While owning a business can be rewarding, the day to day of running a business can be extremely stressful. Small business owners are passionate about what they do—and they tend to work long hours. In fact, a Gallup poll found that 57% of small business owners work six or more days each week. The same poll also found that small business owners work an average of 52 hours each week. Over time, this can lead to burnout, isolation, and stress.
A self-report survey from the Small Business Economics journal revealed that mental health differences directly or indirectly affected 72% of entrepreneurs. It’s important to bring awareness to many of the unique challenges that entrepreneurs face—and share some ways to help manage these stresses.
According to the U.S. Small Business Administration, of the over 32 million small businesses, 81% are sole proprietorships, or nonemployer firms. This means that 8 in 10 small business owners are single-handedly running their entire company—handling back-end tasks like accounting, marketing, and IT—in addition to generating revenue. Some common stressors include:
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- Uncertainty and financial pressure
Inconsistent finances—cash flow challenges, revenue fluctuations, collecting customer payments— can take a toll on mental health. - Work-life balance
For many entrepreneurs, the lines between work and life can begin to blur. Many small business owners find themselves working without taking time for breaks or self-care. - Isolation
In addition to working long hours, many entrepreneurs find themselves feeling lonely due to lack of understanding from friends and family. - Fear of failure
From perfectionism to the constant pressure of “staying in the black,” fear of failure can amplify stress and anxiety.
- Uncertainty and financial pressure
Prioritizing Mental Health
Whether you’re squeezing in a workout or disconnecting from your phone, stress relief is different for everyone. No matter how you choose to prioritize your mental health, give yourself time and permission to focus on yourself.
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- Outsource
You don’t have to wear every hat. Outsourcing time-consuming processes, such as bookkeeping, payroll, or social media, gives you more time to spend on the aspects of your business you really enjoy. - Set boundaries
It's important to set aside time for both work and leisure. While it sounds counterintuitive, setting boundaries can help you stay focused and more productive so you can save time and avoid burnout. - Practice self-care
Remember to take care of your mind and body. Even during the busiest seasons, successful entrepreneurs prioritize rest, exercise, mindfulness, hobbies, and healthy eating. - Learn to say no
Many entrepreneurs are tempted to take on as much as possible. Instead, learn how to say “no” to tasks, clients, and services that don’t serve you, so you can say “yes” to better opportunities. - Create connections
Networking isn’t just good for growing your business, it’s good for your mental health, too. Connecting with like-minded people can provide friendship, collaboration, knowledge, and support to help you weather the ups and downs of entrepreneurship.
- Outsource
If you’re a small business owner, Stellar Bank is here to help you succeed. Explore our Financial Education Center for information on small business funding opportunities, cash management, overcoming financial hardships, and more.
