I’ve been which means to share this full story publicly for a very long time, however one thing held me again…
In 2017 I used to be in Lviv, Ukraine.
I went to Ukraine initially as a result of I needed to attend Eurovision, which was being hosted that yr in Kyiv, Ukraine.
My father was born in Ukraine, and my identify, Yaro, is Ukrainian… type of.
Yaroslav is a Ukrainian identify, though Yaro just isn’t a standard abbreviation, but I nonetheless reverted to this clarification at any time when anybody requested the place my identify is from.
Evidently, there have been causes to go to Ukraine, however that was all I supposed to do. To go to, briefly.
I by no means imagined that I’d find yourself dwelling there for six months, purchase an residence and begin a photo voltaic farm undertaking.
I additionally didn’t foresee how a pandemic after which a conflict is likely to be simply across the nook.
So, how did all of this occur?
It Begins With Ethereum
In 2016 I used to be in dwelling in Toronto.
I’d made some new entrepreneur associates within the metropolis, which led to attending a dinner with some fascinating individuals doing fascinating issues.
One of many individuals on the desk that night time was the founding father of a web-based schooling enterprise targeted on a brand new cryptocurrency known as Ethereum. He was a associate with the daddy of Vitalik Buterin, the creator of Ethereum.
On the time I knew what Bitcoin was. I additionally thought I used to be too late to spend money on it because it had exploded in worth to over $1,000 per Bitcoin. I figured I’d missed the boat on that one!
I didn’t actually perceive what made Ethereum totally different to Bitcoin. I wasn’t even assured in my understanding of Bitcoin.
Regardless of this, by the top of the dinner that night, I walked away with the impression that Ethereum might be ‘silver’ to Bitcoin being ‘gold’. ETH (the token that powers the Ethereum community) may change into a extremely useful commodity, which at the moment was nonetheless new, buying and selling at round $10 per token.
The $10 entry value for ETH appeared favorable. If Bitcoin was $1,000, absolutely ETH may attain $100 (sound logic I do know).
It helped that I had some money to play with, thanks partly to gross sales of the brand new model of my on-line course and membership web site (all inside The Laptop computer Life-style Academy in the present day), and likewise as a result of my mom and grandmother had each died again in 2011-2012, so I had acquired inheritance.
I didn’t wish to blow the cash my mom had left me on a extremely speculative new tech funding gamble, however realizing I had her cash invested in safer issues, meant I felt extra keen to go larger threat with the capital earned from my on-line enterprise.
I figured if I put $100,000 into ETH and it went 10x, I’d flip it right into a cool million {dollars}.
Over the following few weeks I studied Bitcoin, Ethereum/ETH and commenced to analyze how I’d buy some.
Because of YouTube and documentaries, I felt higher knowledgeable about cryptocurrency and understood why Ethereum, by including a programmable software program layer, provided a distinct worth proposition to Bitcoin, which was extra a pure decentralized forex.
Nevertheless, I wasn’t but technical sufficient to take care of the effort of establishing on-line wallets, shifting fiat forex to an alternate, changing my USD or CAD to Bitcoin and ETH, after which shifting the tokens to my wallets. All of it simply appeared too laborious.
I did perceive on-line buying and selling platforms for shares and thus went in search of one thing that allowed me to commerce and maintain cryptocurrencies in the identical means as I maintain firm shares, with the platform appearing as a custodian for my crypto, holding it of their wallets, and in return making it simpler to buy crypto.
This was riskier than holding my very own crypto tokens in my very own digital wallets on the blockchain.
I might sadly study this lesson the laborious means years later once I misplaced roughly $17,000 USD I had sitting on a Vancouver cryptocurrency platform known as Einstein Trade that grew to become considered one of an extended checklist of firms the place the founder ran off with the money and tokens and was by no means heard from once more.
Again in 2016 I got here throughout eToro, an Israeli buying and selling platform that was gaining traction in Europe (I assumed it was Spanish given the ‘bull’ identify and emblem). It gave individuals the flexibility to commerce in firm shares and crypto, and had a novel ‘social’ facet the place you may copy-trade different customers on the platform.
As an Australian-Canadian, I didn’t have choices just like the US platforms Coinbase or Robinhood, which frankly I don’t assume I knew about on the time anyway.
Wealthsimple, the tech upstart Canadian equal for buying and selling shares didn’t assist crypto but, so eToro appeared like one of many few choices accessible to me on the time, though it might ultimately be compelled to depart the Canadian market because of rules.
