I use fusible interfacing instead of dryer sheets. After you turn your applique, DO NOT IRON.....use the "fat" end of a point turner, or spoon and run it around the inside of the circle to smooth out the seam allowance, then trim the interfacing (leaving enough to glue your circle), press the circle down on your block.
It makes appliquing so much easier. Make sure that when sewing the interfacing to your fabric that you have the glue side to the right side of the fabric so the glue side is out when you turn the circle.