A single family office (SFO) works for one family. A multi-family office (MFO) serves several families and earns fees from each. The right choice depends mostly on how much wealth there is and how much control the family wants.
Side by side
| Factor | Single family office | Multi-family office |
|---|---|---|
| Clients | One family | Many families |
| Control | Full control of staff, strategy and privacy | Shared services and standard processes |
| Cost | About 2% of assets a year for smaller offices, per experts quoted by ai-CIO | Around 0.8% of assets for a $100M family, per the same source |
| Typical minimum | Often several hundred million dollars | Often $25M–$100M+ |
| Staff | Hired directly by the family | Employed by the MFO |
When a single family office makes sense
A single family office makes sense when the family has enough assets to spread the cost, wants full privacy and control, or has complex needs like operating businesses, many trusts or direct investments. Experts quoted by ai-CIO put the break-even near $500 million.
When a multi-family office makes sense
A multi-family office suits families who want professional management without building a team, or who are new to wealth and want to learn before committing.
Hiring in each
Both hire the same back-office roles: controllers, accountants, tax managers and operations staff. Single family offices tend to want generalists who wear many hats; multi-family offices hire more specialists. We recruit for both. Start a search.
Questions
Is a multi-family office cheaper than a single family office?
Usually, for families under several hundred million dollars, because costs are shared across clients.
Can a single family office become a multi-family office?
Yes. Some single family offices take on other families to share costs, which turns them into multi-family offices.