I signed up for eToro and took benefit of their immediate Paypal funding choice. This was the best option to get cash on to the platform, nonetheless I used to be capped by how a lot I may ship in every switch.
I can’t recall what the restriction quantity was, however I do bear in mind it meant I wasn’t in a position to simply ship $100,000 in without delay. I needed to do smaller quantities, and since it took just a few days to maneuver the funds from my financial institution, to Paypal after which to eToro, at finest I may deposit as soon as per week.
At first the throttling of how a lot I may make investments didn’t hassle me as I needed to watch out investing on this very new, very speculative asset class. This was the wild-west days of alt-coins simply beginning to pop up, and there was a very good likelihood ETH would go to zero.
Nevertheless, it wasn’t lengthy earlier than I bought caught up within the hype and greed, which is straightforward to do once you watch the value rocket up so rapidly!
I watched as ETH rose in worth to $12, then $15 whereas I used to be busy shifting my cash into eToro. I used to be in a position to lastly make my first buy at $18, however may solely buy $15,000 USD price.
That $18 value was as much as $22 fairly rapidly, so I despatched extra funds to eToro, all whereas the value saved rising.
The loopy occasions had simply begun.
The 2017 Crypto Increase
All through 2016 and into 2017 I transferred increasingly cash into eToro, shopping for principally ETH, however ultimately some Bitcoin as effectively once I realized it was nonetheless on a run and wasn’t stopping.
This was a second I had dreamed of experiencing since I used to be an adolescent. An opportunity to journey the wave of a tech growth.
After I was 19 years previous, in 1999, I skilled the dot-com bubble of loopy tech inventory value rises. It was thrilling, however extraordinarily irritating as I had no cash to take a position.
I watched the headlines of the large value beneficial properties on daily basis, whereas I used to be busy struggling by way of a college diploma and dealing on my little Magic: The Gathering card sport web site and e-commerce retailer. I used to be within the tech sport, however promoting Magic playing cards on-line was not a part of the tech growth, at the very least for me.
So right here I used to be, in 2017, with some money to play with and a tech growth occurring proper earlier than my eyes… and what a journey it might change into!
Over the course of a yr I pushed in about $180,000 USD of my very own cash. It wasn’t unexpectedly, including extra often when a dip in costs hit.
Every thing wasn’t up up up on a regular basis. Value dips have been frequent. However so have been the rocket ship rises that *all the time* occurred shortly after.
I’d by no means gained and misplaced a lot cash (on paper at the very least) as rapidly as I did throughout these months.
I’d have the eToro app open on a regular basis, some days watching as I gained $30,000, then $15,000 the following day, and one other $25,000 by the top of the week!
Then a type of dips would hit, and I’d watch as $20,000 was wiped from my steadiness in sooner or later.
Ultimately, as my beneficial properties outweighed the loses, and I’d poured extra of my very own cash in, my capital had pushed past half one million {dollars}, and it was nonetheless rising!
It’s an exhilarating feeling once you make $50,000 in sooner or later from doing nothing. I’d made that a lot cash in a few weeks from launching considered one of my programs, however that required a whole lot of work.
In early 2017 I left Canada for Ukraine, nonetheless watching the ETH value rise and rise as I traveled round and attended Eurovision.
My eToro whole steadiness pushed up past $700,000 because the yr progressed. I’d stopped placing my very own cash in by this level as I assumed the costs have been too excessive to purchase in, however I used to be fairly comfortable to maintain holding what I had.
I did dabble in just a few alt-coins, shopping for small quantities in obscure cryptocurrencies designed to do distinctive issues, hoping to realize 100x returns when the value popped.
There have been additionally ICOs – Preliminary Coin Choices – crowdfunding campaigns to boost money for a crypto powered concept, the place you obtain tokens as your ‘possession’ within the undertaking.
I by no means hit the jackpot with these lessor-known tokens, however I used to be fortunate in a method… because of my financial institution declining my bank card buy!
There was a undertaking I used to be fascinated with known as Envion. The thought was to park cellular crypto mining items (delivery containers that have been filled with crypto mining rigs – computer systems set as much as ‘mine’ crypto currencies) proper subsequent to photo voltaic farms. The photo voltaic power powered the computer systems, which labored away to generate crypto returns.
I made a decision I used to be going to partake on this ICO to the tune of $50,000 USD. I barely flinched at placing this a lot cash in danger. I felt so wealthy with my enormous eToro steadiness.
