Why are 91% of small business owners so darned happy?

Running your own company is full of stress, frustration and headaches. But most owners wouldn’t have it any other way

(This column originally appeared in The Guardian)

Some 91% of the 1,290 business owners recently surveyed by the employee scheduling software maker Homebase said that they were happy with their jobs. Who are these happy people? And why are they so darned happy?

It’s not the small business story we usually hear. The National Federation of Independent Businesses says small business owners’ optimism has been below average for 29 months and their uncertainty is the highest it’s been since 2020. Small businesses are “struggling” to make rent and “racking up” credit card debt. Many are “facing recession”, some say they “can’t survive” and others say they’re “feeling the pinch” or “stuck in an economic nightmare”.

My clients complain to me all the time. They say their employees don’t show up to work. They tell me their suppliers don’t ship supplies on time. They have customers that haggle away their profits, delay their payments or simply don’t pay at all. Their accountants tell them to pay taxes with money that’s already been spent on inventory. They grapple with health insurance, workers’ compensation, logistics, duties, levies, finance fees, commissions and all the other little costs that add up to big expenses. They generally work long hours in dusty, dirty industrial complexes. They hate their competitors and their competitors hate them.

And yet with all of these challenges, all of these headaches, all of these concerns, the Homebase survey says that basically all of them are happy? Is this possible? Yes, it is.

Those same clients of mine who complain, kvetch and carp? The fact is they wouldn’t have it any other way. Even with all these headaches, most wouldn’t have it any other way. They enjoy running their businesses. They would never go back to being an employee for someone else. Happiness is relative. And they’re relatively happy.

Is it because they’re “passionate” or “fulfilled” or “making a difference” or “changing the world”? That’s what those dreaming of starting up a business say … until they quickly realize that it’s a cold, hard world out there. Most of the business owners I know aren’t “entrepreneurs”. They’re not “launching a startup” or “pursuing their dreams”. They’re making sandwiches, fixing car engines, mowing lawns, fixing roofs and pouring cement. They’re driving trucks, cutting paperboard, distributing machinery parts and installing pipes. Many are doing this out of necessity, not out of choice. But that’s OK. They’re still happy.

Is it because of money that they’re so happy? Definitely not. Sure, we read about the zillionaires who started out of their parents’ garages. But this only happens to one in a zillion. Most small business owners earn an average of $100,000 per year, far less than what many could make as an executive in corporate America. Plus, they wouldn’t have to worry about their health insurance, retirement and where the next check is coming from.

And yet they’re happy. Why? It’s because of control.

Like most people running a business, I can deal with all the bullshit, all the headaches and all the stresses. I can deal with the hours, the responsibilities and the risk. I can deal with all of this because the decisions are mine to make. Every problem I have is owned by me. Every decision I make affects my life. My 600-plus clients are my boss, not one person. Running a small business means having more options, more choices and more flexibility with one’s life. You can choose to work 20 hours a day or not. You can choose to work at 2am because you went to your kid’s soccer game that afternoon.

My father once told me that employees are no more than two weeks away from unemployment. At least as a business owner, you’ve got a little more time than that. And you have the ability to change direction. The more you can control your fate, the greater your happiness.