Nearly half of small business owners feel they have no-one to confide in about stress

Small business owners are stressed about inflation and the cost-of-living crisis – but almost half feel they have “nobody to confide in” about their business troubles, research has found.

A poll of 500 SME owners found 48% found it hard to know who they can talk to about the stress they feel, with two-thirds not wanting to worry their family and friends.

As a result of this, 44% feel they are unable to do the best possible job both for themselves and their staff.

The top causes of stress for SME owners include the cost-of-living crisis (45%), finding new customers (37%), and inflation (35%).

Claudio Gienal, chief executive officer for AXA UK and Ireland, which commissioned the research, said: “It can be a very lonely place being an SME owner, which is why it is so important to ensure you can confide in someone who can relate to how you feel.

“Especially for those who have built much of their business alone, it can feel very strange opening up about what is going on in your workplace.

“But for many, taking those first steps and talking through what you are concerned about goes a long way to lifting that burden – it can offer a new perspective on what’s going on, as well as a renewed sense of clarity to the situation.

“When it comes to looking for support, there are many avenues business owners can take – for example, having robust insurance can help to take a weight off the mind.”

However, it is a different picture when communicating with members of staff, as 34% of those with employees on the payroll are very open with them about potential issues the business could encounter.

And a further 38% will reveal a selected amount of information relating to the problems which they could face.

When it comes to their staff wellbeing, more than half (55%) said they genuinely care about their staff – and 44% are striving to create a positive work culture.

In fact, 40% take an active interest to strengthen the relationship between them and their staff, with 36% believing this is important for staff retention.

And two-thirds will check in on their team’s wellbeing up to three times on a weekly basis.

As well as this, 66% also said they believe small businesses are better at reacting to the concerns of their staff.

This is because they are considered to be more in tune with their employees (63%), have fewer formal processes in place (50%), and management is more accessible (49%).

As a result, 65% of those polled, via OnePoll, feel confident managing people who are struggling with their mental health.

The research comes in the same week that six small to medium business owners won AXA’s Startup Angel Competition – aimed at celebrating some of the country’s next generation of entrepreneurs.

Muihood, a skincare brand rooted in traditional Chinese medicine, and Team Repair, a sustainable subscription service which teaches children science and technology, each won £25,000 and mentorship from some of Britain’s best business owners, as well as 12 months of business insurance.

And four other businesses won digital advertising campaigns.

Charlotte Yau, founder and owner of Muihood, said: “Since launching my own brand over two years ago, I’ve learned that putting my health and wellbeing first is crucial for maintaining happiness and perspective.

“Running a business is a marathon, and sprinting can only get you so far until you feel the effects mentally and physically.

“Looking after your mental health will help you gain perspective on what really matters, and also give you the energy to keep going and not feel resentful in the job.

“If you never allow yourself to rest, hard work will always feel like punishment.

“Being the boss is really hard and will consume a lot of your headspace, so having a healthy disconnect to pause and reflect on the bigger picture is so important.”

Claudio Gienal, CEO for AXA UK and Ireland, added: “To thrive in business, it is so important to have open and honest relationships – and it is fantastic to learn many are doing their utmost to harness positivity in their workplace.

“Many SME owners really recognise the importance of wellbeing, and are doing everything in their power to create a space where members of staff feel comfortable talking about their concerns.

“Yet, they mustn’t forget to also look after themselves as well, particularly if they are going through tough times.

“We want to give our customers the confidence to thrive, so we’re pleased to see so many businesses feeling optimistic about what lies ahead.

“As we look to a positive future for SME owners, I’m delighted to congratulate the winners of AXA’s Startup Angel Competition, who will each receive significant support to help their innovative business succeed.”