The developer tells how he became ineligible for reduced App Store fees after an error

Apple last year announced the App Store’s new Small Business Program, which allows small developers to pay Apple a reduced commission for sales made through the App Store. However, developer Sean Harding shared his story on Twitter about how he became ineligible for this program, although he is a small independent developer.

Apple traditionally charges a 30% fee on every sale made through the App Store, be it an app or an in-app purchase. After several complaints, the company announced that developers who earned up to $ 1 million in revenue during the previous year could enroll in a program to have that rate reduced to 15%.

Harding, who has been independently developing iOS apps for some time, decided last year to “take his apps more seriously”. He formed a small private company (LLC) and created a new business account on Apple Developer, when he asked to migrate his applications to this account.

However, afraid of having trouble joining the App Store’s Small Business Program, he contacted Apple Support for further clarification. Apple did not respond adequately to your questions.

So I did what I thought was the right thing. I emailed Apple and asked for clarification. If the transfer of the application made me ineligible for the Small Business Program, it was not worth it. The first answer I received did not answer the right question. So, I wrote again.

The second answer also did not answer the right question. So, I wrote again. The third answer said: “Since you are not yet enrolled in the small business program, you can download the application and submit your application”.

In the same email, Apple also said that the company would not be able to guarantee its eligibility for the program after the applications were transferred, which seemed ambiguous to Harding.

Instead of pushing for clarification for the fourth time, I interpreted it as “a transfer will not disqualify you, but we will not guarantee anyone’s acceptance”. So, I made the transfer, sent my application to the Small Business Program and waited.

Unfortunately, after the transfer was completed, Apple rejected Harding’s apps for the App Store Small Business program, claiming that because their apps were transferred from one account to another, they were no longer eligible for the reduced rate. Apple later told the developer that any applications transferred after January 1, 2021 are not eligible for the program, which the company did not clarify for Harding before.

Although Harding knows that he made a mistake in requesting the transfer of applications from one account to another when he was unsure of the outcome, he argues that Apple failed to provide a clear answer and was also unable to rethink his situation.

We don’t know if the company will make exceptions for cases like this, but if you are a developer, be aware that transferring your apps from one account to another may result in you never being able to join the App Store Small Business Program again.

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