There is no doubt we are living in challenging times, particularly for small businesses due to the impact of the pandemic followed by escalating energy prices and the cost of living crisis. Small business owners often feel the added pressure of responsibility for continued employment of their employees too.
Often people in financial difficulties feel that everything is out of control and feel hopeless with no idea how to deal with the situation. They often feel embarrassed to tell anyone, try to hide their problems and feel guilty about the impact on their family and employees.
Whilst it’s tempting to try to ignore the financial difficulties and hide them from others, this will compound the debt problems as well as take a toll on your mental wellbeing. Without help, this situation can be a serious downward spiral, not only affecting the individual but also their family and business.
“Whatever the cause of financial difficulties, it is highly likely that the individuals’ wellbeing will be affected. Sleep, nutrition, health lifestyles, exercise and relationships are all areas that can suffer and lead to low mood, anxiety and depression,” says Christine Husbands, FSB Care.
1. Tell someone you trust
Getting a grip on the underlying cause of the financial difficulties is key to regaining good mental health. Probably the hardest step is admitting to yourself that a problem exists and then telling someone about it.
It may not be a case of a problem shared is a problem halved, but having someone who will listen non-judgementally, in confidence and be there to encourage and support you will make a huge difference.
2. Make a plan
Achieving even small goals can make a huge impact on self-esteem and help to start the reversal of the downward spiral. The plan could initially include steps such as:
- Identify and contact an organisation to help with debt management. For many small business owners, late payments are all too common and can cause cash flow worries. Try our tips for getting invoices paid sooner, or get in touch with FSB Debt Recovery who can offer specialist support to help you recover the money you’re owed.
- Make a change to your lifestyle, such as nutrition or exercise. Our wellbeing guide has helpful tips that you can implement, or visit our wellbeing hub for more resources and advice.
- If you’re struggling with your sleeping pattern, there are apps you can download to help with sleep problems and there are techniques to develop good sleep hygiene
3. Self-care
Looking after ourselves is one of the best ways to boost our wellbeing and can be anything from watching sports, cooking, reading or creative hobbies. The important thing is that it’s an activity that is nourishing for you.
Whilst we can do a lot to help ourselves and support from a trusted colleague or friend can be very beneficial, help from a trusted professional outside of your family and friends can make all the difference. Contact your GP - a course of counselling, CBT, or other therapy may be beneficial. This could be via the NHS or FSB Care.
As a small business owner, it can be difficult to access wellbeing services that are typically only available to employees of big businesses. FSB pirkx gives small businesses access to workplace benefit packages including 24/7 telephone and online GP, unlimited telephone counselling for members and their families, mental health workbooks, and mental health resilience training.
4. Looking forward
For many self-employed people, managing your long-term finances can often slip to the bottom of the list, especially during challenging times.
- Consider setting up a self-employed pension and putting away small amounts regularly can help you to save for your retirement and give you peace of mind.
- Be aware of and stay on track with upcoming tax deadlines – our free tax guide is a great starting point to help you stay on track with budgeting.
- Find more finance-related resources on our dedicated finance hub, including advice for managing your cash flow and tackling inflation.
Further support
Need to talk? FSB members have free access to FSB Care which provides long-term access to a registered mental health or general nurse for professional advice, guidance, and support and, when it would be beneficial, a course of appropriate therapy or other professional help.