I attempted to make my deposit a number of occasions utilizing my bank cards, however none of them labored. I wasn’t in a position to switch cash in another means, so ultimately I simply gave up.
In 2018 and past, through the crypto crash and big ICO fallout, Envion was one of many bigger scandals. Over 90 million euros was raised within the ICO, however the undertaking by no means occurred and went into liquidation. I’d fortunately missed out on having my cash stolen.
After Eurovision in Kyiv was over, I traveled again to Lviv, which I used to be actually having fun with as a cushty and really inexpensive metropolis. I did some transient journeys round Europe, after which returned to Lviv once more for my birthday in July.
As 2017 continued towards the again half of the yr, the crypto market remained on hearth.
Sooner or later, after one other rocket-ship week, my eToro steadiness tipped above that magic mark – $1 Million {dollars}. I bear in mind capturing a screenshot and sharing it with some associates.
You’d assume as soon as I’d hit this quantity that I might lastly take out my winnings. However after all, like so many individuals, the greed saved me available in the market, particularly as the costs have been nonetheless rising!
I mentally set myself a brand new goal. I wanted to make $1.2 Million, that will imply I’d made $1 Million in pure revenue taking out the capital I’d put in.
So I saved holding.
The Inexperienced Vitality Tariff
My eToro balanced dropped again beneath $1 Million.
It wasn’t a crash, simply the standard dip as individuals take income. I used to be nonetheless comfortably sitting within the $900,000+ vary, an unimaginable return on funding for my $180,000 put in.
Nevertheless it was all paper income. My cash was in danger and I used to be keen to threat it.
Regardless of being below the affect of the straightforward crypto cash I’d made in 2017, I knew I needed to ultimately promote my tokens and put the money to make use of.
I wasn’t positive what I might do with it. Begin a brand new enterprise? Head again to Canada and spend money on property? Transfer the cash into extra secure, much less dangerous ETFs and shares? Begin some form of charity?
Across the time that I used to be pondering these monetary selections, I used to be additionally contemplating what to do subsequent with my life.
I got here to Ukraine initially with a woman I had dated in Canada, which had was only a associates touring collectively state of affairs. She went her personal means, starting a relationship with a French man she’d met on-line and shifting in with him in Paris.
This left me with a very open agenda.
After I began out as an entrepreneur in my late teenage years my main aim was freedom.
I needed sufficient cash to be unbiased, reside wherever, journey when and the way I needed to and never fear about my monetary future.
Now in my late thirties I used to be there. I had no anchors, no individuals wanted me, no pets, dependents, sufficient money and earnings to be wherever and do something… and I felt misplaced!
I wasn’t excited about shifting round solo. I didn’t have a transparent subsequent step, a aim, or an individual or individuals who have been guiding my resolution making.
I felt about as free as I ever did, but I additionally felt misplaced and somewhat lonely.
I had a lot of potential although, and potential all the time makes me excited.
This was a considerably harmful psychological state I used to be in, though I can solely see that in the present day wanting again years later.
I used to be very a lot open to something and maybe undervalued the monetary windfall I had made.
With no spouse or kids or perhaps a girlfriend, I didn’t have an individual or household who I wanted to consider when it got here to cash.
I may actually do something with my cash. Something in any respect.
Consequently I may — and ultimately did — make reckless selections with how I spent my money.
On the time although, they appeared like good selections. Enjoyable selections. New thrilling selections.
To be truthful, based mostly on projections, what I used to be about to do didn’t appear that dangerous. Positively unorthodox for me, however not that far off the entrepreneur path I often walked.
It was simply the unknowns across the nook that will ultimately spotlight the dangers I used to be taking.
A pandemic. A conflict.
All of it started with a brand new Ukrainian buddy.
His identify is Andriy, and he was launched because the cousin of the woman I initially got here to Ukraine with.
I preferred him. He spoke good English, was pleasant, had the same sense of humour to me, and provided to indicate me round.
He was younger, round 25, formidable and sensible. He was working inside the native authorities on the time and I bought the impression he was good with individuals, good at getting issues carried out.
I can’t recall the primary time it was talked about, however throughout considered one of my stays in Lviv, he instructed me about a chance known as a ‘inexperienced power tariff’.
To be sincere I didn’t know what that meant, however after just a few clarifying conversations I got here to grasp the idea.
The Ukrainian authorities was providing to pay a better charge for inexperienced power, for those who constructed a inexperienced power undertaking in Ukraine. Construct a photo voltaic farm or wind turbine or hydro electrical station, and you’d be paid a per kilowatt price larger than the going charge on the open marketplace for power.
