Liquidity discount is a decrease in the value of a private company compared to the value of a similar but publicly traded company. Since an investor in a private company cannot readily sell his or her investment, the shares in the private company must be valued less than a comparable public company.
Barry Goldsmith
| APA | Barry Goldsmith. (2010). liquidity discount. Retrieved September 23, 2026, from http://smartdefine.org/liquidity_discount/definitions/1157314 |
| Chicago | Barry Goldsmith. 2010. "liquidity discount" http://smartdefine.org/liquidity_discount/definitions/1157314 (accessed September 23, 2026). |
| Harvard | Barry Goldsmith 2010, liquidity discount, Smart Define, viewed 23 September, 2026, <http://smartdefine.org/liquidity_discount/definitions/1157314>. |
| MLA | Barry Goldsmith. "liquidity discount" 21 October 2010. Web. 23 September 2026. <http://smartdefine.org/liquidity_discount/definitions/1157314> |