases (up 97% to $12 trillion and $9 trillion, respectively).
Europe also leads the way in family business expansion plans – over half (51%) plan to grow their operations in the region in the next two years. North America is in second place with 48% of businesses looking to expand into this market, followed by Asia Pacific (40%).
Family businesses currently total more than 18,000 entities and represent 22% of companies worldwide, rising from nearly 16,200 in 2020. By 2030, their number is expected to exceed 19,700, reflecting a 22% advance between 2020 and 2030.
According to the study, Asia Pacific has the most family businesses in the world, namely 7,595, followed by North America, with 5,152, Europe – 4,084, the Middle East – 528, Africa – 377 and South America – 352.
When it comes to future risks, family businesses rank economic uncertainty first – 69% of participants say it represents a moderate or high risk, and 68% say it causes delays in investment plans. Economic uncertainty is amplified by geopolitical tensions, 73% of participants believe, while 70% estimate that the increase in customs tariffs will affect their activity. Another important risk identified by study participants is that related to cyber threats (69%).
Developments in technology are perceived as positive, with 40% of study participants claiming to invest in innovation and artificial intelligence to increase operational efficiency and manage risk.
“The essential component of the success of a family business that can withstand the test of time is effective governance. By clearly establishing roles and responsibilities, implementing robust oversight and communication mechanisms, governance improves the resilience of a family business, strengthens its reputation and increases its chances of long-term success. In terms of challenges, beyond those already mentioned – economic uncertainty, cyber threats, geopolitical risk and evolving regulatory environments -, it should also be emphasized internal ones, related to succession and the professionalization of management. In this context, family businesses will have to find a balance between preserving the core values of the family, while embracing the tools, structures and partnerships that support sustainable growth,” said Alexandra Smedoiu, Deloitte Romania Partner, leader of the Deloitte Private program in Romania.
According to the study, succession planning remains a critical priority for half of participants (49%). At the same time, the main governance challenges facing family businesses relate to uncertainty about the people responsible for decision-making (37%) and succession planning for management positions (36%).
On the other hand, more and more family businesses are accepting changes in the ownership structure – more than a quarter (26%) are considering attracting external investment or equity stakes, 19% are looking to increase the participation of non-family management in the business, 12% intend to list on the stock market and 3% want to sell the business entirely.
The study Deloitte Defining the family business landscape 2025in its first edition, was conducted among CEOs of nearly 1,600 family businesses worldwide, majority family-owned (over 51%) and with annual revenues of more than $100 million each.
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Article supported by Deloitte Romania
