It is 10 times more powerful to be well structured before a liquidity event.

[00:21]

"We have one client that's worth around 130 million dollars, second generation. The son's starting to take over, but he's relatively young and the parents are hesitant to transfer over full control, of course, until he gets a little bit older and more ingrained into the family culture."

[06:14]

"You need to structure things before those things happen, before there's an exit, before there's a liquidity event, before there's a big issue. It is 10 times more powerful to be well structured beforehand."

[01:44]

"The people who are most enjoyable to work with is not necessarily the wealthiest, so our three favorite clients just happen to be at all different levels of net worth. It just happen to be that way. One is a father-son in the Northeast. They are super nice, down to earth, normal human beings. They have a thousand employees."

Full transcript

This is part of our mini series on how to start a family office. I want to talk about family office office creation case studies. So these will be all different examples made Anonymous, of course, not to invade the privacy of any of the families we work with, but just an example of the scope of work and different challenges that come into place. We have one client that's worth around 130 million dollars, second generation, the sun's starting to take over, but he's relatively Young and the parents are hesitant to transfer over full control, of course, until he gets a little bit older and more ingrained into the family culture.

But they happen to find their family values. They don't have the dashboard filled out yet. They don't have any formal structure to their family office at all and they don't have a direct investment buy box defined or real estate strategies. Everything's been kind of ad hoc over 20 plus years, so we're helping formalize each part of that.

We have another family that's not really an investment mode yet. Their money is tied up in one big overseas business that produces profits each year, a couple big pieces of real estate and I'd like to have a couple liquidity events around that spread it out in into other assets. But they don't have a direct investment strategy yet and they don't have real estate Partners to work with yet. So that's something that we're helping them develop.

We have another client we've closed on six transactions with. It's a doctor, Mary, who's related to an attorney in the family and they manage the family office. They are some of the most enjoyable people to work with and I think that it's underrated. Just being polite, professional, a good communicator, replying to emails and phone calls and just being straightforward, something's not a fit.

It's not a fit. Nobody's offended, but not replying and not being engaged makes it pretty hard right. And so who do you think we're going to bring opportunities to? First, within our Network, the people who are most enjoyable to work with is not necessarily the wealthiest, so our three favorite clients just happen to be at all different levels of net worth.

It just happen to be that way. One is a father-son in the Northeast. In the Northeast they are super nice, down to earth, normal human beings. They have a thousand employees, they're worth hundreds of millions of dollars but they're just great to work with. Very nice people. They're very sharp.

And then this doctor and attorney: they're two of our favorite clients to work with. They've closed on seven transactions with us. Super nice people, very sharp, quick and just easy. Just ease of transactions. He's a business, uh. The other family, it's her favorite, is a billionaire family.

We've closed 19 deals with uh. The daughter is involved and they're continuing to grow their family office very rapidly. They have a few publicly traded entities. Those are some examples of some of the families we work with. On the very small end. We might have families that are, you know, only worth one or two or three million dollars.

Maybe it's a doctor and they just had their first year making seven figures. But they want to set things up right from the beginning. Or they're worth three million dollars. They're making half a million dollars a year and I think they might have an exit for three to five million dollars coming up and they want to set up things correct from the beginning, to grow their wealth and grow their family office, and that's what makes what I do so exciting.

Um is that we host 15 Live Events a year. We've done 185 of these Live Events. We've interviewed over a thousand experts in the industry and I'm always learning. So at our next event. For example, we have 18 discussion panels and every discussion panel has five to seven people on it. That's how we fit 150 people on stage over three days and I script every single one of those discussion panel questions and I only ask what I'm curious about.

After attending all 185 of our events, I've never missed one yet. But uh, one day that'll happen. My team can run it without me, I'm sure, but I go to each one and I don't want to get bored. At my own events I I get bored very easily, very quickly, so I want to make sure each event is fast paced.

Unless somebody is a billionaire. Given a keynote talk, nobody's on stage more than 15 minutes, including myself. I give a 15-minute talk, I get off. Next speaker goes up, get off. Then there's a discussion panel, another discussion panel, and it keeps things interesting because we're always working with new family offices being created. We're always helping close, negotiate and structure transactions.

We're always helping come up with direct investment strategies that are not just linear but potentially exponential by acquiring choke points and getting access to more deal flow and building a deal flow funnel and running a private Equity quality deal origination process. It's by helping clients fill out the dashboard that we can install processes, systems, strategies and structures that completely transform the results that are going to impact their balance sheet at the end of the day and impact their net worth, their quality of life, their level of stress, their level of income, and you know, as an entrepreneur, that all of those things are connected. As much as we'd like to never have our emotions be connected to our family, Financial situations, if you have ever lost a company, or had a fire at a property and insurance wouldn't cover it, or had your income doubled over a 12-month period, Etc. It is not the secret to happiness, it is not the most important thing in life by far.

It is not. But we do know that. Having peace of mind and knowing you have family office quality advisors all around you, that you have very exciting High conviction strategies that are compelling, and when you think about them you know it's leveraging your DNA, your strengths, your unique abilities and Unique Edge in the market. So you are more certain that your downside is protected because of your structures and how much deal flow you look at and you only choose the top one percent or point one percent of deals.

Or you leverage the fact that we have four to five million dollars a year in overhead and talk to 55,000 people a year so we can bring you the top point one percent of opportunities and we compare that against the best things that you're able to Source. Then it's going to improve your deal flow and you're going to have more sleep at night, peace of mind that things are going to go well for you and for the Next Generation. So I hope you enjoy this short video talking about all the different types of case studies. We work with clients in all different Industries with all different types of challenges, from a son who's in drug rehab to getting prenups in place for a daughter or son, to figuring out how to structure things recently after a divorce, to structuring something right before somebody has an exit, to lower taxation, to put into place offshore trust and estate planning before there's any issue.

Attorneys cannot help you after a massive lawsuit has hit you. They cannot help you very much after something really horrible, maybe an accident happens. You need to structure things before those things happen, before there's an exit, before there's a liquidity event, before there's a big issue. It is 10 times more powerful to be well structured beforehand, and so I hope, by watching this mini-series and if you just jump right on this video, go back and watch the whole mini series on how to create a family office, either through our podcast or our YouTube channel, share it with family members and just say, hey, just watch half of these many modules of the mini-series and they will see that there is a lot of things they could put into place.

Almost none of the ideas I mentioned in this whole series cost anything. It's really about being intentional and using the right strategies and structures and mindsets and approach so that you're leveraging the best practices of what everybody does, who's been ultra wealthy for over a decade, but almost everybody messes up when they first start earning seven figures, when they first become ultra wealthy. So I hope you found all that really helpful. We'll see you on the last and final module, at least in version one of this mini series.

We'll see you on the next