Apple in November announced a new App Store Small Business Program that lowers App Store fees for small business owners and independent developers to 15 percent, down from the standard 30 percent. The program is set to launch on January 1, 2021, and as of today, eligible developers are able to sign up.
Apple has launched an App Store Small Business Program website that has all of the information that developers need to know, along with signup tools. The program is open to all developers who earn less than $1 million from the App Store in a calendar year, which applies to 98 percent of developers, according to a recent analysis.
When initially announcing the program, Apple promised to provide developers with more information, and has today done so through the App Store Small Business Program website. The site walks through the basics of how it works, answering questions about eligibility, app transfers, payouts, and more.
The 15 percent fee applies to paid app purchases, in-app purchases, and subscription fees, and this year, all developers who earned under $1 million from the App Store in 2020 are able to qualify for the program. Developers new to the App Store will also be able to participate.
Notably, today's information clarifies that the $1 million total applies to Associated Developer Accounts.
To participate in the program, you and your Associated Developer Accounts must have earned no more than 1 million USD in total proceeds (sales net of Apple's commission and certain taxes and adjustments) during the 12 fiscal months occurring within the 2020 calendar year, and have earned no more than 1 million USD during the current year.
It also says that app transfers are not allowed while participating in the program. Any app transfer initiated after December 31, 2020 makes a developer ineligible to participate in the program.
Apple says that developers should submit their enrollment by December 18, 2020 at 10:00 a.m. Pacific Time to receive program benefits by January 1, 2021. More information can be found on Apple's site.
