Raising capital from family offices
How long does a family office take to make a decision?
Short answer
There is no standard timeline, and I would not trust anyone who gives you one number. Some family offices decide fast and others take a long time. It depends on who sits at the table, how the office is set up, and whether they know you yet. In my experience, a clear process and an existing relationship shorten the wait more than anything else.
I get this question from almost every capital raiser I meet, and I wish I had a tidy number to give. I don't. After 18 years of running investor events, I can tell you what moves the clock, but not what the clock says.
Why one family office is quick and another is slow
Family offices are not one type of organization. A single family office with one principal can sometimes say yes or no after one conversation. A multi-family office or a larger group may have an investment committee, outside advisors and several people who each want to look at the deal.
Size matters in a similar way. I often say that large institutions take so long to move and make a decision. That is one reason a focused, smaller player can compete with them. The same logic applies to family offices. Fewer people in the room usually means fewer steps.
In this talk I explain why big firms are slow to decide and how a focused player can use that to compete.
A written process usually beats a fast gut call
Some of the best family offices I know are not hasty at all. One guest, a former tech executive, told me that he and his wife decided how they wanted to make decisions first. They built a framework, then followed it. They refined it over time, but they stayed disciplined about it.
That kind of office can actually move faster on a good deal. When someone asked about one part of their portfolio, diligence was easy because everything was already organized. They could say, here is access, here is the report, here is the loan tape.
This clip shows how one family office designed its decision framework first and then followed it.
So when you pitch, ask what their process looks like. Do they have a framework, a committee, a set of criteria? The answer tells you more about timing than any guess I could offer.
Relationships shorten the wait
The most common thing investors tell me on stage is to create a relationship before you pitch a deal. Without that context, they don't really care about your deal yet. They don't know you, and you don't know how to work together.
That does not mean you should never pitch. The point of our investor club is to make connections and help investors find deals. It means a cold deal tends to sit, while a warm one gets read.
Slow is not always safe
I will say one more thing from the investor side. Indecision is itself a decision, and I like how Mark Zuckerberg put it.
"Zuckerberg says that being indecisive is a decision to do nothing and it might be the most risky decision."
If a family office goes quiet, they may be working through a process, or they may simply have passed. Either way, plan for a long wait. Keep your other conversations going, and do not stop raising while you wait on one answer.
Timing is a business question. Many sponsors talk to a securities attorney about the legal side, which is a separate topic.
From my books and event talks
Here is the closest I can get to a number. A fast moving family office might allocate in 2 to 5 weeks. But I have also seen it take 2 to 5 months, and some investors need half a year, a year and a half, or even two years to get to know you. That is why I tell raisers to have the mentality of planting seeds for the long term. If you need the money on a short clock and expect every office to move quickly, you are in the wrong space.
"Family offices, many times a fast-moving family office might allocate in 2 to 5 weeks. But it can take 2 to 5 months, or someone may need half a year, a year and a half, or two years to get to know you. So you have to have the mentality of planting seeds for the long term. Otherwise, you're in the wrong space."
On the record
- Large firms can be slow to move and make a decision, which is one reason a focused smaller player can compete with them.
- One family office couple designed their decision framework first, then followed it and refined it over time.
- One Los Angeles single family office decided about 7 years ago to supplement its own capital with outside capital from other investors.
Sources
From Richard C. Wilson's Centimillionaire Strategies YouTube channel: 9 Insights After 16 Years Running Our Investor Club | Ep 11, From Tech Exec to $100M+ Investor: How He Built His Family Office from Scratch, How This Family Office Invested in 300 Startups & Built a Town for AI, Inside the Mind of a Family Office: 100+ Strategies from 18 Years & 300 Investor Events. Quotes come from the video captions, lightly edited for readability. Figures are the speakers' own estimates and experience.
General education only. Not legal, tax or investment advice.
Talk to a securities attorney to explore options around deal structure, offering documents and investor outreach rules. Do not use AI to write your own legal agreements.
Next moves
- Ask each family office how they make decisions and who else is involved.
- Build the relationship first, then share the deal.
- Prepare your diligence materials before you need them.
- Keep other investor conversations moving while you wait.
- Consider talking with a securities attorney about your offering approach.
People also ask
Do single family offices decide faster than multi-family offices?
Often they can, because fewer people are involved. It still depends on the office and how it is set up, so ask about their process directly.
Should I follow up if a family office goes quiet?
Yes, politely and without pressure. Silence can mean a process is running or it can mean a pass, so keep other conversations going.
Can preparing diligence materials really speed things up?
In my experience it helps a lot. One guest told me diligence on part of his portfolio was easy because everything was already organized and ready to share.
Related questions
- How do I find the decision maker at a family office?Start by meeting the family through advisors, events and the people who manage their investments.
- What deal sizes do family offices typically write?There is no single typical size.
- What is the difference between single and multi-family offices?A single family office works for one family and is built the way that family wants.
- Do family offices invest in funds or only direct deals?Family offices do both.
Work through it with the dilution calculator. See all raising capital from family offices resources.