Family in backyard

The four key solutions of MNP’s Family Office

November 10, 2021

The four key solutions of MNP’s Family Office

Synopsis
4 Minute Read

Family office is a term that many people have heard of, but few people understand. Learn more about family office and how it can support your goals.

The family office model has existed for decades. The origins trace back to the 1880s, when the Rockefeller family created a team to help them manage the responsibilities that came with wealth and develop strategies to sustain the success they had created.

Given the history, there’s an understandable confusion that comes with the family office term. Some people believe there’s a significant financial threshold you need to reach to take full advantage of a family office. As families have evolved, so have family offices. Today multi-family offices — those that serve more than one family — are becoming more prevalent as a way to take advantage of the specialized resources while allowing you to share costs and only use the services that your family needs.

A family office can help you make sense of the options ahead of you and empowers you to make the right decisions to achieve your unique goals. Let’s look at the solutions a family office team can deliver to your family.

Making sense of the complex mix of wealth and assets

Wealth creates options and options create complexity. You may be trying to figure out the most effective way to allocate your wealth, whether that means investing for the future, redistributing to family members, or creating charitable foundations, among other options. MNP’s Family Office services can help you create an asset strategy that achieves your goals while minimizing income taxes and highlights the opportunities ahead of you. By providing a consolidated view of your family wealth, you can see how all the moving pieces come together and how that might evolve in the future, allowing you to feel confident in your decisions.

Sifting through the information overload

There’s so much information available at our fingertips. But if you search for the best strategies online, you’ll likely find conflicting opinions, or you could start creating a plan while using out of date information. It’s up to you to separate fact from fiction and find out exactly what is best for you and your family. With constantly changing tax rules and regulations, staying on top of what’s new and adjusting your strategy can feel like a full-time job in itself.

It doesn’t have to be left up to you. At MNP, we understand the rules and follow legislative developments to manage income tax, maintain financial reporting, and keep your wealth protected. You get a plan that’s always up-to-date, and the peace of mind that comes with knowing you’re on the right path.

Maintain family harmony through communication, information sharing, and collaborative decision making

An unfortunate side effect of wealth can be turmoil within your family. Assumptions, expectations, and distrust starts to bubble under the surface and family members may believe they are not getting what they deserve, or that the wrong decisions are being made. The stress on you can feel ever-present and loom over every conversation. To avoid disruption within the family, we often see people put off important decisions, just to be forced into difficult choices with fewer upsides.

Our family office team can help steward your family through the development of governance structures, plans and policies that enhance communication, provide structure around decision making and prepare the next generation. Advisors can walk your family through the options with an objective perspective, allowing everyone to understand what the potential routes are and learn the upsides and downsides of each decision. In turn, you strengthen your family unit and sustain the wealth you’ve created.

Focus your time on the right things

When you think about how you want to spend your time, where does financial management rank? And if you reflect on the range of tasks you’re currently juggling, is financial management too high on the list and is it taking valuable time away from experiencing the life you’ve created?

A family office can allow you to focus on the things that matter most to you, while giving you confidence that you are staying on track.

In the end, you want to know your family is looked after, happy, and heading in the right direction. With help from the MNP Family Office, our advisors work with you to build a strategy for your unique needs, so you can achieve these goals and enjoy what you’ve worked so hard for.

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