Creating an SFO for Wealth Creation

“Frequently, the question ‘when to consider an SFO,’ focuses only on net worth.  Making a decision based solely on whether a family has a certain net worth is not looking at the full picture of the benefits that can be realized from establishing an SFO. There are many benefits and value for a family with net worth of $30 million+ to start an SFO, including:

– Creating a team of internal dedicated professionals advancing family investment and business opportunities through proactive research and sourcing to expand upon the family’s net worth in any market condition

– Total control and privacy of the family’s personal and business affairs, buffering the family from undesired solicitations

– Internal due diligence and safeguards (reviews, audits, etc.) to avoid ponzi schemes, frauds and downward market conditions

– Crystallizing family values and developing a mission statement and plan that guides and encourages generations to follow the family vision

– Building a sustainable family legacy through a unifying entity (the SFO)

– Philanthropic giving coordinated within the complete family investment, tax and estate plan, promoting family values and reputation worldwide

– Coordinated family effort educating younger family members on the family’s mission, financial resources, business enterprises and opportunities to improve wealth and reputation

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