This program had already been up and operating for some time. Andriy, working for the federal government, was very conscious of it and all of the variables that wanted to come back collectively to make it work. He wasn’t in a monetary place to construct something himself, however with funding companions, he may make it occur.
At first when he instructed me concerning the tariff program I used to be mildly , however by no means thought of it significantly.
Quick ahead to the top of 2017 and I’d simply bought a aircraft ticket again to Canada. I wasn’t positive what to do, however Canada was all the time the default, so I used to be heading house.
Andriy stated to me, earlier than you go, let’s meet once more at a restaurant and discuss concerning the inexperienced tariff. I agreed and we sat down and regarded over the specifics in additional element. Timeframes, return on funding, and many others.
I walked away from that dialog and thought of it extra significantly. I preferred the concept of constructing one thing bodily. I preferred the concept of supporting the inexperienced power motion and serving to Ukraine with power infrastructure.
I additionally preferred that Andriy can be the man making it occur. I typically do higher being the one that brings an asset, however not the particular person constructing the product or the service. My earlier and later profitable partnerships labored as a result of I introduced my viewers (prospects) or funding, however I’m not the particular person servicing the purchasers or constructing the factor we’re promoting.
This was undoubtedly a type of fork-in-the-road moments.
I may depart Ukraine and return to Canada and determine what to do subsequent. Or I may keep in Lviv, decide to constructing a photo voltaic farm and settle in for so long as I used to be wanted.
One path sounded a complete lot extra totally different, thrilling and new. I needed to admit that my ego bought concerned too.
I preferred the concept of being the form of entrepreneur who builds a bodily enterprise like a photo voltaic farm, quite than simply one other particular person promoting one thing digital on-line. I couldn’t look forward to the day I may write a weblog put up about my photo voltaic farm, displaying everybody how totally different I used to be to all these different digital content material entrepreneurs — which I had been too for many of my profession.
And right here I’m, writing that weblog put up, telling a distinct story to the one I anticipated to inform.
By the top of that speculated to be final day in Lviv I had canceled my flight, instructed Andriy I used to be in and able to construct a photo voltaic farm with him, and was busy in search of a long run AirBNB to reside in.
I bought so enthusiastic about ‘shifting in’ for an extended keep that I signed up for a health club membership, bought my on-line courting profiles again up, and even deliberate to study Ukrainian.
I used to be going all in.
Photo voltaic Farm Deal & The Crypto Crash
Because the final months of 2017 handed, Andriy and I met recurrently to maintain the photo voltaic undertaking shifting ahead.
It turned out to be extra difficult than I anticipated. Why I had any expectations in any respect is a thriller given my full lack of expertise.
One factor that undoubtedly modified was the sum of money I might make investments. At first I thought of placing in $50,000. That appeared like a protected start line to construct a small photo voltaic farm.
As time went on, it grew to become clear {that a} ‘start line’ for a photo voltaic farm was going to be within the tens of millions of {dollars}. Maybe that ought to have been apparent stepping into.
Whereas Andriy went about assembly with potential companions, connecting with farmers who we may lease land from and authorities officers to fill out paperwork and apply for permits, I contemplated how a lot cash I might contribute.
One factor was sure, the larger the undertaking, the extra return on funding.
Right here’s how issues have been speculated to play out, by the numbers:
- As founders, you set in roughly 30% of the funds to construct the photo voltaic farm, with the remaining 70% coming from a financial institution mortgage.
- Different prices like upkeep, safety and land rental would come from the revenues of the undertaking.
- Annually, someplace round 10%-15% ROI can be generated relying on how a lot the solar shined. Initially this money move after bills was for use to pay again the financial institution mortgage and capital funding by the undertaking homeowners.
- After the mortgage and preliminary capital price was returned, the worthwhile years that adopted would go as money move to the homeowners, minus any taxes.
I put some feelers out to rich associates and contacts who may wish to contribute, however nobody was . Ukraine wasn’t a straightforward promote, even again then earlier than the conflict.
Perhaps that ought to have been a purple flag, however I used to be not going to show again. I used to be able to be a threat taker.
Andriy managed to safe one associate, a neighborhood power producer known as Eco Optima. They have been already massive gamers in all areas of power, from wind and photo voltaic, to gasoline.
Andriy instructed me regardless of our undertaking being fairly small in comparison with their others, they have been excited {that a} Canadian needed to spend money on Ukraine. I attended a few conferences with the homeowners of the corporate and with assist of a translator walked away with a very good feeling about them.
