Family Charter
A family charter is a shorter, often higher-level cousin of the family constitution. Where the constitution sets out detailed governance rules, the charter typically captures the family's values, mission, and broad principles — the why rather than the how.
Some families maintain both a charter (the principles document, often signed publicly within the family) and a constitution (the operating manual, usually internal). Other families merge the two, using "charter" and "constitution" interchangeably. There is no standardised distinction; each family chooses its own terminology.
Whether labelled charter or constitution, the document only matters if the family revisits and uses it. A charter signed once and never referenced is a museum piece; one woven into governance routines is a living instrument.
Related terms
Deeper reading
Succession planning for family offices: a 10-year operational framework
Only 30% of family businesses survive to the second generation. This operational framework maps the activities, governance structures, and communication protocols required for successful family office succession across a 15-year timeline.
Drafting a family constitution: A complete guide for multi-generational wealth
From drafting to ratification to maintenance, this comprehensive guide examines how family offices structure constitutions that balance authority, flexibility, and multi-generational alignment.
The Family Constitution: Why Most Wealth Transfers Stumble Without One
A working family constitution sets the rules of engagement before the disagreements arrive. Here is what it contains and the drafting process that gets a family to actually use it.
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