Running a business can be one of the most rewarding ventures, but it can also come with an immense mental and emotional cost.

When you talk to business owners they often feel isolated, lonely, full of stress and self doubt. For me during COVID19 the mental battle was real. Everyday I battled stress, anxiety, fear and in the end it took a huge toll on my physical health as well and I have ended up with some long term issues because of it.

Looking back I now see there are so many other strategies that I could have utilised to save myself but at the time I was not able to.

Here are some of the strategies I identified that I hope can help entrepreneurs cope.

The Pressure of Responsibility

During COVID every decision, every success, or failure felt personal. I was the business owner and I felt responsible.

According to a report by the Australian Small Business and Family Enterprise Ombudsman, 54% of small business owners feel the weight of responsibility impacts their mental health.

A real life example: Katelyn, a boutique bakery owner in Albany Creek, north of Brisbane, juggles inventory, marketing, and staffing in her 7 day a week business. She has reported often feeling overwhelmed by the competing demands. Her husband Mike helps out in business whenever he can but he too has a full time job, so Katelyn doesn't feel like she can share her worries with her already over burdened husband, therefore keeping them to herself.

My Tip: Try and break tasks into manageable chunks. Don't write yourself a huge list every day. Focus on small manageable tasks. Consider using tools like project management software to track priorities and delegate where possible. I use Trello and it’s a great way to get ideas down, track progress and take some pressure off.

The Identity Crisis

Many entrepreneurs tie their self-worth to the success of their business. When the business struggles, it can lead to feelings of inadequacy or loss of identity. I know I did this with Aquaduck. I felt like my name is on this thing and I don't want it to sink on my watch, so I continually sacrificed myself for the business.

My real life example: Sarah, who was the Managing Director and co-owner of two tourism businesses in 2020 admits, “I lost myself in the business, when COVID hit I went into overdrive trying to ensure it survived. When the business struggled, I felt like a failure even though the situation was so far beyond my control.”

My Tip: You need to separate your identity from your business. Not always an easy thing to do however remember, your worth is not defined by profit margins. Pursue your hobbies and interests outside work to maintain a sense of self. You are more than your business.

Isolation and Loneliness

Entrepreneurship can be isolating, particularly for sole traders. A 2022 Beyond Blue study found that 56% of Australian small business owners reported feelings of loneliness.Often that loneliness comes from feeling stuck in the business, a feeling that you need to spend every waking moment working on the business or in the business to ensure it is a success.

A real life example: David is a freelance graphic designer in Melbourne, he works from home and spends most of his days working alone, often feeling disconnected from others. When he isn't working on client projects he feels like he needs to be looking at how to get more clients and more business through the door, therefore his time to get out and connect with others is removed or taken over by the business.

My Tip: Join a local business association, chamber of commerce or move to a co-working space to build a community of business owners. Regular interactions can help reduce feelings of isolation. Also understand that when you feel lonely and isolated you eventually become resentful of your situation. So prioritise your well being and connectedness over your business requirements.

Financial Stress

Businesses often have unpredictable cash flow and economic uncertainty that create constant stressors. Data shows that 65% of small business owners cite financial pressures as their biggest mental health challenge.

A real life example: My friend Michael, is a tech startup founder in Perth, Western Australia. He spends nights agonising over whether his business can make payroll most months. No matter how many hours Michael put in the business just isn't growing fast enough to keep up with the outgoings and expenses each month.

My Tip: Work with a financial advisor to create a budget and cash flow plan. Building a financial buffer can also provide peace of mind during lean periods.I had a cashflow plan in Xero that allows me to keep an eye on every cent especially when times were tough.

The Fear of Failure

Now this for me was the biggest issue. The fear of losing everything was destructive and often paralysing. I had two other business partners and my concern was not only losing everything for me but for them too. Especially as they were so much older than me. I have had businesses fail prior and it’s a combination of energy and money which brings down most businesses.

According to the Australian Bureau of Statistics, 20% of new businesses fail in their first year, fueling anxiety among entrepreneurs.

My Tip: Embrace failure as part of the entrepreneurial journey. Focus on lessons learned rather than dwelling on setbacks. Everyone fails because that's how we learn. I don't know of anyone who hasn't failed or hasn't come close. Surround yourself with mentors who can provide perspective and advice

How I suggest you win the mental battle

1. Practice Self-Care: Take time for yourself and implement some self care strategies to reduce stress. These include regular exercise, a balanced diet, and mindfulness practices like meditation can significantly reduce stress.

2. Seek Professional Help: Everyone needs help and everyone needs someone to talk to. So getting counseling or coaching tailored to business owners can provide valuable coping strategies that really are worthwhile and help.

3. Celebrate Small Wins: Recognising daily or weekly achievements can boost morale and maintain motivation. You don’t always need to be focusing on the big picture, do the little things and check them off your list so you feel like you are achieving something. Business is built on thousands of small things done well each day.

4. Connect with Other Entrepreneurs: Join online forums or local networking groups to share experiences and support. I have built an amazing network of business owners who are now friends. It prevents loneliness and always allows you to focus on something else beside your business.

5. Remember, It’s Not a Competition: Every business journey is unique, every life journey is unique. Some fail today and some succeed tomorrow. Focus on your progress rather than comparing yourself to others. It’s your life experience, value it.

Conclusion

Being in business is not just a financial or operational challenge, it's a massively emotional and mental one.

By acknowledging the mental battles and adopting practical coping strategies, you can build resilience and create a healthier balance in your entrepreneurial journey.

If you’re struggling, remember that help is available.

Reach out to organisations like Beyond Blue or local business networks for support. And remember, you’re not alone, so many business owners face the same challenges, and there’s strength in seeking connection and advice.

Read more on our blog for tips and insights to support your business journey.

Ready to take the next step?

Let’s work together to grow your business and navigate these challenges successfully. Reach out to me today!

The Mental Battle of Being in Business and How to Navigate the Struggles