Raising capital from family offices
European Single Family Office Investor Mandate Interview
European Single Family Office Investor Mandate Interview
Founders and sponsors who want to understand how a direct-investing single family office thinks about greenfield deals, risk and exits.
Worth quoting
"It's not the fees that people are dissatisfied with. It's the fact that you don't get any result out of the compounded fees that you pay."
"We wanted to exit at the same multiples that we would have achieved exiting on Western markets."
"The world isn't what it used to be 10 years ago in terms of globalization."
What this talk covers
A single family office chairman explains why the office was set up for direct investments instead of mainstream private equity. After 15 years in investment banking and private equity, the guest had seen sophisticated investors grow unhappy with compounded fees that produced no result. The family office works only for one family and brings in partners as co-principals on each deal.
The guest started deals at the greenfield level in emerging markets to reduce risk. Corporate governance and full compliance standards were added so exits could match Western multiples. Past focus areas were maritime infrastructure, advanced logistics, renewables and senior healthcare. Today the office looks at the European Union and the United States, with growing interest in technology. The closing advice is persistence.
On the record
- The guest spent 15 years in investment banking and private equity before starting the family office.
- Past investing covered four verticals: maritime infrastructure, advanced logistics, renewables and senior healthcare homes.
- The guest was a principal in a Silicon Valley venture capital firm for over 10 years.
Sources
From Richard C. Wilson's Centimillionaire Strategies YouTube channel: European Single Family Office Investor Mandate Interview. 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 co-principal deal structures, holding company setup and compliance and governance standards. Do not use AI to write your own legal agreements.
Five points worth keeping
- Direct deals over mainstream private equity. The family office was created to focus on direct investments. The guest felt investors were unhappy because compounded fees did not produce results.
- Greenfield starts reduce emerging market risk. The guest said starting a new venture was the only way known to reduce risk in emerging markets. The guest said a fresh venture can be easier for outside parties to review.
- Governance and compliance support exits. Corporate governance and full market compliance were built into every venture. The aim was to exit at the same multiples as on Western markets.
- Four verticals, now moving to technology. Past investing covered maritime infrastructure, advanced logistics, renewables and senior homes. The guest now sees renewed interest in technology deals among single family offices.
- Persistence and a clear strategy. The guest named persistence as the top advice for new family offices. Advanced know-how becomes a commodity, so soft skills like resilience and flexibility matter.
- 1Start the venture from greenfield
- 2Act as sponsor or co-principal
- 3Add governance and compliance
- 4Run the venture
- 5Exit at Western market multiples
Related questions
- Do family offices invest in funds or only direct deals?Family offices do both.
- 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.
- Do family offices co-invest alongside other investors?Yes, many family offices invest alongside other investors, and they often feel more comfortable when another respected investor is already in the deal.
Questions about this video
Does this family office have clients?
No. The guest said the office has partners who are co-principals in the deals. The single family office works only for the family.
Where does the family office invest now?
For greenfield investments, it is sticking to the European Union and the United States for the moment. It plans to expand again when conditions allow.
What sectors has the family office invested in?
It has invested in four verticals: maritime infrastructure, advanced logistics, renewables and healthcare, mainly senior homes. It is now also looking at technology deals.
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