Harvard Business Review Family Business Handbook

13.

The Family Office in a Family Business

“I hate to say it, but we keep coming back to the need for a family office.” With great reluctance, Phil recognized that the family business had to formalize the support services the company had long provided for family members. He was one of the leaders of the second generation of a thriving family business, one that had always had staff dedicated to supporting the tax, financial, philanthropic, and other needs of its owners. The company accountant would handle, say, the members’ personal tax filings, mortgage payments, charitable donations, and so on. That structure worked just fine for Phil’s father, the founder, and Phil’s siblings, all of whom dedicated their lives to growing the company. For them, ...