Coffee break #1: How to properly sell your startup, 9 best Java frameworks for work in 2020

New on JavaRush: a weekly selection of useful articles summarizing the most important things. Today’s issue includes material on how to properly sell your startup (what if?) and a review of the 9 best Java frameworks for work in 2020.

How to sell your startup correctly

Source: TechCrunch Have you written an innovative app, but for some reason decided to sell it? Joe Procopio on the pages of TechCrunch decided to share his more than 20 years of experience in this field. Buying and selling a startup is a large-scale and complex transaction, for which a novice entrepreneur is not always 100% ready. The most common complaint heard from a former startup owner after signing a contract is that the sale price could have been much higher. But are these claims always justified? Let's look at this issue more closely.

There are 4 main reasons why an app owner decides to sell it:

1. Things are going badly. The owner of the startup wants to get rid of it because he doesn’t believe in its future.
2. Things are going very well. The application developer wants to receive a large sum at once.
3. External factor. Something happened outside the company that made the sale attractive. For example, an owner manages two companies at the same time and decides to sell the small one in order to invest the money in the larger one.
4. The app developer is poor at marketing or unable to attract investors. The owner of a startup believes in his startup, but believes that the buyer will better promote it on the market.

There are 3 main ways to acquire a startup:

1. Big company. This is the most popular option. A large company acquires a small company because it wants to use its technology/product or wants to get rid of a competitor.
2. Private equity. Investors buy out the shares of all existing owners. This operation usually occurs when the startup’s valuation is high.
3. New investment round. At lower valuation levels, the same operation can occur: a group of investors buys out the shares of the current owners.

How to determine the value of your startup

There are 3 most common ways to calculate a company's selling price.

1. A service company is typically valued at 1-2 times annual revenue . If a company owns intellectual property that can be spun off into a separate product, this can increase its value by up to three times annual revenue or even more.
2. A company that has launched its own product is typically valued at 2-10 times annual revenue . The exact amount is determined depending on the specifics of the market, unique differentiators and a number of other factors.
3. If the product is innovative, the manufacturing company can be sold for an amount corresponding to 20-50 times annual income .

To sell your company for $100 million when its annual revenue is $10 million, you need to show the buyer a path to $100 million within 3-5 years. The better you can do this, the more likely you are to get your asking price. Be sure to take care of the legal purity of your business. You will have to show the buyer a table with net capitalization, taking into account all shares in the past, present and future. You also need to provide access to accounting records so that the buyer can verify the reliability of your financial results. In addition, your lawyers should be prepared to answer any questions from representatives of the purchasing company. And, of course, there is no need to rush when preparing to sell. It is better to spend an extra 2-3 months searching for a buyer than to sell the company for half its real value.

9 Best Java Frameworks of 2020

Source: Towards Data Science The popularity of Java in web application development is obvious. But in addition to choosing a language, before creating a new project, you should also decide on the framework. To make it easier for you to navigate this issue, we have selected for you the best Java frameworks recommended for application development in 2020.

1. Spring

   This framework deservedly takes first place, as it remains the most popular among developers. Using Spring, you can develop high-performance web applications of any complexity. Spring MVC and Spring Boot account for more than 90% of the Java web framework market.

2. Hibernate

   One of the important advantages of this framework is the simple conversion of data for several databases. Multi-database support allows applications to easily scale regardless of their size or number of users. The Hibernate framework is not only fast, but also powerful, scalable, easy to change and customize.

3. Struts

   This framework helps create easy-to-maintain enterprise applications. The advantage of this platform is the presence of plugins: JAR packages that provide platform independence and portability.

4. Play

   The interface of the Play framework is extremely simple, which allows mobile application developers to quickly navigate its work. It is mainly used in application development using the coding by convention principle.

5. Google Web Toolkit

   Java developers prefer this framework for writing complex applications with high performance. Its main feature is a Java to JavaScript compiler, which allows you to implement all client and server development in Java. Among its functions it is also worth highlighting bookmarking, cross-browser compatibility, history and management. Such popular services as AdSense, Google Wallet and AdWords were created using the Google Web Toolkit.

6. Grails

   The Grails framework can be used to create scalable applications for content management systems and services that meet the requirements of REST architecture. Grails can interact with other Java technologies such as Java Spring, Hibernate, quartz, EE-containers and SiteMesh.

7. Blade

   Any custom application developer can understand this framework in almost one day. Java Blade appeared on the market in 2015 and immediately became popular due to its simplicity and ease. This platform helps you quickly create web applications. Blade is based on Java 8, which provides it with a RESTful style routing interface. It supports webjar resources and plugin extensions.

8. JavaServer Faces

   Oracle's JFS Java framework can be used to create both enterprise and consumer applications. The benefit of JavaServer Faces is that it makes it easy to connect the presentation layer to application entities. It also has a clear architecture, with distinguishable application logic and presentation.

9. Vaadin

   An excellent framework used for simplified Java development and creation of RIA web applications. The advantage of Vaadin can be considered the provision of continuous communication between the server and the browser.

   Vaadin provides direct access to the DOM from the Java Virtual Machine. In its latest release, it was split into two parts. Light version - Vaadin Flow provides server-side communication and routing.

   We hope that after reading this post, you have a clearer understanding of the various Java frameworks. Learning them is not that difficult, but you only have to choose one platform that best suits your requirements!