Family Offices play a crucial role in managing the wealth of high-net-worth families, so it is no surprise that there would be a broad range of legal issues to consider. Just like any other business or organisation, Family Offices have a legal counsel advising and assisting them on these matters.
Needless to say, family politics and succession concerns ensure the responsibilities of a Family Office legal counsel go beyond traditional legal advice. They must also provide strategic guidance and be a cultural fit.
In this article, we consider the multifaceted role of legal counsels in Family Offices, explore what makes an ideal candidate, what Family Offices are looking for when hiring them, and other essential considerations Family Offices must consider when recruiting one.
What is a Legal Counsel in a Family Office?
This is a multifunctional role that goes beyond the traditional boundaries of legal advisory. They must be able to navigate varied asset portfolios and multiple legal and regulatory matters. Generally, their responsibilities include estate planning, trust administration, structuring and planning regarding tax liabilities, company secretarial duties, and compliance oversight.
Importantly, the role demands adaptability, as it can vary significantly depending on the specific needs and structure of the Family Office. With the familial politics involved, a legal counsel may also need to help resolve difficult or sensitive family disputes on top of their usual duties.
What Family Offices Look for in a Legal Counsel
Family Offices prioritise a blend of personality traits, experience and cultural fit. They look for candidates with:
- Strong interpersonal skills: Apart from being a qualified lawyer, the ideal candidate must possess strong interpersonal skills to navigate complex family relationships as they will be required to deal with succession planning and intergenerational wealth transfer.
- Communication skills: They must be able to explain complex legal matters in a clear and understandable manner, keeping all stakeholders informed.
- Extensive legal expertise and skill sets: Depending on family needs, they may need to be familiar with wealth management, tax law, estate planning, asset protection, corporate law, real estate law and possibly family law. Proficiency in the other languages spoken by the family may be required too.
- Customised solutions: They must be able to provide personalised and tailored solutions to address their unique circumstances and objectives.
- Discretion: Due to the amount of sensitive information involved, they are expected to uphold the highest level of confidentiality.
Thinking of hiring a Legal Counsel in your Family Office?
Several factors require careful consideration when hiring a legal counsel:
- Cultural fit: As we have discussed in many of our articles, ensuring the candidates’ alignment with the family’s values and long-term objectives is crucial.
- Proactive engagement: A proactive attitude in strategic decision-making and a willingness to assume increasing responsibilities.
- Reputation and track record: Reputation matters significantly in the legal field, so a strong track record of success and integrity.
- Network and connections: A broad network, as they often need to collaborate with other professionals, such as financial advisors, accountants, and investment managers.
- Relevant experience: Prior experience working with ultra-high-net-worth individuals or Family Offices offers a better understanding of the industry and the ability to navigate complex family dynamics.
The perfect Family Office legal counsel is a multifaceted professional who combines legal expertise with interpersonal skills, adaptability, and a deep understanding of the family’s values. Hiring for such a role may not be an easy task.
If you are a Family Office looking to enhance your legal team or a legal professional aspiring to thrive in the world of high-net-worth families, Agreus offers tailored solutions to meet your needs. We have successfully placed entry-level through to executive-level professionals within investments, legal, accountancy and finance and operational roles in Family Offices across the world.
We understand the unique dynamics of this space and can offer the perfect candidates as well as consultative advice on compensating your employees. Connect with us today to explore how we can support you.
Alternatively, if you are interested in working for Family Offices, please see the link below: