When you create an app you will be asked how the app will be used:
The choice you make determines its type. There are five possible types: Business, Gaming, Instant Game, Consumer, or None. Once you choose an App Type, your app will only be presented with Products, Permissions, and Features that are available to that App Type.
Business apps are subject to an additional layer of Graph API authorization called Access Levels. Access Levels apply to Permissions and Features and eliminate the need for Development Mode and Live Mode.
The Instant Game type is for gaming apps that are played on the Facebook Platform.
The Consumer type is for apps that integrate consumer-related products like Facebook Login to provide app users with a more connected experience.
Apps designated as None are apps that don't fit any of our App Types. Apps designated as None have access to all Products, Permissions, and Features.
You may remove your App Type by going to App Dashboard > App Review > Permission and Features > Looking for additional permissions and features? and clicking the Remove App Type button. Any Permissions or Features already approved through App Review will retain their approval status. Note that if you remove your app type, you will be unable to restore it later; you must create a new app with the desired type instead.
Removing the Business app type will restore the App Modes toggle and set the mode to the status it had been at the time of type selection.