Study On The Business Model Of Family Office

With the fast economic growth happening in our country, families possess more wealth than ever. In 2015, the group of Chinese individuals who could afford to invest 10 million RMB in total and above has increased over 1 million. The total available investment of Chinese individuals reached 112 trillion. Family office service is especially aimed to serve these high-net-worth clients in terms of family wealth inheritage and full-scaled consulting services.Despite of its few years of developments, family office witnessed a fast growth these years in providing services to rich families and has collected enormous experiences in this area. Given the exploding growth of rich families, family office businesses are expanding as well. Today, we have begun discussing and studying the business model of family office.This article is based on the business model, a fairly common subject in business operation, and aimed to follow the relevant theories of business model, to analyze three famous models and to specify all elements involved in order to seek out their commonness and to build a solid ground for studying the business model of M Family Office. Then, the article is given on the background of family office industry which the writer is living in and points out the theory basis and significance of family office in serving rich families. After that, the article describes the development of family office in developed countries from Europe and America and compares the shortcomings of its growth in Asia-pacific and China. Finally, the article comes up with a business model that suits the growth of M Family Office which is oriented with business system and supported with value positioning, core resources and profit model.Last but not the least, the article compares the business model of M Family Office with the one of its peers and points out that such business model can follow the purpose of family office to tune itself with the growth of M.