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1. Open Steam client > open settings > click interface > opt Steam into steam beta families.
2. Repeat process for your grandson account on grandson PC.
3. Now open Steam client > open Steam settings > family > create group from there name your group. Once done just click invite select your grandson account that it.
Please note have to do this on same household, that mean on the same network.
So they could play family shared games on their account while you're also gaming.
Some games such as anything from Rockstar (GTA, Red Dead Redemtion) just as an example can not be shared with family sharing.
I could be wrong of course but I would say try it and see if it works after setting it up on the same network.
I sadly can not provide a better answer then that.
This is definitely not always the case. I run 2 Steam Families (different accounts) and none of the 10 other members combined are even close to me. All in the same country but up to 300 km away from me.
And i still could invite them all to the Steam Family and everything works fine.
The old family share prevents your grandson from playing any of your games, if you're playing a game at any time, as it only allow ONE person to play from your library at a time. That why the new family beta is way better, and will be replacing the old one someday.
This is only for set up process to doing group invite that have to be on same network.
I'm getting mix info as well during March it's basically anywhere as long it in same country, but for some reason either in April, or later seem this was changed, and people getting reports have to do it when in same household / same network. This is resolved simply just logging their account on same PC, and doing it from there basically.
Anyways I'm going with info AFAIK until Steam gives us better documentations which I assume when they release new family share to public.