Family Investment Companies (FICs): familiar, flexible and built for long‑term wealth

A Family Investment Company (FIC) is a private company, typically limited by shares, used by families to hold, manage and grow wealth. For internationally mobile families, a FIC can be an effective complement to trusts and family office arrangements, with clear governance and long‑term succession planning.

Partnering with a UK or offshore corporate services provider ensures proper governance, support with company secretarial requirements and tax compliance across multiple jurisdictions.

FICs are suitable for

• Families with significant investable assets seeking control and professional governance 
• Entrepreneurs post‑liquidity who want to ring‑fence proceeds for future generations
• Internationally mobile families affected by shifts in UK tax and inheritance rules
• Families who value clear decision‑making, audit‑ready records and board oversight
• Those seeking alternatives or complements to trusts for non‑trading assets

Benefits of FICs

• Control and governance: founders can retain voting control as directors while separating economic rights
• Tax profile: corporation tax applies to most income and gains; many dividends received by UK companies are exempt from corporation tax, allowing income to compound inside the structure 
• Succession planning: inter‑generational gifting of non‑voting shares enables value transfer without giving up day‑to‑day control
• Asset protection and discipline: board procedures, reserved matters and shareholder agreements support prudent stewardship
• Flexibility: different share classes, capitalisation approaches and investment mandates
• Cross‑border optionality: UK or offshore company options depending on residence, asset mix and objectives

Typical use cases for FICs

• Consolidating listed securities, funds, cash and co‑investments under one governed vehicle 
• Managing distributions to children or trusts through dividend policy and share classes
• Post‑exit planning to deploy sale proceeds with controls around withdrawals
• Coordinating reporting across managers and custodians with a single set of accounts
• Structuring around residence and estate exposure

How we help

For more than 50 years we have supported private clients and family offices with formation, administration and governance across multiple jurisdictions.

Our services include:

• Incorporation in the UK or offshore and design of share classes and capital structure
• Board and governance support, including reserved matters and decision‑making protocols
• Company secretarial, statutory registers and regulatory compliance
• Financial accounting, management reporting and investment performance reporting 
• Coordination of tax and audit requirements with professional advisers
• Ongoing administration for family office arrangements and multi‑generational needs

Our FIC explainer provides further information to help you establish whether a FIC is right for you and your family. To speak to one of our specialists, please complete this short form.

You can find out more about the full extent of our private client offering on our private wealth services page.

Please note that this article is intended to provide a general overview of the matters to which it relates. It is not intended as professional advice and should not be relied upon as such. Any engagement in respect of our professional services is subject to our standard terms and conditions of business and the provision of all necessary due diligence. © Praxis 2025