As we headed in direction of December 2017 all the things was coming collectively. Our land was secured, contract particulars signed, permits in place, purposes accepted for the inexperienced tariff. It was go time.
Within the months main as much as December we’d settled on undertaking measurement. It was going to be a 3.6 MW (megawatt) photo voltaic farm with whole price of practically 3 Million Euros. My preliminary contribution of capital was 430,000 Euros, which on the time was over half one million USD.
So how did I am going from pondering I used to be placing in $50,000 to 10 occasions extra at $500,000?
This was the undertaking measurement that we settled on based mostly on the land we secured and the quantity of mortgage we may get from the financial institution. I may have rejected the plan. I may have insisted on one thing smaller, however I didn’t. I agreed and we moved ahead.
The true reply is that I rationalized investing the cash as a result of I had my crypto winnings. The cash I’d made principally from ETH felt like cash from successful the lottery. I didn’t earn that cash from any effort. I took a threat and rode a wave. Reinvesting primarily playing winnings right into a photo voltaic undertaking appeared like a very good use of the cash.
With over $900,000 USD sitting in my eToro account, I figured taking simply over half of it, nonetheless leaving me with greater than double my preliminary funding left over was one thing I used to be keen to do. Utilizing cash made on a raffle to make a brand new gamble in inexperienced power felt good.
There was one other good thing about this plan. It compelled me to lastly exit my crypto holdings and switch it into USD. The timing, because it turned out, was lucky. Issues may have gone very badly if I didn’t determine to construct a photo voltaic farm.
By December 2017 I used to be again in Canada. I liquidated sufficient ETH to make the $430,000 Euros wanted for the photo voltaic farm, however saved the remainder available in the market.
Then in January 2018 the crypto crash occurred. I watched as my remaining $400,000 USD in ETH and Bitcoin quickly fall by over 50%. I used to be in a position to exit nonetheless with a very good total revenue, however I used to be removed from that $1 Million USD I had through the peak.
If it wasn’t for needing to tug out over half of my crypto cash for the photo voltaic farm, I may have very possible watched most of my income disappear within the crash.
That being stated, if I did journey the 2018 crash all the best way down wiping out most of my revenue, however saved on holding, after which rode the following wave again up just a few years later, I might have over $2 Million based mostly on what ETH and Bitcoin are at in the present day.
Whether or not I might have held through the backside for a number of years or stayed available in the market throughout all the subsequent run up in value is a really massive IF. I doubt I might have timed the market that effectively, nobody ever does.
In the long run it didn’t matter, as eToro was compelled to depart Canada because of rules, which meant I used to be compelled to promote all my crypto on the platform.
I ought to confess that I forgot about taxes. My crypto income contributed to a tax invoice of $170,000 CAD later that yr as a result of I held all of it personally in my identify. Ouch.
It was a wild crypto journey for a few years, which resulted in constructing a photo voltaic farm in Ukraine.
The Pandemic & A Russian Invasion
It’s 2018 and I’m again in Canada, dwelling in Vancouver.
My day-to-day life is rising my new startup, InboxDone.com.
I do have one job left for the photo voltaic farm although — to wire the cash.
Every thing is completed in Euros for the undertaking, so I’ve to transform my USD into Euros and open up a Euros checking account for my firm.
The best way the transaction performs out is as follows:
- I do a shareholder mortgage to my Canadian firm to deposit the $500,000 USD that I personally constituted of crypto.
- My firm then converts the USD into Euros utilizing the Smart.com service, and deposits the Euros into my new Euro greenback firm account.
- I then wire the cash to Pure Energy’s checking account, our firm in Ukraine which I’m a shareholder of with Andriy and our companions Eco Optima. This cash is a mortgage from my Canadian firm to our Ukrainian firm.
All of this prices cash. It’s superb what number of charges eat into all the things from banks, consultants you rent to assist with paper work, accountants, legal professionals, and many others.
The wire I ship must be for the precise sum of money required within the contract or it is going to be rejected. Ukraine has strict anti-money laundering legal guidelines as they’re making an attempt to crack down on corruption to ultimately qualify for European Union membership.
I fastidiously overview all of the checking account particulars for the wire switch, affirm with the financial institution teller that all the things seems proper, and she or he clicks the ship button (effectively I believe it’s a ship button anyway!). My cash is on the best way to Ukraine.
A number of days later I breath a sigh of reduction as I hear from Andriy that the funds made it and the undertaking is now going to start development.
