The impact of stress on the well-being of startup founders and CEOs

May 08, 2023

Mental Health Category

Startup Snapshot, a data-sharing platform for the entrepreneurial ecosystem, recently released its latest report, The Untold Toll: The Impact of stress on the well-being of startup startups and CEOs.

Obviously, the emotional state of founders and entrepreneurs at any time, especially now in this economic environment, is a critical success factor. Yet the emotional, cognitive, and physical toll of building and running a startup is dangerously overlooked and rarely talked about.

Startup Snapshot sheds light on the current startup mindset with global data collected from hundreds of startup founders of all sizes, across all industries. It is the largest study of its kind. And it's honest and gritty, punchless.

The startup grind has a major impact on a founder's mental health. 72% of founders said the entrepreneurial journey affected their mental health, 37% suffered from anxiety and 36% from burnout. The founders are known for their innovative spirit, but in terms of therapy, they're stuck in the past. Only 23% of founders say they have consulted a psychologist or a coach. 50% of founders report negative stigma around professional mental health support. Surprisingly, stigma is higher for younger founders, with 59% of founders under 35 reporting negative stigma, compared to only 47% of founders over 35. The founders mask the stress, and it catches up with them. 81% of founders said they do not openly share their stress, fears and challenges, fearing that vulnerability could affect their reputation or their chances of success. Venture capitalists need some serious self-reflection because their portfolio companies aren't looking to them for help. Only 10% of founders said they spoke to their investors about their stressors, fearing transparency would affect their chances of securing additional funding.

Startup Snapshot continues to research the mental health of founders. If you would like to help normalize the dialogue around this important topic, contact yael@ybenjamin.com.