Inheritance is the biggest financial event most people ever face, but it often comes too late to make a real difference. This fascinating new startup is using HEIs to speed things up.
We love to talk about how entrepreneurship and investing build wealth.
But here’s the quiet truth: Inheritance may play an even bigger role.
In fact, inheritance has historically accounted for up to 50% of all household wealth accumulation in the US.
The US should be on the cusp of an inheritance renaissance. The aging Baby Boomer generation is sitting on an estimated $84 trillion in wealth.
But amid longer lifespans and rising medical costs, younger generations are waiting longer and longer for a smaller piece of the pie.
Today, we’re discussing an intriguing new startup attempting to solve this inheritance problem: Forward.
Forward’s mission is to help the next generation unlock their inheritance today, rather than decades in the future – all tax-free and without disrupting their parents’ retirement plans.
What’s more, the company is inviting investors to participate in their journey through two unique deals, each with its own risk-reward structure.
In this issue, we’ll take a look at Forward’s market opportunity and review these deals in-depth. Along the way, we’ll see:
- How the “Great” Wealth Transfer is failing to live up to its name
- Why monetizing inheritance is a natural next step for finance
- Why Forward is focusing on home equity wealth to unlock inheritance
- And how investors can participate through either a venture capital deal or a real estate/private credit crossover deal.
Whether you’re looking for steady returns, a potential ten-bagger, or just want to learn more about an innovative financial structure, this issue has something for everyone.
Note: Forward is focused on the US market, so this issue will discuss US tax-related topics. As always, nothing here is tax, legal, or financial advice.
Let’s go 👇
Table of Contents
The “Great” Wealth Transfer
Right now, there’s a slow-motion tidal wave crashing over the US economy – the Great Wealth Transfer.
Over the next two decades, up to $84 trillion is expected to be passed down from parents to the next generation.
That’s the largest generational wealth transfer in human history, equivalent to about 1.3x the value of all US stocks.
Why is this current wealth transfer so great? There’s one big reason – Baby Boomers.
After World War II, soaring US birth rates resulted in about 76 million Boomers being born.
Combine that massive population with decades of strong economic growth, and you have the perfect storm for a huge wealth transfer ~80 years later.
But here’s the problem – this ‘Great’ Wealth Transfer isn’t turning out so great in practice.
With lifespans growing longer and medical costs rising, the inheritance wave is starting to look more like a trickle.
Modern inheritance = Waiting longer for less
There’s a clear reason that modern inheritance is trickier than previous generations – people are living a lot longer than they used to:
- In 1950, the typical US male aged 65 could expect to live to just over 78 years old.
- But in 2025, medical advancements have increased that figure to just under 85 years.
- Women have also gained years over that timeframe, with the typical 65-year-old US woman now expected to live to about 87 years.
Let’s be clear – getting to spend more time with parents and grandparents is its own form of wealth.
But there’s a tradeoff here. Greater life expectancies mean that the next generation has to wait longer to access family assets through inheritance.
What’s more, parents are often hesitant to ‘give while alive’ due to rising and uncertain medical costs.
Sharing wealth with your kids is wonderful. You get to live your legacy, not just leave it.
However, the risk is that you derail your own plans and become a burden on the very people you wanted to help.
These issues are formidable. But they are far from intractable.
In fact, one novel approach could be the solution the Great Wealth Transfer needs – monetizing inheritance.
How to monetize an inheritance
What is an inheritance, anyway?
For obvious reasons, we tend to think about the topic quite emotionally.
But analytically, an inheritance is nothing more than an illiquid financial asset that typically remains inaccessible until the benefactor’s death:
- Let’s assume that your parents plan to leave all their assets to their kids. You and your siblings have an ownership claim on a share of their estate.
- This claim has an uncertain future value, depending on the volatility of the underlying assets and how much your parents spend.
- This claim also has an uncertain liquidity date, depending on when your parents pass away. (Sorry, there’s no nice way to say that…)
In fact, this looks awfully similar to owning stock in a pre-IPO company, waiting for the ‘listing date’ to cash in the value of your shares.
Monetizing an inheritance allows heirs to unlock family wealth today to start building their own financial future – without disrupting their parents’ retirement plan.
