When it comes to running a small business, owners likely have to keep a number of plates spinning all at once, and that in turn can lead to a lot of stress and even burnout. In particular, these entrepreneurs seem to be at a significantly higher risk of experiencing large financial stress in particular.
The problem for these owners is that they face the double concerns of their companies’ financial health and their own individual stability at the same time, according to a report from USA Today. One of the first such issues many entrepreneurs face is that they often do not know where to turn to get initial business capital; some may go through lenders, friends or family, while others may take the initiative themselves and simply cash out accounts they’ve been building up for years, such as 401(k)s or other retirement savings vehicles. Each has its own pros and cons, obviously, and weighing these will likely lead to a large amount of difficulty for owners in trying to make the best possible decisions for their companies.
And then, once companies are actually up and running, there is often a whole slew of other financial concerns that owners have to deal with, often on a daily basis, the report said. For instance, they may wonder about the best ways to market their companies so that they can grow more quickly, and what these paths will cost them versus the benefits they bring; whether they should go with Web advertising, focus on social media, or rely on more traditional advertising avenues is a weighty decision.
Further, they may also wonder about the ways in which they may be able to sustain this growth in the future. Their ability to bring on new employees, expand the size of their offices or other properties, make decisions about equipment purchases and other such concerns can all be significant on a day-to-day basis, but it’s important for owners not to get so bogged down in these issues that they do not have time to effectively manage their enterprises overall.
On the personal side of stress
Meanwhile, one of the major concerns that owners may have is how much they should pay themselves, or the kind of workload they will have to take on. A number of surveys in recent months have shown that owners place a fairly low priority on their own ability to avoid mental stress and burnout, often working significantly more than 40 hours per week and simultaneously taking very few, if any, vacation days on an annual basis.
Experts say that the latter factor, in particular, is crucial for owners, as they may not then be able to decompress from all the stresses they’ve faced in their jobs. Likewise, many note that taking time away from a small business may help owners to think outside the box about the ways in which they are running their companies once they take a little time away for themselves, as it means they will be less involved with day-to-day operations on the ground.
Of course, owners looking for a little more flexibility for their companies may want to consider the ways in which less expensive small business insurance policies can benefit their bottom lines. Cutting costs for liability insurance and other kinds of coverage will likely give small businesses more money to play with as they try to expand and potentially even bring on new employees, who can help reduce others’ workloads. That, in turn, could lead to less stress for owners overall as they try to keep their companies going.