By Mairead Harbron, Partner, PwC Private

One in five (20%) Irish family businesses saw double digit sales growth in the last year amid uncertain economic conditions and intense market competition, according to PwC Ireland’s 2025 Family Business Survey, published today. 

The survey, which interviewed 1,325 family businesses across 62 countries and territories, including Ireland, finds that the majority (63%) of Irish family businesses saw sales growth in 2025, ahead of global peers (57%). However, double digit sales growth (20%) for 2025 lagged global peers (25%).  Over one in ten (11%) Irish family firms experienced a drop in sales in 2025 (Global:15%). 

Looking forward, Irish family businesses are more confident on growth compared to their global peers: 83% have robust growth ambitions for the next two years – ahead of global peers (73%).  

Irish family businesses feeling economic pressures, more so than global peers 

While Irish family business leaders are more ambitious on growth plans over the coming two years, they feel greater market and competitive pressures (65%) compared to global peers (60%). 72% cite economic conditions as a risk and 61% point to supply chain and operational costs (Global: 59% and 47% respectively). 

Workforce availability is a particular concern, with 65% of Irish family businesses saying it’s a risk compared to 47% for global peers. Nearly two-thirds (65%) say they are struggling with talent and leadership development (Global: 47%).  Family businesses in Ireland also worry more about lacking expertise in emerging technology and sustainability than global peers (Ireland: 41%; Global: 35%). 

More cautious approach  

Family businesses can be conservative. The survey highlights that during market disruption, Irish family firms are much more likely to take a cautious approach sticking to familiar management styles and decision-making processes, than their global peers (Ireland: 52%; Global: 35%).

However, over six out of ten (61%) Irish family businesses confirmed high levels of agility in responding to market changes (Global: 45%). Flexibility and agility are seen as their greatest competitive advantages and more so for Irish family businesses (Ireland: 72%; Global: 57%). Areas where this agility is evident include the speed of decision making (Ireland: 93%; Global: 79%) and operational adjustments (Ireland: 79%; Global: 67%).  

A large majority (89%) of Irish family businesses reported to have a clear company purpose; 98% reported to have a clear set of family values. The global research found that agile and purpose-driven family businesses are outperforming their peers (31% v 21%).  

Safeguarding the business top goal amidst economic shocks – ahead of paying dividends 

As family businesses look to insulate themselves from macroeconomic shocks, safeguarding the business (Ireland: 80%; Global: 78%) and preserving the family’s legacy (Ireland: 78%; Global: 77%) rank as top long-term goals – ahead of generating dividends (Ireland: 70%; Global: 68%).   

In the face of broader market volatility, key priorities for Irish family businesses over the next five years are: ensuring long-term business resilience and adaptability (93%), increased financial performance and profitability (91%), reputation (87%) and strengthening family governance and succession planning (80%).   

Irish family businesses are significantly ahead of global peers when it comes to having wills (Ireland: 65%; Global: 45%) and shareholder agreements in place (Ireland: 61%; Global: 48%).

Long seen as more resilient than non-family businesses, Irish family firms are feeling the economic pressures more so than global peers.  Despite this they remain more upbeat on growth ambitions over the next two years and are prioritising reputation and legacy.  They are also indicating a greater likelihood to take a more cautious approach than global peers, when it comes to managing market disruption.

While growth expectations remain robust, the global research confirms that family businesses that are agile and purpose-driven continue to outperform their peers.

With an economy that is heavily reliant on the foreign direct investment sector, it is hugely important to bolster our domestic economy including family businesses.  Continued supports to help Irish family businesses scale-up and internationalise is critical.  They have the growth ambition but also need the support. 

AI seen as top growth priority but pace of reinvention remains slow  

Digital transformation and automation are seen as the top growth opportunities for Irish family businesses (Ireland: 76%; Global: 64%). Nearly two-thirds (65%) specifically cited experimentation with AI as a key growth opportunity ahead of global peers (61%).    

But Irish family firms are not putting their money where their mouth is as less than half (46%) are currently prioritising investment in digital transformation and AI adoption for long-term growth (Global: 39%).   

Just 15% admitted to be actively investing in and are early adopters of new technologies such as AI and automation (Global: 17%).   And in the face of market disruption, just 2% say that they will fundamentally reinvent their businesses (Global: 3%). 

 

Irish family firms hold competitive edge over non-family businesses 

When responding to market disruptions, nearly three-quarters (72%) of Irish respondents are of the view that family businesses have a significant to moderate competitive advantage compared to non-family businesses (Global: 63%). These advantages include: flexibility and agility, relationships developed over generations and strong loyalty among employees.  A large majority (87%) believe that their family business has higher trust compared to non-family businesses (Global: 74%). This extends to the levels of trust with customers, employees and partners.    

The survey highlights that the pace of re-invention for Irish family firms remains slow. As new and emerging technologies transform the global economy, businesses must prioritise agility, innovation and their digital and AI transformation programmes if they are to remain agile and unlock new avenues for growth.

With their strong sense of purpose, strong priority over reputation and legacy and long-term investment approach, family businesses are uniquely positioned not just to withstand uncertainty but to thrive.

Four areas of focus that set top performers apart  

According to the research, the four areas of focus that set the top family firms apart are: 

• Scaling purpose. Clear and codified purpose is behind a range of growth-driving capabilities. 

• Embracing structural agility. High-performing family businesses are actively leaning into their centralised decision-making. 

• Putting “long-term capital” to work. In an era of macroeconomic uncertainty and geopolitical volatility, patient capital is proving to be a growth engine. 

• Protecting and activating reputation. For family businesses, reputation is both a legacy to protect and a lever to activate growth.