The considerations that go into answering this question have changed over time as the process for selling private company shares in the secondary market has become more restrictive. In the ...

If your company had earnings of $2 per share, you would multiply it by 15 and would get a share price of $30 per share. If you own 10,000 shares, your equity stake would be worth approximately ...

If not, the shares can be sold to the proposed buyer. A private company tends to feel pressure to provide liquidity to its stockholders as its value increases.

When a public company goes private, it’s delisted from the stock market and is no longer owned by its shareholders. Control instead goes to an individual or a select group of private shareholders.