In a world of longer lifespans, it’s clear that unlocking inheritances early can provide significant value.
But existing pathways to do so leave a lot to be desired.
Why probate advance isn’t enough
The idea of monetizing an inheritance isn’t exactly novel.
Probate advance companies have existed for a long time, purchasing estate claims from heirs.
These companies are a good proof of concept for monetizing inheritance rights. But they’re far from a compelling solution:
- Probate advances are offered after parents have passed away, failing to solve the lifespan problem.
- These firms typically charge exorbitant fees, meaning that heirs may receive pennies on the dollar for their estate claim.
- Finally, heirs sacrifice all upside on the estate claim they sell, meaning they don’t benefit if assets are more valuable than expected.
Inheritance monetization is a problem begging for a better solution.
And a new startup called Forward might just have the answer.
Forward: A New Model for Inheritance
Forward is out to build a new model for inheritance, solving the problems plaguing the Great Wealth Transfer.
Simply put, the company wants heirs to be able to unlock their inheritance in a manner that’s cost-effective, tax-free, and keeps assets in the family.
To do so, Forward is leveraging the power of a relatively novel financial tool – Home Equity Investments (HEIs).
Estates are typically composed of many different assets, including stocks, luxury items, and property.
But when it comes to monetizing a portion of this estate, there are some good reasons to focus on home wealth:
- Americans hold a massive $35 trillion in home equity wealth, just under the value of domestic stocks owned.
- Home prices are typically less volatile than other investment assets, allowing greater predictability over future estate values.
- Finally, HEIs allow homeowners to monetize this wealth without taking on additional monthly payments or debt.
This unique mix – large value, stable prices, and debt-free financing – makes family homes a natural place to start unlocking inheritances.
How does Forward work?
Forward’s process is facilitated by the company’s Forward Access – an HEI designed specifically for parents who want to share their wealth with their children.
Here’s how it works:
- First, parents apply for a Forward Access on their home, with qualifying applicants receiving an offer up to 20% of their home value.
- Next, parents who accept the offer will receive this amount as a lump sum. The process can take as little as three weeks.
- Then, parents can gift their newly received cash to their children. So long as parents remain under the federal lifetime limit, this gift is generally tax-free.
As of 2025, the federal lifetime gifting limit is currently just under $28 million for married couples, set to rise to $30 million next year. And as part of the service, Forward also helps ensure the proper tax forms are leveraged.
What’s more, Forward offers Family Finance Specialists to help parents who want to structure unique gifting strategies, such as gifts to multiple children or milestone-based disbursements.
Psst… Forward runs a referral program that pays for completed transactions. Know a family that can benefit from Forward Access? Contact the company for more info.
Through this three-step process, parents can allow their children to access a portion of their inheritance – all without disrupting retirement plans or taking on extra debt.
Finally, there’s a 10-year window in which to settle the HEI. This can be done by selling the home, refinancing, or through the value of the estate.
Who’s behind Forward?
Forward is an early-stage startup launched out of Struck Capital, a VC studio and investment firm based in California.
Forward is still young, having only just emerged from stealth. But Struck’s track record speaks for itself, with portfolio companies having been sold to Coinbase, Uber, and Robinhood.
And while Forward may be new, the team behind it certainly isn’t – CEO Bryan Walley previously spent 12 years at City National Bank, where he ran the company’s Exactuals fintech payments platform.
I spoke with Bryan this week to learn more about Forward’s product and mission. On our call, he underscored how Forward Access was purpose-built to support families across generations.
“Parents want to support their children, they certainly don’t want to become a burden to their kids. Children want to put a down payment on a house or start a business, but don’t want to disrupt their parents’ retirement plan. Forward Access is designed to serve both generations, allowing family wealth to truly serve the whole family.”
What’s more, Bryan described how Forward Access was just the first of the company’s planned offerings. There are multiple, complementary services coming to market in 2025.
Forward is launching an end-to-end family wealth management platform – offering a SAAS solution for wealthy families and their advisers to manage generational wealth.
To help build that vision, the company is now raising its first round of outside capital.
