Questions to Ask a Multifamily Office, With a Printable Scorecard
Use this guide to compare multifamily offices, or MFOs, on service, fit, fees, access, and accountability. Ask the same questions, record the answers, and score each firm before you decide.
Comparison table
| Criteria | MFO | Single-family office | Wealth manager |
|---|---|---|---|
| Client model | Serves several unrelated families through one platform. | Serves one family and is built around that family’s needs. | Usually serves individuals and families through an advisory or brokerage model. |
| Service breadth | May combine investment oversight, reporting, estate coordination, family governance, and other services. | Can design a full internal service model for one family. | Often centers on portfolio management and financial planning. |
| Cost structure | May charge an advisory fee, project fees, or fees from affiliated providers. | Family bears the operating budget and staffing costs. | May charge asset-based fees, commissions, or both. |
| Control | You share a platform, process, and team with other families. | The family controls priorities, staffing, and processes. | You control the relationship, while the firm controls its service model. |
| Fits families that | Families seeking broad support without building a full internal office. | Families willing to fund and manage a dedicated organization. | Families mainly seeking investment management or planning. |
Decision flowchart
- Question 1
Do we need coordinated help across investments, reporting, estate work, tax coordination, and family governance?
- Question 2
Do we want to share a platform and team with other families?
- Question 3
Can the team name the people responsible for our account and explain backup coverage?
- Question 4
Did the firm provide its agreement, fee schedule, Form ADV or equivalent disclosure, and conflicts information?
- Question 5
Can the firm provide relevant client references and a clear explanation of any complaints, disciplinary history, or regulatory disclosures?
- Question 6
Does the firm score 2, the highest score, on every must-have criterion?
- Question 7
Are all material fees, services, conflicts, and termination terms written in plain language?
- Question 8
Is investment management the main service we need?
- Question 9
Are we prepared to fund dedicated staff, systems, compliance, and administration?
- Question 10
Will the firm answer the missing question in writing and provide supporting documents?
- Question 11
Can another firm meet the missing must-have criterion?
- Question 12
Does the provider offer the reporting and coordination we need beyond portfolio management?
- Question 13
Do we have a written operating plan and person accountable for oversight?
- Question 14
Have we recorded the decision, owners, review dates, and exit process?
- Question 15
Does the firm later provide complete answers and documents?
- Question 16
Is the missing criterion truly optional for our family?
- Question 17
Is the provider suitable for our needs after review?
How to use the scorecard
Print one scorecard for each MFO. Score every item from 0 to 2. Use 0 for no answer or poor fit, 1 for a partial answer, and 2 for a clear answer supported by documents. Mark each item as must have or nice to have before the meetings. Do not average away a missing must have.
Service and people
Ask: What work do you perform directly? What work goes to outside providers? Who leads our relationship? Who handles investment decisions, reporting, cash requests, and urgent matters? What happens if our lead adviser leaves? How many families does each senior professional serve? Ask for a sample service calendar and reporting package.
But if you write down the 30 questions that a sophisticated investor should always be asking you and that you would ask you if you were on their side of the table and write out the answers to all of them. It's going to make them feel much more comfortable investing with you.
Fees and conflicts
Ask for every fee in dollars or a clear formula. Include advisory fees, performance fees, custody costs, fund expenses, transaction costs, project fees, referral payments, and fees from affiliated businesses. Ask: Do you receive commissions or other compensation tied to products or referrals? SEC guidance says advisers must disclose compensation arrangements that create conflicts in their Form ADV disclosures [1].
Investment process
Ask: Who sets our policy? How do you allocate public and private investments? How do you value private holdings? What liquidity limits apply? How do you monitor concentration? What is the approval process for an investment? Ask for a written investment policy outline and a sample risk report. This guide does not recommend any investment.
Be sure to reevaluate all outside relationships at least once a year to make sure each contract still makes sense for your family.
Reporting, custody, and controls
Ask: Which custodian holds assets? Who can move cash? Are payment instructions independently verified? How often do we receive consolidated reporting? Can the report show net performance, fees, taxes, liquidity, and exposure by entity? Ask how errors, fraud attempts, and cyber incidents are reported.
Governance and family work
Ask: Can you support family meetings, education, succession planning, philanthropy, and shared decision rules? Who owns the meeting agenda and follow-up? How do you handle disagreement among family members? Ask for examples with identifying details removed.
Verification
Check the firm and each relevant professional in SEC Investment Adviser Public Disclosure and FINRA BrokerCheck. Investor.gov says these tools can show registration, qualifications, complaints, employment history, and regulatory information [1][2]. Verify professional designations through the issuing organization. For a CFP professional, use the CFP Board verification page [3].
Printable scorecard
Firm: ____________________ Date: ____________________ Reviewers: ____________________
Service scope matches our needs, score ____ / 2, must have: yes / no Named relationship owner and backup, score ____ / 2, must have: yes / no Relevant experience with our family complexity, score ____ / 2, must have: yes / no Clear investment process, score ____ / 2, must have: yes / no Liquidity and private asset reporting, score ____ / 2, must have: yes / no Consolidated reporting quality, score ____ / 2, must have: yes / no Custody and cash controls, score ____ / 2, must have: yes / no All fees disclosed in writing, score ____ / 2, must have: yes / no Conflicts explained and acceptable, score ____ / 2, must have: yes / no Regulatory and disciplinary review completed, score ____ / 2, must have: yes / no Client references completed, score ____ / 2, must have: yes / no Termination terms and transition plan clear, score ____ / 2, must have: yes / no
Total score: ____ / 24 Must have items passed: ____ / ____ Top strengths: __________________________________________ Open questions: _________________________________________ Decision: select / shortlist / remove Next review date: _______________________________________
FAQs
What documents should an MFO provide before we decide?
Request the client agreement, fee schedule, service description, Form ADV or equivalent disclosure, conflict disclosures, privacy notice, custody details, and termination terms. SEC investor guidance recommends reviewing the relationship summary and Form ADV brochure [1].
How should we compare MFO fees?
Put every cost into one schedule. Show recurring fees, one-time fees, product expenses, transaction costs, performance fees, and payments from affiliates or referral arrangements. Compare the total cost for the same services and asset mix.
What is the fastest way to check an MFO team?
Search the firm and relevant professionals in SEC Investment Adviser Public Disclosure and FINRA BrokerCheck. Review registration, employment history, complaints, arbitration information, and regulatory disclosures [1][2].