Family Office Operational Assessments
Family offices are entrusted with financial assets as well as the safety, privacy and reputation of the family, and a robust internal control structure is essential to safeguard those riches.
The services provided by the family office naturally change over time, and internal controls evolve over time due to personnel changes, technological changes, and the relative size of the family office. Over time, new technologies also drive change into the family office. Often, the impacts of such changes are not formally evaluated and updated into the policies and procedures.
We are frequently engaged by family offices to conduct an assessment of the office operations. These assessments provide an objective view of the current policies and procedures, and recommendations to improve the efficiency and effectiveness of the family office operation.
Our experts understand the nuts and bolts of financial processes, and the control points to be met to help ensure positive outcomes. We can rapidly assess the state of controls, and make recommendations to improve the efficiency and effectiveness of operations. Strong internal control structures provide confidence to the family members that operations are efficient, and management have the best information to make important decisions.
Example Engagement: Port-Mortem Family Office Management
A high-net worth individual passed away and the long standing family attorney resigned. We were able to immediately step in and assist with estate management. The surviving family also asked us to take over all accounting services previously provided by the existing family office personnel. We worked with the estate beneficiaries to engage new estate and probate counsel, develop an updated balance sheet for the estate, and to coordinate with new counsel for asset pour overs into the decedent’s trust. The loss of the long-standing family counsel precipitated an exigency for the surviving family to administer the estate. Our expertise in crisis management coupled with our experience in: estate and family office administration; and estate tax and income tax compliance and consulting allowed us to facilitate a smooth transition at the time that the family members were grieving the loss of a loved one.