Over the next months Andriy sends me footage from time to time because the land is cleared for the photo voltaic farm, timber lower, then the bottom framework goes up. Lastly the photo voltaic panels are added and we’re related to the grid.
We now have a photo voltaic farm, which you’ll be able to see on this video I recorded with a drone:
We additionally put collectively a small web site below our Pure Energy firm identify with details about our photo voltaic undertaking. I take into account sooner or later we could have extra photo voltaic farms, wind generators and hydro electrical initiatives all below this firm. It’s a pleasant dream.
I particularly like the brand:
As we headed into 2019 our first revenues return when our electrical energy is offered. It’s serving to to energy native communities, which is a pleasant feeling to expertise, one other profit from this type of enterprise.
Given there’s extra solar in summer season, we earn more money throughout these months. It’s fascinating to see all of the projections after which the precise earnings reviews as the cash is available in.
By the top of the yr I begin receiving again curiosity funds on my mortgage. That is the primary time I obtain a refund, all the things has been going the opposite means as much as then, and it feels good.
Some individuals stated I shouldn’t belief Ukrainians in any respect, that I’d lose all my cash. I felt that worry, however I preferred Andriy and trusted him. I preferred our companions at Eco Optima. Everybody appeared to be doing their finest to make this undertaking occur.
Nevertheless, it wasn’t till I began receiving a refund that I felt vindicated.
Though I did begin to obtain returns, the schedule of funds meant that my preliminary capital mortgage wouldn’t be paid again for years. I’d be receiving curiosity funds solely initially as paying down the financial institution mortgage was the primary focus, then my mortgage can be paid again after which lastly income would return.
The income weren’t scheduled till 2025, which felt a really good distance away in 2018. Nonetheless, it was good to know that some cash would come again yearly.
As soon as once more I forgot about taxes. These curiosity funds have been thought of earnings for my firm, so I needed to pay taxes on it to the Canadian authorities. Sigh.
2019 continued very like 2018. Now and again Andriy would have some information for me, like a possible deal to promote the photo voltaic farm to an investor, however nothing ever eventuated. Curiosity earnings got here again into my Euros account, I paid taxes on it.
In July of that yr it was my fortieth birthday, which I had deliberate a particular celebration to rejoice. I invited associates to come back to Lviv, find out about and expertise Ukraine, and naturally we may go to the photo voltaic farm.
I detailed this journey in my fortieth birthday weblog put up you’ll be able to learn right here.
Every thing was going as deliberate. The photo voltaic farm took a again seat in my thoughts. It grew to become type of a passive funding. There have been occasional surprises, however nothing main.
Then everyone knows what occurred in 2020.
Covid.
I returned from a visit to Hawaii in March 2020, ready out Covid in my new one bed room rental in Montreal, which I had just lately moved to.
On the time I didn’t join the dots that Covid may influence our photo voltaic farm, however it did.
The Ukrainian authorities needed to cut back funds because the financial system went by way of laborious occasions through the shutdown.
At first it was only a delay, however by 2021 Andriy knowledgeable me that our contracted tariff charge, the quantity we have been to earn for promoting our electrical energy, was going to be renegotiated down. We’d nonetheless earn a return, however it wouldn’t be nearly as good as initially projected.
This meant our timeframes would change. It might be slower to pay again the financial institution mortgage, slower to return our capital loans, and slower to achieve the revenue section.
I used to be upset, however a pandemic and a shut down financial system was not one thing we deliberate for.
By 2021 the funds have been coming again in once more and I had some curiosity because of be paid to me.
The cash was sitting in our Ukrainian checking account however couldn’t be despatched to Canada till I offered a tax declaration doc that I had to offer annually.
It was a ache to get this doc. I needed to wait on the telephone with the CRA (Canada’s tax company) to request the doc, have it despatched to a service in Ottawa that will get the doc notarized, accepted by the Ukrainian embassy with a stamp after which despatched to Andriy in Ukraine.
This doc confirmed my firm was registered in Canada for tax functions, and since Ukraine and Canada have a tax treaty, it meant that Ukraine wouldn’t withhold any funds for taxes as I might pay them in Canada.
This entire course of often took about a few month and value me $1,000. Because of Covid it had slowed down because the Canadian govt was not working at peak staffing ranges and there have been delays doing issues in Ottawa.
Now you could recall, round late 2021 a sure Russian military started amassing alongside the borders of Ukraine.
