How to structure a family office: SFO vs. MFO
Setting up a family office?
Led by the ex-CFO and ex-CLO of SumSub (Global KYC)
The first decision is single-family vs multi-family office — then entity type, jurisdiction, and cross-border tax.
Here is the honest breakdown, plus how Point Legal designs the legal and tax structure on a flat monthly fee.
Single-family vs. multi-family office
A multi-family office is the better structure for families below roughly $150 million in investable assets, or with low complexity, because shared infrastructure costs far less than a dedicated office. A single-family office is the right structure for families with significant cross-border complexity, multiple branches, operating businesses, or a need for full control and privacy. Point Legal designs the legal entities, holding vehicles, and tax structure for either, across jurisdictions.
Single-family vs. multi-family office, side by side
The first structural decision for a family office is whether to build a dedicated single-family office or join a shared multi-family office platform. Here is how they compare on cost, control, and complexity.
| Single-family office | Multi-family office | |
|---|---|---|
| Primary client | One family | Multiple unrelated families |
| Control | Full — own team, systems, mandate | Shared — strong influence, firm-led platform |
| Cost structure | ~$1.5M–3M/yr fixed (≈75–125 bps) | ~0.35–0.75% of AUM, shared |
| Economic threshold | Rational at ~$150M–250M+ AUM | Efficient below ~$150M AUM |
| Customization | Fully bespoke across investments, tax, estate | Broad offering, more standardized |
| Governance | Custom, family-specific | Firm framework + family layer |
| Privacy | Highest | Shared infrastructure |
| Best for | Complex, cross-border, control & privacy | Institutional resources without a full build |
Thresholds and cost ranges reflect 2026 industry data (UBS, Morgan Lewis, family-office advisory sources); your situation may differ. This page is general information, not legal, tax, or investment advice.
When to choose which
When a multi-family office fits
- Investable assets are below roughly $150M and complexity is low.
- You want institutional-grade resources without building an office.
- A single-generation, single-jurisdiction family with mostly financial assets.
When a single-family office fits
- Significant cross-border complexity, multiple branches, or operating businesses.
- You want full control over team, mandate, reporting, and privacy.
- A liquidity event such as a business sale or IPO has concentrated wealth.
How Point Legal structures your family office
Point Legal designs the legal entities, holding companies, and trust or foundation structure for your family office, selects the right jurisdictions, and manages cross-border tax and substance — CRS, economic substance, and BEPS Pillar Two — all on a flat monthly fee with CFO-led tax review.
Corporate structuring & governance
Company formation, share issuance, restructuring, cap-table cleanup, and ongoing corporate housekeeping across multiple entities and jurisdictions.
Fundraising & equity
SAFEs, convertible notes, non-priced term-sheet reviews, ESOP and stock-option plans — investor-ready paperwork that holds up in due diligence.
Token issuance & web3
Token issuance agreements, validator and liquidity reviews, token warrants, and TGE-ready documentation built for tight launch deadlines.
Fintech & web3 licensing
End-to-end licensing support, AML compliance, document preparation, and direct coordination with regulators across multiple jurisdictions.
Intellectual property
Developer contracts, IP assignments, licensing agreements, and pilot/partnership support so you actually own the tech you build.
Data privacy & compliance
Privacy audits, policy drafting, GDPR and global data-protection strategy, plus hands-on support for internal and customer-facing operations.
Designing your family office structure?
Tell us about your assets, your jurisdictions, and your family — we'll map the right entity and tax structure, with a real lawyer's answer within 24 hours.
By uploading the document, you agree to our ToS, Privacy and NDA policies.
Frequently asked questions
What is the difference between a single-family office and a multi-family office?
A single-family office serves one family with a dedicated entity and staff, giving full control at a higher fixed cost. A multi-family office serves several families on a shared platform, lowering cost but reducing control. The right choice depends on assets, complexity, and the need for privacy.
At what net worth should you set up a single-family office?
A single-family office becomes economically rational at roughly $150 million to $250 million in investable assets, where its fixed operating cost compares favourably with multi-family office fees. Below that, complexity rather than asset size is what justifies a dedicated office.
How is a family office structured legally?
A family office is usually built from a holding company (often an LLC or limited partnership), one or more investment vehicles, and trust or foundation structures for succession, coordinated across jurisdictions. Entity and domicile choices should be set before the first hire because they are expensive to unwind.
How much does a single-family office cost to run?
A lean single-family office typically costs about $1.5 million to $3 million per year, or roughly 75 to 125 basis points of assets near the $200 million tier, falling toward 70 to 100 basis points as assets grow. A multi-family office is usually cheaper at lower asset levels.
Which jurisdiction is best for a family office?
No single jurisdiction dominates. Cayman is common for investment vehicles, while the UAE, Cyprus, Jersey, and Guernsey are used for operating and holding entities. The choice now depends on substance rules, CRS exchange, and BEPS Pillar Two's 15% global minimum tax.