A family office is a privately-owned advisory organization that controls the private capital of high-net-worth individuals (HNWIs). Providing them with the necessary investment advisory, management, and advisory services. 

Given the complexities of these circumstances, high-net-worth customers may seek the assistance of a family office to control assets and align interests. Non-financial matters are also offered as a way of attracting wealthy individuals.

What do family offices do?

Family offices focus on investment advisory and management services. They essentially act as a wealth manager but offer wealthy families a whole range of services that go way beyond the financial component. Their scope of services ranges from:

  • Estate management
  • Accounting
  • Legal 
  • Philanthropy
  • Tax advisory and planning

Although the core of their work is related to wealth management, they offer several other services that might appeal to high-net-worth individuals. The idea is to offer a whole range of services that is accommodative to this type of individual. 

Types of family offices 

Family offices are divided into two main types: 

  • Single-family office 
  • Multi-family office

Single-family office

Single-family offices serve a single ultra-affluent family. This means that the whole office works on the behalf of a single-family.  

Multi-family office

Multi-family offices are similar to typical private wealth management firms. They strive to develop their company by servicing a large number of customers. Thus, multi-family offices are increasingly common as a result of economies of scale. Enabling cost-sharing among clients. Moreover, the types of family offices vary greatly. Because one customer may want professional counsel from a variety of sources, another may require a family office to arrange their lifestyle demands.

Why consider establishing a family office? 

There are five primary reasons why a family might think about establishing a family office: 

  • Personal 
  • Privacy
  • Prosperity
  • Perpetuity
  • Professionalism


A family office offers tailor-made services, whether it is a single-family office or a multi-family office. For this reason, it is unlike any other wealth management firm. Due to the fact that their range of services is very broad, it is a very interesting value proposition for wealthy individuals. However, its main focus is on serving the family’s interests. Being able to adapt their services to the customer's needs is also a great advantage of family offices.


Family offices respect and keep the family’s privacy. This is another appeal, as wealthy families often want their lives, and their finances to be as private as possible. Family offices assure that all of their personal data is safe and private. Only reachable by a small number of people that work closely with them. They act as a guardian of the family’s private matters and this adds to the value proposition of their services.


The main goal of some families is to preserve generational wealth. In order for this to be achieved a family office offers distinct services tailored to their customers' concerns. Its ability to organize the family’s financials, and prepare succession is also among the services they offer. A family office acts as centralized management. Managing all of the assets of the family. Even if they are dispersed between different members.


Generational wealth is only achieved in perpetuity if the new generations are able to follow in their parent's footsteps. Therefore, a family office ensures that this happens, and creates a legacy for future generations. Moreover, it also ensures that their wealth is managed properly, in order to assist the family in conserving their generational wealth.


Some families prefer to handle and invest their own capital. However, having dedicated personnel to help you with these matters is certainly a great advantage. This is where family offices come in. Therefore, they are able to execute certain tasks without any conflict of interest since their main goal is to assist the family. 

The importance of family offices

After a lifetime of amassing a fortune, high-net-worth families face a slew of challenges in maximizing their legacies. Such as confiscatory estate taxes, inheritance regulations, and family or business concerns. Considering these challenges, having advisors by your side that are able to easily take care of these concerns is certainly a great advantage.

In addition, family education is an essential part of a family office, which includes training family members on financial problems and teaching conservative values to reduce intergenerational disputes. 

Family offices collaborate with a team of advisers from each of the relevant disciplines. In order to guarantee that the family's wealth transfer strategy is well-coordinated. In addition, they also ensure that it is optimal for its legacy. 

Considering all the services provided by family offices, offering advice and services to high-net-worth individuals and families as part of a complete wealth management strategy is much beyond the scope of any one professional adviser. A well-coordinated, cooperative process by a team of specialists from the legal, investment, estate, insurance, business, and tax disciplines is essential.

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