In a model Family Office, to ensure maximum profitability and family harmony, business and ownership is balanced with family priorities. Whilst there are established guidelines and operational principles in the business and ownership spheres, structures within the family are far more unpredictable. Simply, succession threatens this balance, and Family Offices are worried about the consequences.
A service often done ‘in house’, succession planning involves effectively managing Social Capital, Human Capital and Financial Capital to make sure that the following issues are agreed upon:
- Structuring (governance)
- Tax and estate planning
- Education and Financial Literacy
Whilst measures are in place to ensure governance, tax and estate planning and legal matters are protected, when it comes to education, a bespoke and actionable approach for each child is the most effective way to guarantee stability.
It is not only a school and university education that is vital for Family Offices. 28% of Family Office Leaders with a succession plan see education, technical knowledge, financial literacy, leadership and business experience as key qualities for the NextGen to possess . Equipping the NextGen with not only an excellent education, but sector specific knowledge and experience ensures they can thrive in a leadership position.
How can we help?
Think Tutors’ education consultants have identified five key steps to ensure the NextGen is ready for leadership:
- Financial literacy
- Independent school admissions
- Subject specific tutors
- Professional mentors
We can equip your children with the education they need to become business leaders. Our approach, underpinned by a tailored education strategy, combines on-the-job training with relevant work experience and mentorship.
Deloitte (2019) 2019 Family Office Trends [online]. Available from: https://www2.deloitte.com/uk/en/pages/private-markets/articles/2019-family-office-trends.html [Accessed 14 December 2020].