Indian family businesses are demonstrating significant economic power, with a large percentage reporting substantial annual revenues and embracing technological advancements. According to a new report by Deloitte Private, nearly 50% of Indian family businesses generate between $1 billion and $30 billion in revenue annually. Within this group, 36% fall into the $1-5 billion range, while 13% earn between $10-29.9 billion.
The "Family business insights series: Defining the family business landscape, 2025" report, which surveyed 1,587 family businesses across 36 countries (including approximately 50 in India) and included interviews with 30 senior executives, highlights the evolving nature of family-owned enterprises and their contribution to long-term economic growth. These businesses are not only maintaining their position but are also scaling up rapidly. In 2024, 63% of Indian family businesses achieved double-digit revenue growth, and approximately 80% are projected to exceed similar growth levels in 2025 and 2026. Moreover, 75% of Indian family enterprises are aiming for growth rates above 15% in the coming years.
Indian family businesses are proactively adopting technology to maintain their competitive edge amidst economic uncertainty and rising costs. A notable 53% are already using Artificial Intelligence (AI) in their operations, surpassing the global average in technology adoption. These businesses are investing in technological innovation, including generative AI, to improve efficiency and introduce new products and services. While AI is being implemented, only 9% of organizations use AI in succession planning, which indicates an area for potential growth.
Beyond financial success and tech adoption, Indian family businesses are also increasingly focused on Environmental, Social, and Governance (ESG) priorities. 76% of these businesses have expressed a strong commitment to ESG, with key focus areas including social responsibility (57%), environmental sustainability (52%), and diversity, equity, and inclusion (48%). This commitment aligns them with global sustainability standards and stakeholder expectations.
Family-run businesses are becoming a more significant force worldwide. The number of family businesses generating at least $100 million annually is expected to rise by 22% by 2030. This growth signifies more opportunities for young professionals and future entrepreneurs in India, fostering innovative workplaces that value both tradition and progress.
According to K R Sekar, Partner and Leader - Deloitte Private, Deloitte India, the growth of Indian family businesses is a result of various interconnected factors. These factors include increased access to capital, generational shifts, the establishment of family offices, the strength of India's public markets, and the adoption of technology and inclusion.
Indian family businesses are strategically using technology adoption, governance reforms, and succession planning to mitigate risks and capitalize on growth opportunities. This integration of AI, focus on ESG, and increasing leadership diversity indicates a shift towards professionalization and innovation, positioning them for stronger performance in both domestic and global markets.
