The Importance of a Growth Mindset for Small Business Founders in Challenging Times
Running a small business in today’s challenging economic climate isn’t easy. Rising costs, supply chain challenges, and customers tightening their wallets can make it feel like you’re constantly swimming against the current.
But succeeding in tough times isn’t just about cutting costs or tweaking operations. It’s about how you think.
Your mindset - specifically, a growth mindset - is what separates businesses that survive from those that thrive.
What is a Growth Mindset (and Why Does It Matter)?
The term “growth mindset” was coined by psychologist Dr. Carol Dweck, and it boils down to this:
You believe that abilities, skills, and intelligence aren’t fixed — they can grow through effort, learning, and perseverance.
For small business founders, this perspective is a game-changer. It’s what gives you the resilience to navigate uncertainty and the creativity to find new opportunities when everything else feels stuck.
Here’s what a growth mindset unlocks:
Better Problem-Solving: You see challenges as opportunities to innovate, not roadblocks.
Adaptability: You’re quicker to pivot and respond to changing conditions.
A Motivated Team: Your mindset inspires your employees to push through tough times with you.
Why a Growth Mindset is Essential When Times Get Tough
Economic downturns hit small businesses hardest. That’s a fact. But it’s also when founders with a growth mindset step up, get creative, and lead their businesses through the storm.
Here’s how it works in practice:
1. Adaptation: Change Isn’t the Enemy — It’s Your Edge
When markets shift, the businesses that survive are the ones that pivot. A growth mindset helps you:
Rethink your business model. Can you introduce online sales, subscription plans, or a new service?
Explore new revenue streams. If one door closes, where else can you create value?
Listen to your customers. They’re your best guide for how to adapt your offerings.
📌 Example: Think of local cafes during the pandemic. The ones that pivoted to takeaway menus, online ordering, and bundled meal kits didn’t just survive — they thrived.
2. Innovation: Standing Out When Everyone Else Plays It Safe
When times are tough, many businesses pull back, cut budgets, and play defense. But founders with a growth mindset know that standing out is more critical than ever.
They:
Try new marketing ideas that their competitors are too cautious to attempt.
Invest in tools or digital transformations that streamline operations.
Collaborate with other businesses to create win-win opportunities.
Innovation isn’t about big, flashy ideas — it’s about asking, “How can I add more value for my customers?”
3. Resilience: Staying Strong When the Road Gets Bumpy
Uncertainty tests everyone’s resolve. As a founder, how you show up during tough times will define your business — and your team.
A growth mindset helps you:
Keep your eyes on the bigger picture, even when the short-term looks bleak.
Treat failures as lessons, not dead ends. Every setback teaches you something valuable.
Inspire confidence in your team and customers by staying focused, steady, and determined.
How to Start Building a Growth Mindset
I know what you’re thinking: “This sounds great, but how do I actually do it?”
The good news? A growth mindset isn’t something you’re born with — it’s something you build. Here are a few ways to get started:
1. Keep Learning (Even When You’re Busy)
Listen to industry and business podcasts and audiobooks while you drive.
Attend webinars and workshops to pick up new skills.
Find a mentor who’s been through tough times and ask what they learned. (I can help you there!)
2. Ask for (and Act On) Feedback
Ask your team, customers, and peers: “What’s working? What isn’t?”
Use that feedback to tweak and improve.
3. Celebrate Small Wins
It’s easy to get bogged down in problems, so make time to celebrate progress. Hit a monthly goal? Take a moment to appreciate it.
4. Set Small, Realistic Goals
Big goals are great, but they can feel overwhelming. Break them into smaller steps and focus on progress, not perfection.
5. Find Your Tribe
Surround yourself with growth-minded people. Join local business groups or mastermind circles where you can share ideas and support each other.
A Real-Life Example: How Sarah’s Bakery Thrived
The challenge: Shutdown Risk
Let me tell you about Sarah, a bakery owner I know. When the pandemic hit, her small artisan bakery faced a total shutdown. Her options? Give up or get creative.
The Pivot:
Sarah chose to pivot.
She launched an e-commerce store to sell her products online, reaching customers across the UK.
She collaborated with local artisans to bundle their products together — a win for everyone.
She upskilled herself, learning digital marketing to drive traffic to her site.
The Outcome:
Fast forward to today: Sarah’s bakery is thriving, both online and offline. Her mindset — her willingness to adapt, learn, and keep moving forward — turned what could have been the end of her business into a fresh start.
Your Mindset is Your Greatest Asset
At the end of the day, strategies and tools are only as effective as the mindset driving them.
A growth mindset gives you the power to adapt when the unexpected happens. To find opportunities where others see problems. To inspire your team when times are tough.
Challenge to You: Take Action This Week
So here’s my challenge to you: Reflect on where your mindset is right now. Are you stuck, or are you open to growth?
Start small. Pick one strategy from this article and put it into practice this week. It could be as simple as listening to a podcast, asking for feedback, or setting a clear goal.
When you change the way you think, you change the way your business grows.
Was this helpful? Follow me for more ways to grow your business and overcome the struggles. If you want to unlock yours and your businesses potential in 2026, drop me a message.
(*Photo by Seema Miah on Unsplash)