As you hold shares of a small closely held corporation, you'll probably have a tough time selling your shares to anyone other than the principal shareholder or

As you hold shares of a small closely held corporation, you'll probably have a tough time selling your shares to anyone other than the principal shareholder or the corporation (and they may not be willing to buy). In addition, your right to sell your shares to a third party may be restricted, as has been noted above. If the business folds, you may be able to claim a capital loss to the extent of your basis in the shares. I'm not certain of this, however. Best to consult an accountant. Good luck!