transfer ==apply anew

the only difference is that when you can start working.

If it is a H1b transfer, then one can start working for the new employer with the receipt of the H1b application. If you are applying for H1b for the first time, you have to wait till the actual approval before you can start working.

In your case, you are not considered a H1 transfer because you are changing to a for profit company. So you are first of all, subject to the H1b quota which has ran out for the year 2005 unless you qualify for the added 20K quota for people with US graduate degrees. Secondly, you have to wait for the approval notice to begin working.