Five key business priorities for private company owners in 2026

Jonathan Flack

Global Private Leader, PwC United States

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Video 04/03/26

Five key business priorities for private company owners in

2025 has been another turbulent year for businesses of all kinds. Megatrends like geopolitical fracturing, rapid technological change—including accelerating adoption of AI—and escalating climate impacts have made the operating environment ever more complex. All overlaid by pervasive economic uncertainty that makes forward planning all the harder.

As we embark on 2026, there’s no sign of the pace of change and disruption easing off. And for private business owners, the continued uncertainty creates distinct challenges. I’ve drawn on my interactions with private companies of all sizes and sectors to identify the top five issues I believe they should prioritise in the year ahead.

1. Balance short-term agility with long-term strategy

It’s self-evident that a lot is changing in the short term, requiring all businesses—not least private ones—to make decisions and implement responses with speed and agility. But to remain competitive, the heightened need for responsiveness mustn’t distract owners and managers from the equally vital task of formulating and executing a long-term strategy. As our 29^th Global CEO Survey put it ‘It’s often said that successful leaders need both a microscope and a telescope to help them identify near-term threats while spotting long-term opportunities.’

Doing this well demands several elements. One is a deep understanding of the operating environment and market dynamics. Another is clear insight into the business’s sources of value, both existing and potential. A third is reliable forecasting—an area where smart digital solutions are playing an increasingly key role.

When it comes to balancing short-term agility with long-term strategy, evidence suggests private businesses have particular strengths. Take our 12^th Family Business Survey of more than 1,300 owners and senior leaders worldwide. Asked how they reconcile near-term results with long-term goals, three-quarters said they favour a long-term or balanced view. And these long-term orientated businesses are reaping the rewards—outperforming their short-term orientated peers on achieving stable growth, and focusing more on strengthening their operations and adopting new technologies.

2. Investing in AI in a cost-effective way

A further finding from our latest Family Business Survey is that 60% of respondents see Generative AI (GenAI) as a growth opportunity. Although PwC’s recently published 29^th Global CEO Survey shows that only three in ten CEOs are confident about revenue growth in 2026 as most struggle to turn AI investment into tangible returns.

We know that many companies have so far shied away from investing in GenAI, on the grounds that it’s too expensive and the returns too uncertain. However, the reality is that “we can’t afford to invest in AI” should now be supplanted by “we can't afford not to invest.” Evidence of GenAI’s effects on productivity, revenue and profitability is growing by the day: for example, companies in the same survey say even a modest investment in GenAI has improved their dynamic pricing response times, in turn enhancing customer engagement.

As the GenAI wave progresses into agentic AI, with AI agents becoming commonplace in areas from financial control to HR to customer service, the benefits are set to multiply. So private businesses need to ensure their people are using AI effectively, by finding a way to invest in it without breaking the bank. This means taking a phased implementation approach, starting with those use cases that offer the fastest payback, and applying measurement tools to get a clear view of the resulting impacts and returns.

3. Succession planning that really works

It’s often assumed that succession planning is only an issue for family businesses. However, any private business owner who’s set up a company—whether with family involvement or not—needs to think about who they’re going to pass it on to and on what terms, whether through inheritance, sale to a third party, a management buyout, or another route.

But while readying for succession is imperative, the uncomfortable truth is that most succession plans fail for an array of reasons—ranging from inadequate development of future leaders to overly rushed preparation and engagement at all levels. That’s why putting succession planning on the back burner and starting it “some day” means it’s already too late.

This should be the year where business owners prepare the way for the next generation, whether from their own family or not. This means putting emotion to one side, and weighing up the pros and cons objectively between options such as family succession or external sale. Other key elements include working out what the succession will really cost financially, and initiating the conversation now with the relevant family members, no matter how sensitive this may feel. Succession planning should also be considered in the context of long-term strategic planning, as discussed in point 1. But the most important move to make in 2026 is the first step forward: progressing from succession planning to succession action.

4. Beyond compliance, sustainability embedded in business as usual

While the pace of sustainability regulation has slowed in recent years, the emphasis has shifted towards the impact of climate change on business performance and future growth. More businesses are experiencing the disruptive effects of climate change—such as production locations being impacted by heavy weather events, disruption of supply chains, and the increasing price of scarce resources like the coffee bean. On top of these effects we’re also seeing more pressure from customers, reflecting their rising expectations.

But while external stakeholders—in common with employees—are eager to see companies make a positive difference, they’re also adept at differentiating between expensive or showy gestures and truly smart, impactful moves. What’s more, those initiatives that make the biggest difference can often come at a low or no cost, such as reducing energy usage. In areas such as this, smaller businesses can often outmanoeuvre larger ones.

So, where should private companies focus their sustainability efforts in 2026? What’s needed is a business-led approach—and here I would single out three key areas where it’s vital to get a firm grip. First, the financial implications of climate risk: with more locations becoming uninsurable because of extreme weather, companies need to understand the effects of climate-related disruption and put in place robust business continuity plans. Second, the costs related to the energy transition and reduced energy security: these include becoming more energy-efficient, switching to renewable energy, navigating through power outages, and funding higher energy costs. Third, the costs of compliance: with the EU’s CSRD currently being revised, the focus here is more on aspects like carbon pricing, and the potential penalties or business disruption stemming from avoiding or missing regulatory targets. For example, non-compliance could mean that goods are not allowed to cross territorial borders and get stuck at customs. The overall message? Sustainability is no longer an add-on—but an integral aspect of BAU.

5. Building resilient operations—in multiple dimensions

My fifth and final priority for private business owners in 2026 is partly an outcome from delivering against the other four: the creation of resilient operations that will be able to ride out ongoing uncertainties and shocks. What resilience really means for private business is the ability to navigate and maintain operations through disruptions of all kinds and ideally emerge stronger.

This attribute can be developed in multiple dimensions. In supply chain, by reducing the exposure to potentially risky locations or providers. In people and leadership, by limiting the dependence on specific individuals through succession planning, smart recruitment, training and promotion. In financial resources, by building up reserves that buffer against unforeseen events. In strategy, through scenario planning involving stress-testing the business against various situations. And in strengthening the overall enterprise, by investing to build resilience without overstretching.

While 2026 will, no doubt, bring with it more change, I believe with change comes opportunity particularly for private businesses. If you’d like to discuss any of the issues I’ve raised, please get in touch.