Published on 
October 23, 2023

Rethinking the Single Family Office: When It Pays to Join Forces

Radek Jezbera

As a single family office grows to serve multiple generations, it often faces challenges meeting the diverse needs of a large, extended family. At a certain point, it can make strategic sense to join an established multi-family office. Here are key reasons why:

  • Expanded Expertise - A multi-FO has expertise across more family office capabilities than a single FO likely possesses internally. Deep skills in investments, tax, estate planning, philanthropy, concierge services, etc.
  • Operational Efficiency - Centralized operations, institutional partners, aggregated buying power and specialized departments of a multi-FO create economies of scale.
  • Enhanced Technology - Multi-FOs continuously invest in next-gen tools, cybersecurity and integrated systems - hard for a single FO to match.
  • Customization - Though serving multiple families, a multi-FO assigns dedicated teams and customizes services to individual families' needs.
  • Conflict Mitigation - An independent multi-FO can objectively mediate family conflicts that may challenge an embedded single FO.
  • Objective Governance - Governance, policy setting and family communications facilitated by an independent multi-FO may be received more openly.
  • Transition Planning - A multi-FO provides continuity for the single FO when key leaders retire or transition out.
  • Independence - Family members who want to manage a portion of wealth independently can do so via the multi-FO umbrella.

Here’s the kicker: the single family office model remains a great fit for many families. But for those facing the challenges of scale, complexity and family evolution, joining forces with a multi-FO can provide the best of both worlds. Reference:

About the author

Radek Jezbera

Radek is the founder & co-CEO of KILDE, a regulated platform for alternative investments. KILDE is powering digital lending firms with debt capital to reach underbanked customers in South East Asia.


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