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A few things to be aware:
Using a for loop here limits to files that do not have spaces, if any file matched by find contains spaces the script would introduce a behavior you do not want. And by the...

Yes, changing the -name "*.jpeg" to -name "folder.jpg" will only find files named as such and if it does not find any, well, it does nothing.

Here's an explanation of the find command
find ....

Perhaps, something like this

find . -type f -name "*.jpeg" | while read f
do
echo "Processing ${f}…"
convert -thumbnail 235x "$f" sm_"$f"
done
Based on your snippets; not tested.