The single family office is a private company that runs and manages investments, trusts and wealth all belonging to a single family. The financial capital in these companies is the sole property of the families that has been developed and built through generations. The family members run all the operations. The family offices provide services in running the various aspects of all the entities including day to day accounting systems, payroll, recruitment, legal affairs and property management among others.
There are some associations that have been formed by the members of single family offices. These help them to come together to share ideas, get advice and network. This is done in a confidential setting and has made it very difficult for researchers to understand how they operate, their setup, abilities and achievements because this is kept as top secret and only shared within the family. The main objective of such a setup is to ensure that the family business is firmly protected and well-managed by the current generations and those that will manage it in the future.
These family offices are becoming very significant in the global economic scene. According to Forbes, some of the top richest men in Africa and especially Egypt run belonged to this kind of a setup. This kind of a setup is a success story because they all work towards a common goal and the level of trust and togetherness is quite high.
The only challenges that these offices face is that if their business ventures cease to be profitable, they lose wealth created through the years and this becomes extremely hard to pick up the pieces.