I used to be anxious. The information reported it was simply Russia displaying power, however they wouldn’t truly invade. That might be loopy.
Andriy and our Ukrainian colleagues and associates stated the identical.
Russia started to tug again a few of its forces and I breathed a sigh of reduction. It was all only for present.
Then they moved the forces again.
By this level I used to be getting very anxious and was calling the CRA to search out out why my tax doc hadn’t arrived but. They blamed Covid for delays. I instructed them I used to be making an attempt to race an invading military, so may they try to course of it faster!
The doc nonetheless hadn’t arrived as we started 2022. Then February hit and as all of us sadly know, that military crossed the border and commenced firing rockets.
The doc I requested arrived in March. I felt that unhappy irony feeling. You chortle similtaneously you cry. It was too late to do something with as martial legislation descended on Ukraine and no cash was allowed to depart the nation.
At this level although, I wasn’t actually worrying about cash as a lot as I anxious about Ukraine and my associates there, particularly Andriy.
The Conflict
What can I say a few conflict.
In the course of the early weeks and months I used to be glued to the protection, absorbing all the things.
I discovered myself crying as I anxious about Andriy and my associates there.
I hated the injustice of all of it. Conflict is the worst factor humanity does to itself.
I requested Andriy what the plan was if the Russian military took over all the nation. I used to be anxious for him as he used to work for the native authorities, which can imply he can be on successful checklist if the conflict made it to the west.
I additionally needed to ask him the toughest query — what if he was killed or disappeared? His spouse can be the contact level and take over his possession shares within the photo voltaic farm. That was the primary and I hoped solely time I’d have to speak about this subject with him.
Because the conflict progressed, Andriy despatched his spouse and children in a foreign country, whereas he did what he may to assist regionally. I may solely think about how heartbreaking it should have been to say goodbye to his household.
I used to be in contact with my Ukrainian associates and made my residence in Lviv accessible to refugees fleeing from the east. Ultimately three households moved in, by some means sharing a two bed room, one lavatory house.
It was a tough time, however as everyone knows, the invasion didn’t play out as anticipated. The preliminary expectation was the Russians wouldn’t invade, however as soon as they did, the expectation was the nation would collapse and the federal government would get replaced by a Russian puppet regime.
As I write this in late 2024, the conflict continues to be on. It’s been horrible, however Ukraine nonetheless exists and Andriy and his household reside in Lviv once more, regardless of the specter of missiles touchdown on them sometimes.
The photo voltaic farm nonetheless operates and though the Ukrainian authorities did should initially cease after which scale back funds, cash has continued to move in. All the earnings has gone to paying again the financial institution mortgage, which as I write that is now 100% paid again.
I’ve been requested many occasions if my photo voltaic farm and residence are protected from the rockets being fired on the nation each week. The quick reply is sure, comparatively talking.
It wouldn’t make sense to focus on a photo voltaic farm. You’d take out just a few panels, which within the grand scheme of issues don’t produce that a lot electrical energy. That being stated, Russia has been focusing on the power grid to make life as worse as potential for Ukrainians, so realizing our little photo voltaic farm helps contribute energy to the nation is sweet.
As for my residence, it’s presently positive.
There have been just a few unfortunate buildings (and folks sadly) hit in Lviv — even one I lived in once I first arrived there. It was fairly a shock to see the images of the destroyed constructing facade I used to stroll into on daily basis.
Usually talking you need to be ‘unfortunate’ to be hit by a rocket, type of like being in a automotive accident. Nonetheless I can’t think about what the stress should be like going to sleep every night time even simply pondering of this chance, to not point out the frequent warning sirens.
One in all my associates there instructed me she jumps into her bathtub for defense when the warning sirens go off as she is simply too distant from any bomb shelters. This was not reassuring and I prayed for her security.
Did I Not See This Coming?
There’s one query you might have been pondering as you reached the conflict a part of this story…
Did I not take into account that Russia would invade Ukraine, given it had already taken Crimea, components of Georgia and Moldova, and there was an energetic battlefront on the east aspect of Ukraine since 2014?
The quick reply is sure, I did. I even raised this concern with Andriy in a type of half-joking method.
He stated no, it wouldn’t occur. I believed him.
On the time conflict felt very distant, particularly on the far west the place Lviv is. The town was energetic, filled with vacationers, a robust IT sector and customarily felt like a pleasant place to reside that will solely get higher, particularly as they moved in direction of European Union inclusion.
The photo voltaic undertaking was particularly structured to return Euro {dollars}, not the Ukrainian forex the Hryvnia, to assist shield it from fluctuations from no matter was occurring in Ukraine.