This is a unique chance for investors to get in on the ground floor of solving a truly generational problem.
How to invest in Forward
Forward is currently offering two opportunities for interested investors, each with its own risk-reward tradeoff:
- The first is an investment in Forward itself. This is a classic startup investment in the company’s SAFE notes.
- The second is an investment in Forward’s HEI capital supply. This is similar to a structured private credit deal, with investors helping fund Forward Access HEIs.
Let’s walk through the details of each opportunity.
Deal #1: Invest in Forward
The first deal involves investing in Forward’s operating company through a traditional SAFE note structure.
This could be a good fit for investors who are comfortable taking higher risk in pursuit of a potentially massive payoff in the event of an acquisition or IPO.
Right now, Forward is focused on the company’s Forward Access product, targeting the prime market in California.
Depending on demand, however, the company is exploring expanding into other states.
(Bear in mind that California is the 4th largest economy in the world, so the state’s market alone is enormous.)
As I mentioned, Forward is building out a SAAS family wealth management platform as well, which could add a lucrative revenue stream and offer opportunities to cross-sell products.
Forward’s SAFE notes have a valuation cap of $10 million – investors are betting that the company will be worth more than this in the future.
Here are the full details:
- Structure: SAFE Note via Regulation D private placement
- Valuation Cap: $10M
- Fundraising Goal: $3M
- Investment Minimum: $25K
- Restrictions: Accredited Investors only
Deal #2: Invest in Capital Supply
This second deal isn’t an investment in Forward itself. Instead, it’s an opportunity to provide the capital that helps the company provide HEIs to customers.
This opportunity is likely less risky than investing directly in Forward. It could be a good fit for investors looking for a more modest and reliable payoff.
It’s not quite a private credit deal – HEIs aren’t debt, after all. But it is a structured way to get exposure to the residential US real estate market, targeting mid-to-low teen returns.
As the table below indicates, realized returns will depend on home price appreciation and how long it takes customers to settle their HEIs.
However, Forward Access HEIs are modeled with investment downside protection in mind.
- In a scenario in which a home’s value falls by 1% annually for 10 years, the projected IRR is still 2.82% annualized.
- This downside protection is further amplified by Forward’s focus on the prime market and a strict max closing loan-to-value ratio of 75%.
Here are the full details:
- Target Returns: Mid-to-low teens with downside protection
- Structure: Comingled funds via Regulation D private placement
- Investment Minimum: $50K
- Fees: No asset fees, but a 0.25% servicing fee
Closing thoughts
Despite the promise of the Great Wealth Transfer, it’s increasingly clear that yesterday’s inheritance process isn’t suited for today’s realities.
As younger generations face greater financial pressures and older generations live longer, I expect inheritance monetization to grow in popularity – in large part due to companies like Forward.
To wrap up, I’ll end with three quick thoughts on the company’s future:
- The 10-year settlement period is one area in which I think Forward Access could ultimately evolve. A 20- or 30-year period would help ensure that Advances are settled through a parent’s estate, in line with the product’s mission.
- Right now, Forward is exclusively focused on home wealth. But with the right product and terms, I see no reason the company couldn’t end up unlocking investment wealth like stocks and bonds as well.
- Nothing says that parents have to gift their Forward Access to their children (although Forward does encourage it). If demand for inheritance monetization turns out to be lower than expected, the company could still be a very successful traditional HEI provider.
That’s it for today!
Come find me in the Alts Community.
Brian
Disclosures
- This issue was written by Brian Flaherty and edited by Stefan von Imhof
- Forward Inheritance was able to review an early draft of this article. Brian and Stefan made final editorial decisions.
- As of this writing, neither the authors nor Alts.co currently holds shares or interest in Forward Inheritance
This issue is a sponsored deep dive, meaning Alts has been paid to write an independent analysis of Forward Inheritance. Forward Inheritance has agreed to offer a deep look at its business, offerings, and operations. Forward Inheritancce is also a sponsor of Alts, but our research is neutral and unbiased. This should not be considered financial, legal, tax, or investment advice, but rather an independent analysis to help readers make their own investment decisions. All opinions expressed here are ours, and ours alone. We hope you find it informative and fair.
