The Link Between Entrepreneurship and Depression

Words Aisha Kamara 

As an entrepreneur, the ultimate goal is to build a successful business, but what comes along with it can often be daunting to the mind. Being part of a generation who are keen on entrepreneurship and the idea of being in control and although there are many successes in running a business, the journey of being an entrepreneur can be straining, having an effect on a person’s mental health and wellbeing. 

Starting and running a business can be stressful and can create an emotional uproar from time to time and this can come down to a founder disregarding their mental health. Recent findings tell us that founders experience depression more commonly than others and many are unaware they have it. In fact, only 30% of entrepreneurs report having depression or not being in the right state of mind.

There are a number of factors that contribute to founders being in distress, having anxiety and depression. The fear of failure is one subsidising factor. The thought of telling others a project in which you have invested so much time, money and passion in has been unsuccessful can be too much to bear for some. There are often financial risks where founders pour a large portion of their resources into ventures which can lead to enormous financial stress. Another factor can be isolation, with a truckload of tasks to complete, it causes founders to spend less time with family or friends and in fact causes the build-up of depression. 

Likewise, dealing with stress and anxiety whilst running a business can introduce negative thinking, self-blame and uncertainty can often come to a person who is constantly worrying. Furthermore, not getting enough sleep, not eating well and failure to exercise can generate mood vulnerability, leading to depression over time.

The Covid-19 pandemic took its toll on a lot of businesses and internationally founders had to face many challenges which inevitably affected their mental health. UK fintech CEO Tom Bloomfield, a co-founder of Monzo, stepped down at the beginning of 2021 due to his mental well-being. Bloomfield mentioned that he hadn’t enjoyed being CEO for a number of years, and was believed to be doing ‘too much.’ Despite this, Bloomfield was very happy to talk about his mental state as many others could relate as entrepreneurs themselves. 

Another internet entrepreneur, Ben Huh, struggled with running his business and bottled up suffering with depression. He faced the common factor of the strains of building a business, feeling the burden of losing hundreds of thousands and feeling disappointed of being in constant failure. However, this led him to express his struggles in running a business in the attempt to fight the stigma of depression and anxiety. 

Elon Musk, CEO of Tesla and serial entrepreneur previously opened up about his battle with depression and described his life as great highs, terrible lows and unrelenting stress — often people do not want to hear the negative side of being an entrepreneur. However, having to share the struggles of running a business gives a chance for others to understand the reality you could possibly face in the life of being an entrepreneur.  

So the ultimate question is how should an entrepreneur handle the challenges that come with running a business? 

Training the mind is important and knowing how to take time out, eat right or even engage in physical exercise can contribute immensely to having a healthy mind-set. Most importantly, the building of a business should always include having a community, support and people that you can rely on not only physically but mentally.