The Best App Development Company Reviews The App Store Small Business Program From Apple

By on December 11th, 2020

5 min Read

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Apple recently made an announcement about its App Store Business Program which takes effect on 1st Jan 2021. It is pretty clear that Apple wants to attract small business owners like yourself to their platform. So far, this looks like a step in the right direction for a company that many deemed unfriendly to small businesses due to their high commissions. In this article, we take a detailed look at this program and also show you the need to hire a great mobile app development company in Sydney early as now, especially if you run a small business. 

App Store Small Business Program: Overview

Developing an app isn’t cheap, especially if the app is a complex one. And considering that your app will most probably not take off right away, you are staring at some pretty discouraging possibilities. 

A high commission from the App Store could hurt your profits. Unlike a small business, a larger one will absorb the reduced revenue.

This is where the Apple Store Small Business Program comes in. Apple seems to have finally taken into consideration the plight of small businesses. Let’s say you have an idea for an app. If you want it done right, you will hire a mobile app developer in Australia. The program serves as an incentive for small business owners like yourself. 

Apple had a fixed commission rate a while back (30%). Developers had to pay it regardless of the amount of money their app made. The App Store Small business program changes all this. 

How It Works

Apple announced that they will be halving their commission rate to 15% for small app makers. But this came with a catch. You will have to meet the following requirements before you can qualify for the program,

  • Your app has to have made up to 1 million USD in 2020. This applies to all developers, even those new to the app store.
  • The standard commission rate kicks back once you earn more than 1 million USD. The rate won’t change for that calendar year.
  • Your app will qualify for the program again if your revenue falls below the 1 million USD mark.

Our developers at Mad About Apps and nearly every other great app development company in Sydney think this is a genius move by Apple. Small business owners have the motivation they need to create successful commercial apps on this platform. Think about it, you get to pay less for creating a great iOS app. How cool is that?

What You Should Know About The Small Business Program

Now that you have a better understanding of the Apple Small Business Program is, let’s dig in deeper. Here is some important information you should know.

App Transfers Are Not Allowed

There are a lot of apps on the App Store. Apple will not allow app transfers so that the program can be simple and fair for all developers. Why? App transfers will further complicate the program. Some developers might even try to cheat the system.

Associate Developer Accounts

As we have already mentioned, this program will benefit small business owners. Apple has to make sure that your business qualifies. Your total revenue has to meet the specified amount. This is why you have to list any other associate developer accounts. The total revenue from all your accounts should not be more than 1 million USD. Otherwise, you won’t qualify for the program.

How To Enroll

The best part about the small business program is that most app owners on the App store can qualify. Here’s how you go about it.

  • Have an Apple Developer Program Account.
  • Accept Schedule 2 to the Apple Developer Program License Agreement.
  • List all your associated accounts and enrol.

The App Store Small Business Program is no doubt great for small business owners. But as we have already observed, you first have to make a successful app before you can qualify. This is the time to make use of iOS mobile app development services in Australia. First, develop a stunning iOS app for your business. The rest of the things will fall in place gradually.

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