Scaling from Family Office to Multi-Family Administrator

The Need for Change

The firm initially outsourced fund accounting to an administrator, but as growth accelerated it became clear that outsourcing was not a sustainable strategy. Senior leadership identified the need to step-change their operations and developed a multi-year technology roadmap.

This roadmap laid the foundation for a digital transformation, including the search for a modern fund accounting solution, and identified the firm’s need for:

• Real-time data access to support timely decision-making
• Greater control over data to ensure accuracy and scalability
• Cost efficiency and reduced reliance on third parties
• Flexibility to support innovative and complex fund structures

This firm is known for its entrepreneurial and innovative approach, often structuring funds in non-traditional ways.

Managing this creativity required a solution that could adapt to the firm’s evolving needs in ways legacy systems and third-party administrators could not.

Experience when Provider Searching

The firm’s investment strategies had developed to require more frequent updates and transparency than traditional private equity models.

The team needed a platform that could:

1. Handle complex fund structures
2. Deliver timely reporting for the firm’s leadership and investor
3. Support the regulatory requirements of a registered investment advisor

In their search they determined different legacy platforms were not built for this level of flexibility or speed.

The business needed a solution that was cloud-native, not retrofitted from older technologies.

Why LemonEdge

LemonEdge stood out for several reasons:

• Cloud-First Architecture: Designed from the ground up for the cloud, LemonEdge enabled rapid deployment, disaster recovery, and scalability.

• Real-Time Allocations: Unlike legacy systems that required overnight processing, LemonEdge could deliver period-end results in minutes.

• Flexibility: The platform could accommodate unique investment structures and evolving strategies.

• Cost Efficiency: By bringing fund accounting in-house, costs associated with fund administrators were eliminated.

Implementation Journey

The transition to LemonEdge was a major initiative requiring:

1. Strategic Planning: A multi-year roadmap guided the implementation‍
2. Team Expansion: Internal resources were developed to support the rollout of LemonEdge and the wider technology roadmap‍
3. Regular communication: Working closely as ‘one team’ was critical to success
4. Data Integration: Collaboration with the current fund administrator was critical to ensure a successful transition of historical data
5. Architecture Design: The firm leveraged their technology architecture expertise to ensure internal quality assurance, data governance, and system performance were established

The Results

Teams from LemonEdge and the firm worked closely to deliver a transformative solution, delivering a stable, secure, and reliable environment.

• Cloud-Native Design: This allowed for the deployment of business continuity plans across Azure regions, something legacy providers couldn’t match.
• Improved Accuracy: Data ownership and internal governance led to more reliable reporting.
• Scalability: The business can now support more complex funds and a growing investor base.
• Operational Efficiency: Time saved on accounting and reporting functions allows the team to focus on value-added activities.
• Cost Reduction: Eliminating unscalable fund administration costs resulted in a net savings for the firm and its investors.
• Improved Transparency and Future-Readiness: Enabling the firm to leverage real-time data and analytics, improved analytics, and firm management support future growth.

Scale your fund accounting securely and efficiently with LemonEdge

GPs, Fund Admins, and Family Offices need to balance a drive for efficiency alongside the ever-increasing complexity of deals and fund structures. But, with most technology developed over a decade ago, it’s little wonder solutions are hard to come by.

Transform manual processes into one-click business events

Our proprietary tech has a unique ability to understand the structure of the fund from set up, providing automatic allocation with one click of a button.

Service numerous clients and asset classes seamlessly

Manage multiple asset classes and GL types, including parallel GLs (e.g. IFRS with local GAAP) to support your clients’ global or local accounting needs, as well as financial statement production, across multiple onshore and offshore jurisdictions.

Bring your complex Excel calculations into LemonEdge

Eliminate risks associated with offline Excel workarounds. Work with real-time data from your LemonEdge database, undertake the same calculations, then securely and automatically save the results all within the confines of the system with our proprietary Algorithms technology.

Match your clients’ data needs via a powerful API

Avoid repeating mundane, high-frequency manual data flows and create an efficient, effective, automated single source of truth across your operational ecosystem. Post data directly to clients’ data warehouses, or third-party accounting solutions for a shadow process.

Ready to make the shift?

For more details on how LemonEdge can optimize your firm’s workflows, contact us at: sales@lemonedge.com