Raising capital from family offices
Family Office Creation Case Studies and Real Client Examples
Family Office Creation Case Studies, Examples, and Experiences to Share | EP 13
Families, next-generation heirs and new high earners who want to see what setting up a family office looks like in practice.
Five points worth keeping
- Start with the family's real situation. The case studies show very different starting points. One family has 130 million dollars and no formal structure. Another has its money tied up in one overseas business and a few big pieces of real estate.
- Formalize values, buy box and strategy. The 130 million dollar family has not defined its family values, filled out a dashboard, or set a direct investment buy box or real estate strategy. The work is to formalize each of these parts.
- Plan liquidity events to diversify. The family with one overseas business wants a couple of liquidity events. The goal is to spread the money into other assets. They still need a direct investment strategy and real estate partners.
- Good communication wins deal flow. Richard says being polite, professional and responsive is underrated. Richard says that saying plainly that something is not a fit rarely offends anyone. Not replying makes it hard to bring someone opportunities.
- Plan before problems arise. Richard says that in his experience, planning before an exit, a liquidity event or a big issue works better than reacting afterward. Topics that come up include prenups and offshore trust and estate planning, which many families discuss with qualified advisors.
What this talk covers
Richard C. Wilson walks through anonymous family office creation case studies. One family is worth around 130 million dollars and is in its second generation. The parents are hesitant to hand full control to a relatively young son. After more than 20 years of ad hoc decisions, they have no formal structure, no dashboard and no direct investment buy box. Another family holds most of its money in one overseas business and a few large properties.
He also describes the clients he most enjoys working with. Being polite, responsive and straightforward matters more than net worth. Some of these clients have closed six, seven or 19 deals with his team. He then covers families at the small end and the problems clients bring, such as prenups, divorce and offshore trust planning. His main point is that planning ahead tends to beat reacting after an exit, a lawsuit or another big event, and many families talk to their advisors about it.
Facts from this talk
- One example family is worth around 130 million dollars and is second generation, with no formal family office structure after more than 20 years.
- Richard says he has closed six transactions with one doctor and attorney family. He later says they have closed seven, and a billionaire family has closed 19 deals.
- Richard's team hosts 15 live events a year and has held 185. A coming event has 18 discussion panels with five to seven people each.
Sources
From Richard C. Wilson's Centimillionaire Strategies YouTube channel: Family Office Creation Case Studies, Examples, and Experiences to Share | EP 13. 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 family office structuring, prenups and estate planning and offshore trust planning. Do not use AI to write your own legal agreements.
In their words
"It is 10 times more powerful to be well structured beforehand."
"Just being polite, professional, a good communicator, replying to emails and phone calls, and just being straightforward."
Related questions
- 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.
- 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.
Questions about this video
Do you need to be ultra wealthy to set up a family office?
No. Richard mentions families worth only one, two or three million dollars. One example is a doctor in a first seven-figure year. These clients want to set things up right from the beginning.
Why does Richard say to structure things early?
In his experience, planning ahead of an exit, a liquidity event or a big issue works better than reacting afterward. Many families talk to qualified counsel about what approach fits their situation.
Does setting up a family office cost a lot?
Richard says that in his experience few of the ideas in the mini series cost anything. He says it is about being intentional and using the right strategies, structures and mindsets.
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