Are private company stock options exercisable?

September 18, 2006

Date:   Thu, 20 Apr 2006
From:   Anonymous

Mr. Gray,

I have stock options from a private company. Are these exercisable?


Date:   01 May 2006


Such options shouldn’t have been granted unless they are exercisable. A bigger issue is, “Can you sell the shares?” There are usually severe limitations for selling private company stock. That’s one reason you have to be very careful when exercising options in a private company. You can be required to pay a tax without having the cash to pay it.

Good luck!

Mike Gray

For more information about non-qualified stock options, request our free report “Executive Tax and Financial Planning For Non-Qualified Stock Options”.

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