How business owners can deal with mental health challenges

Running your own business can be very rewarding, but it can also sometimes be overwhelming. The pressures of being responsible for everything can cause stress, anxiety, burnout, isolation and other mental health issues.

A study by psychologist Michael Freeman found entrepreneurs are 50% more likely to have mental health challenges than the general population, while a survey by Simply Business revealed that 80% of UK business owners have struggled with their mental health at some stage. Anxiety, depression and loneliness were among the major mental health issues for entrepreneurs.

Poor mental health can also have a direct impact on the success of your business, so as well as improving your personal wellbeing, it’s important that you address mental health challenges for the good of your company too. 

Common mental health challenges for business owners

When you run your own business, you need to wear many hats. The constant demands of managing operations, finance, compliance, customers, staff, marketing and more can lead to feelings of stress and exhaustion as you battle to do it all. Extreme stress can lead to burnout when you feel physically and emotionally exhausted.

The uncertainties and risks involved in running a business can lead to heightened anxiety, particularly if your business is struggling financially or you have to deal with other business challenges.

Business owners can also suffer anxieties as a result of feelings of imposter syndrome. This is when you believe you aren’t good enough to be successful or you think that every other business owner is better than you. Scanning posts on platforms like LinkedIn where people often share stories of success and achievements can increase the anxiety.

Feeling isolated and lonely is common among some business owners. You are often working on your own and may struggle to build social connections and friendships.

How business owners can deal with mental health challenges

Time Management

Time management techniques can help to reduce your stress. Try to plan out your day and know what you want to achieve to help you feel fulfilled and in control. Think about at what times of the day you are most productive and plan to do the more time consuming or complicated tasks then.

Use time management apps like Asana and Monday.com to list your activities and check them off as you go. Tracking the completion of tasks can be motivating and boost your mood.

If you have the funds, you could outsource some activities to freelancers or employ a virtual PA to help you better manage your time.

Practice self-care

Practice self-care by taking regular breaks, drinking water, exercising regularly and eating healthy food.

Starting your day with a walk outside can be very beneficial. Performance psychologist Alex Auerbach told the Startup Snapshot, a report on the mental health of entrepreneurs, that “just a 20-minute walk in nature is enough to reset our stress to baseline, and exercise enhances cognition, emotion regulation, and promotes sleep and healthy adaptation”.

Try to get plenty of sleep each day and avoid looking at screens just before bed as it can make your brain still think it’s daytime and you’ll struggle to wind down. Deep breathing, meditation and yoga are some techniques to help you relax. You could also use bedtime story apps such as Calm and Yours.

Learn to set and practice boundaries, setting limits on your daily use of apps to prevent you scrolling can be a useful prompt.

You may also find it useful to turn off push notifications for emails and Teams. These interruptions may have previously distracted you from the work you were doing and created more stress.

Talk to someone

Don’t be afraid to talk to someone about how you’re feeling. That could be a friend, family member or another business owner, as well as professionals such as a psychologist or GP.

To tackle feelings of loneliness, look for events to meet other business owners. There are thousands of online and in-person meetings, conferences, meet-ups and workshops where you can connect with fellow entrepreneurs and talk through your challenges. Search on websites like Eventbrite, Find Networking Events and Meetup to find events near you. 

Meeting up for a coffee with another business owner can help too, or it could be someone who isn’t in business as this can take your mind off the stresses of being an entrepreneur and talk about something else.

Owners of smaller businesses commonly work from home. However, spending a few hours or more each week in a co-working space where you are surrounded by other entrepreneurs can help tackle feelings of isolation.

Some other things to consider

• If you have employees, it’s beneficial to encourage an open and transparent culture around mental health. Encourage your staff to share when they are struggling and be honest with them about your own mental health challenges.
• To deal with imposter syndrome, try to stop comparing yourself to others and avoid places which might lead to feelings of self-doubt. Get into the habit of celebrating your successes, no matter how small. This will remind you of your capabilities and help you to feel more positive. Having a list that you add achievements to can be motivating to read on a Sunday night before you start a new week.
• Requesting feedback and testimonials from your customers and clients will also highlight your successes, and talking it through with friends, family or other business owners can help too.

Accessing mental health support for business owners

There can be a stigma around businesses owners seeking help when it comes to mental health. Startup Snapshot found that 81% of founders are not open about their stress, fears and challenges, with only 23% going to a psychologist or coach for help.

But talking it through or seeking out other support can help to overcome your issues, improve your mental health and boost your business.

Charities like Mind, Mental Health Foundation and Mental Health UK offer lots of resources including guides and helplines.

Mind and Mental Health UK are among the organisations that also provide peer-to-peer services. These connect you to other people who understand what you’re going through. Another example is Frazzled Cafe which was set up by comedian Ruby Wax.

As well as dealing with your specific mental health challenges, it’s also good to tackle the business issues that are causing the stress. Ways to get support on that business stresses are:

• joining a business support organisation
• employing a business coach
• seeking out a peer-to-peer business focused group which you meet up with regularly to solve challenges

Get help with your business challenges

TaxAssist Accountants can help you with the right advice to support your business. We can help with taxes, accounting, bookkeeping and payroll, as well as connecting you with other providers we work with. Contact us to learn more about our services and to book a free initial meeting.

Date published 1 Feb 2024

This article is intended to inform rather than advise and is based on legislation and practice at the time. Taxpayer’s circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this article, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.

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