Tango-Tiger

Scope And Costs Of A Family Office

As with any new entity, the scope of the operation and the associated costs need to be assessed prior to deciding to open one. There are many different sizes of family offices, ranging from small to very large, and the size will be dependent on the amount of wealth requiring management as well as the types and diversity of assets that the money is invested in. ทดลองเล่นสล็อตฟรีทุกค่าย

Generally speaking, a small family office would have about six employees and would cost anywhere from $1 million up to $2 million to operate annually. A medium-sized family office would require 15 people to operate, with an annual operating budget of $3 million to $4 million. A large family office would need approximately 25 employees with an annual budget of $8 million to $10 million. When considering a very large family office, you’d be talking about 40 to 50 employees with an operating budget of $14 million to $20 million.

A cost analysis must be done to determine the amount of income generated each year versus the costs of operating the family offices. Additionally, you should be aware that the number of employees includes both professional staff as well as household staff. The professional staff will be in place to not only help retain the wealth that’s been created, but also to grow the wealth. Also, the support staff of a large family office might include household staff, such as drivers, security, personal attendants or even a yacht crew, if needed.

So, while the number of employees may seem high, they often include a lot of ancillary services. There is no one size fits all, and if you looking to start a family office, knowing the first steps and estimated costs will help you make an informed decision.