Whereas nothing is foolproof, I felt assured to maneuver ahead.
Once more I can level to the truth that I felt I used to be investing playing winnings from crypto, which made me extra open to a brand new riskier undertaking with a whole lot of options I preferred — inexperienced power, supporting Ukraine, a stable return on funding and constructing one thing bodily in the true world.
Might I’ve discovered one other much less dangerous funding, in a foreign country or again house in Canada? Sure.
Might I’ve remained conservative and invested within the inventory market or property, each of which I already had expertise in? Sure.
Wanting again, particularly through the covid and conflict intervals, I felt remorse about investing such a big a part of my internet price within the photo voltaic farm.
You by no means know what’s going to occur to your funds, so whilst you may really feel flush with capital after a win, a yr or two later it may be the other.
By the point the conflict occurred in 2022 I’d made many angel investments which have but to return something, I’d misplaced cash on some dangerous bets on the inventory market, my new startup firm was rising so much slower than I anticipated, whereas earnings from my earlier teaching enterprise was drying up.
I felt much more conservative with my cash due to all this stuff. I’m older too, over 40. I might by no means put a lot capital in danger in a undertaking like a photo voltaic farm in Ukraine in the present day.
All that being stated, I perceive why I made the selection again then. Deep down even throughout covid and the conflict I felt (and nonetheless do in the present day) that issues will end up okay, given sufficient time.
I additionally take into consideration what I might have carried out with the cash as an alternative if I by no means did the photo voltaic undertaking.
I can think about throwing additional cash into angel investments, shopping for one other property in Canada, risking much more on the inventory market, shopping for crypto once more, or paying builders to construct software program. These are all issues I truly did throughout these years, however with much less cash than I might need spent if I nonetheless had my crypto money.
An important factor to me is I don’t consider having the cash would have made a fabric distinction to how I lived my life. Do I would like the cash again? Sure after all, and I nonetheless anticipate it again, simply at a distinct pace to initially deliberate. Dwelling by way of Covid teaches you persistence if nothing else!
The one ‘profit’ in any case of that is that issues bought so unhealthy with the conflict that at any time when the potential for cash coming again to me rises it seems like new cash, even when it’s simply my very own cash returning.
One of many causes I made a decision to lastly share this complete story is as a result of we simply made the final cost on our financial institution mortgage we took to begin the undertaking – over 2.3 Million Euros of mortgage + curiosity paid again!
Listening to this information bought me excited once more concerning the photo voltaic farm and I needed to lastly write this story right here on my weblog.
These photo voltaic panels have been ‘working’ through the previous seven years, paying again a really massive sum of money. Even throughout a conflict the Ukrainian authorities has continued to pay for the electrical energy we produce, even when the schedule of funds actually has not gone to how we initially deliberate.
What Occurs Subsequent?
I’m going to depart this final part quick and candy as I wish to replace this text once more as issues progress in 2025 and past.
Proper now the conflict continues to be raging, martial legislation continues to be on, and thus no funds might be despatched outdoors the nation. I can’t get any cash out of Ukraine even because the photo voltaic panels proceed to generate power.
Clearly I hope the conflict stops and peace prevails for the sake of all Ukrainians who wish to reside of their nation. I’d additionally wish to return and go to sooner or later quickly, to see my associates and buy a few of my favourite candies from Lviv Handmade Candies.
Given our financial institution mortgage is paid off, cash from the electrical energy we promote going ahead will accumulate in our Ukrainian checking account. We’re additionally owed again funds, which may additional bolster our financial institution steadiness.
As soon as funds are allowed to depart the nation, I’ll see Euros move again to my account in Canada, beginning with curiosity funds, then mortgage repayments and eventually income. That is going to occur over a interval of years, and who is aware of at what tempo.
To be sincere, I nonetheless really feel very tentative about all the things. With wars, elections and so many geopolitical video games being performed, something may occur. I’m not relying on any timeline for cash coming again to me, but when it does, it positive will really feel good.
As loopy as this may occasionally sound given all the things that occurred since we began the photo voltaic farm, if in 2030 I’m updating this text once more having defined how issues went effectively, the conflict ended and all my mortgage plus curiosity and income the place paid to me, I shall be prepared to take a position once more!
I may very a lot see myself doing one other power undertaking at the moment. Would I construct one thing in Ukraine once more? — You by no means know, I’m generally in a dangerous way of thinking.
Yaro
