Advancement in nanotechnology brings a revolutionary change in the field of textile finishing. Textile finishing is a chemical or a mechanical process to impart functional properties to the textile to provide comfort for wearer. Today’s textile manufacturers focus on the manufacture of smart and functional textiles that are equipped with antifouling, anti-wrinkle, crease-resistant, water-repellent, flame-retardant, and soil-repellent properties for consumers’ safety and well-being. A wide variety of functional chemical finishes are available in the market to meet the ongoing challenges in the textile sector. Nano-emulsions significantly contribute to a wide variety of functional finishes to provide advanced hi-tech applications for present and future textile consumers. Both natural and synthetic polymers have been utilized for the synthesis of functional finishes by employing polymeric nano-emulsions on cotton, wool polyester fiber as well as textile. Thus, nano-emulsions provide an inherent property to textile and stimulate the economic growth of functional textile market.