An ipad application which we are developing is dependent on our website which is not accessible over internet right now. We are planning to make the website available after the application review is complete.
Does Apple run the application during the review process? (Which means i should make my website available on internet)
Or do they just do a static analysis of the code?
They do run the application and quite often screen grabs if they find a problem.
I would expect your app to be more likely to be approved if the website was available.
I had a similar problem with an app which was supposed to show streaming video (as a minor feature) but the streaming server wasn't live during review Apple rejected the app because it match the described functionality.