Developer gets disqualified from Small Business Program after Apple couldn't answer his...

Cal Jeffrey

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Staff member
Word to the wise: If you are an app developer interested in getting into the Apple Small Business Program to lower your App Store fees to 15 percent, do not transfer any of your apps between accounts. One developer learned his lesson the hard way after failing to get a clear answer from Apple.

Last November, Apple announced its App Store Small Business Program. The initiative is aimed at helping small developers making under $1 million per year grow their businesses. It officially launched on January 1 with some restrictions that Apple had not made clear.

Sean Harding is a developer who had already had a camera app in the store and made less than $1,000 in 2020, so he was sure he qualified for the program. He created an LLC and a new developer account and began the application process. However, Harding was unsure if he should transfer his existing app into his new account, so he reached out to Apple Developer Support for clarification.

The first two email responses he got from support did not answer his question. Harding sent a third email wondering why it was so hard to get a simple answer to the question of whether or not he should transfer his app.

The third response told him, "Since you are not enrolled into the small business program yet, You are able to transfer the application and then submit your enrollment," which turned out to be completely false. The email continued, "However, we would not be able to guarantee your eligibility for the program if you do pursue the app transfer," which was completely true.

At that point, Harding was still confused as to whether he should or should not transfer his app. Instead of reaching out a fourth time and likely getting a similarly confusing reply, Harding made the leap of faith that what support was saying was that the transfer would not disqualify him but that Apple does not guarantee that anyone gets accepted into the program.

Harding made the transfer and completed the application, which was flatly denied because he had transferred the application after January 1, 2021. He appealed the decision twice and got the same response—he was ineligible because he missed the app transfer deadline.

Harding accepted that it was his mistake, but what was so infuriating is that it was clearly past the deadline when he asked for help, so why didn't support simply say that.

Harding concluded his Twitter rant by saying, "If you take nothing away from this, learn from my mistake: never, ever transfer an app in any way or direction, if you want to participate in the small business program in the future."

There is still a sliver of hope that Harding can still get into the program with another appeal. Fellow developer and former Apple employee Ryan Jones saw Harding's tweets and said that he would reach out to his contacts at Apple because it seemed like an issue that should be cleared up on appeal.

"The transfer ended after January 1, 2021? That's the crux. Seems like maybe that wasn't known to be the plan in your Q&A back and forth," Jones replied. "They can't 100% spell it out, too many edges and bad actors. Still, the appeal should work. That's the point of an appeal. I'll send to contacts."

In my opinion, this is one that Apple should let through. There is no excuse why support could not have simply said that the transfer deadline had already expired.

Image credit: ymgerman

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Ah they're using the Google method of replying to questions! Though this might be a bit too interactive for Google if an actual human replied with a canned, non-answer and it wasn't just automatically generated without human intervention but hey, I'm confident Apple with get there in their levels of shitty 0 involvement business partner service.
 
I feel like I missed some crucial context information about why he needed to transfer the application between accounts. Is the issue that he has other applications that do make $1 million per year so that he needed to split the low volume ones into their own accounts? And if so, I'm not sure I'm ready to vilify Apple for feeling that the developer as a whole is still over the threshold?
 
During PayPal verification process they sent me 4 small transactions instead of two, I sent email asking which two par transaction I should use to verify my account however I got just a general answer that telling me to use the two small amount that I have recieved as they have never read what I wrote. I sent another email and another staff answer in very similar way. I wonder what type of HRs such global companies have to employe such support staff.
 
I've received better answers from the IRS and some of their annual employee duds ......
 
Here is my advice: don't don't do business with Apple
Well that's hard to avoid if you are in app business, and you want to have an app for iOS as well.
It's not like you are on Windows, Android, Linux or MacOS where you can easily install an app/program to your liking.
 
I feel like I missed some crucial context information about why he needed to transfer the application between accounts. Is the issue that he has other applications that do make $1 million per year so that he needed to split the low volume ones into their own accounts? And if so, I'm not sure I'm ready to vilify Apple for feeling that the developer as a whole is still over the threshold?

Well is not like he was trying to covertly pull a fast one on Apple: He asked them, repeatedly to make sure it was ok and do things by the book and follow Apple's guidelines exactly, they just did a poor job at outlining those and at sufficiently training their support reps to either answer them or properly set up expectations like "We need to review your case please wait until we get back to you" kind of deal to indicate they weren't sure before answering incorrectly.

I don't see why any of what you mention would make Apple look better of this dev look worst imo.
 
Well, I know that I'd never be able to work for Apple. Apparently being retarded is a prerequisite.
 
I feel like I missed some crucial context information about why he needed to transfer the application between accounts. Is the issue that he has other applications that do make $1 million per year so that he needed to split the low volume ones into their own accounts? And if so, I'm not sure I'm ready to vilify Apple for feeling that the developer as a whole is still over the threshold?
As I understand it, He only had one application. It is a free app with in-app sales. he made a modest amount of money on it, but he had decided to get serious about developing more app. So he created an LLC, which he wanted to register in the Small business program. He read all the ToC, but he was trying to find out if he had to transfer his one existing app into his LLC account BEFORE or AFTER he applied to the program. That was his question. Support did not answer it in a way that made sense multiple times. Even though it was after the deadline to transfer, Support did not tell him he was too late to do any transfers.

Instead, they told him, "Since you are not enrolled into the small business program yet, you are able to transfer the application and then submit your enrollment. However, we would not be able to guarantee your eligibility for the program if you do pursue the app transfer," which implied that he was still okay to transfer, even though if he were to do so Support should have known that he would be disqualified because it was past the deadline.

How the exchange with Support should have gone was:
"Should I transfer the app from my other account before or after I apply for the Small Business Program?"
Support: "Neither. You should not transfer your app at all because we are already past the app transfer deadline. If you transfer at this time you will be disqualified from the program."
"OOOH. Okay thanks for your help. Glad you cleared that up for me."
 
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