How Family Offices and Investors Compete for Better Deals
In a Family Office Club podcast, Richard C. Wilson discusses competing for deals as an investor, fund manager or family office.
Richard C. Wilson uses a question about fund investing and family offices to explain how their roles differ and why investors need approaches suited to their circumstances. He then turns to competition for deals, covering how private investors and capital raisers can give counterparties a reason to choose them. The discussion draws on Family Office Club events and investor summits, where family offices and investors can hear how others operate and meet people in their fields.
In this video: Richard C. Wilson (Speaker)
What they said
- Richard on funds and family offices. Richard says a fund generally focuses on one or a couple of strategies and invests on behalf of others. A family office generally manages its own money. (at 0:34)
- Richard on advice for investors. Richard says advice should account for an investor's business, skill set and experience. He recommends seeking guidance from people who understand similar circumstances. (at 1:28)
- Richard on capital that stands out. Richard says investors can explain the distinct value they bring, such as relevant expertise, useful insight or contacts who may buy an asset at exit. Fast answers in a focused area can also make a dealmaker come to them first. (at 6:30)
- Richard on unclear fundraising pitches. Richard says a fundraising pitch may be unclear or too similar to others if investors do not respond. He allows that other issues could also affect the process. (at 5:06)
- Richard on family office deal flow. Richard says family offices should consider which deals they want to see and where they can contribute most. He also points to using a preferred structure where it works well in a particular industry or area. (at 5:34)
In their words
"that's a really good question because the term is often confused"
Why it matters if you are building or preserving great wealth
Richard compares six cereal types in some markets with 200 choices in a U.S. Aisle. He applies that competition to deals, where an investor needs a reason to be chosen. For capital raisers, he gives a concrete target: dental clinic deals may suit dentists who sold their clinics, while high-tech deals may suit people who made their money in tech.
From Richard's exclusive Billionaires.com interviews
Lessons from Richard C. Wilson's one-on-one interviews, as published on each interview page.
- Anu Aga: Focus on one main cause. Her family found its giving more satisfying and impactful once it chose primary education for the underprivileged in India.
- Binod K. Chaudhary: Never chase a deal out of desperation. Stay cool and look at every part of the deal. Have your advisers and your finance team review it critically. Your counsel should review it too.
- Larry Connor: Learn from every mistake. Larry's team owns its failures and makes no excuses. They learn, change quickly, and keep getting better.
See the data
Frequently asked questions
What does Richard say a multi-family office may do?
He describes holistic wealth management that can include stocks, bonds, equities, planning and multi-generational matters.
What example does Richard use to describe competition?
He compares six cereal types in Brazil, Russia or China with a U.S. Cereal aisle he describes as having 200 choices.
Sources
Quotes are copied from the video captions and checked against the transcript. Timestamps link to the moment in the video. General information only, not legal, tax or investment advice.