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Which state is this company incorporated in? That's the key question.

As a shareholder, you have fewer rights than you'd think. On the other hand, you can be a major nuisance to the owner if you want to.

I dont quite see a win-win here. What are you trying to achieve?

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It is an Illinois Corporation.

The business has been tanking in recent years, mostly due to the shady practices of the owners. At this point I'd simply like to cash out my shares for a fair price, whether it's selling them back to the company, to another shareholder, or to a competitor.

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!

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