In this video Richard C. Wilson, founder of the Family Office Club, discusses why those with over $100 million in net worth need to form a single family office to protect and help grow their wealth. To learn more about single family offices, visit http://SingleFamilyOffices.com Hello, this is Richard Wilson, I’m coming to you from Key West today. I wanted to talk to you real quick about hundred million dollar families and their need for single family offices. This is something that I discussed recently on our family office podcast. When I was on the Jim Fried business radio show, we talked about the basics of single family offices and why they’re in demand, and in short, the main reason why hundred million dollar families need to have a single family office is that if nobody is playing that quarterback role, then all of that weight lands upon themselves, their family members, or their CPA, which may or may not be playing a quarterback role for the full balance sheet of other $100 million families. Unless you have true, nationally premier family office service providers in place, none of them is probably used to stepping up and being the head organizer of the family’s financial affairs. When you have a single family office in place, you have somebody who’s coordinating and communicating and organizing and reporting between the wealth management aspects, the charitable giving and philanthropy. The insurance aspects of your wealth, the operating businesses which you run, the cash balances you have in different accounts within different holding companies, and the tax effects of buying businesses, selling businesses, rolling over 1031 real estate exchanges, and optimizing your net operating loss certificates you might be able to gain within parts of your portfolio to balance out the income and profits that you’re producing in the rest of your portfolio. In short, if you’re worth $1 million and you make a 5% mistake in terms of your taxation level, let’s say of when you sold an asset or how you transferred an asset to the next generation and you’re 5% less efficient than you could’ve been, then it’s not as painful as if you are $100 million family. If you make a 5% mistake, it’s a $5 million mistake and that could’ve paid for a lot of advice and oversight and reduction of chaos, and and really reduction of stress as well for the family. Even if it didn’t produce excess returns, it prevents some of those losses due to excess taxation, excess fees by not knowing what the industry standards are, not having the person who’s dedicated to negotiating those fees for you, et cetera, then you’re really going to be at a disadvantage when competing against those families that do have a single family office in place. The number of benefits are many. If you want to learn more about single family offices, I encourage you to visit our website, the singlefamilyoffices.com or just go on Amazon and search for single family office book, Richard Wilson, and you can find my best selling book on the industry. We spent about 700 hours writing that book, and it sells for under $10. I think you’re going to get a ton of value from it for your money spent. And I hope someday we can meet face to face and do business together. Thank you.
Why Centimillionaires Need Single Family Offices
