The following criteria show that the business entity is in the form of a firm:
Firstly, a firm is a for-profit enterprise often established as a partnership. It offers professional services such as legal or accountancy. Secondly, the firm theory postulates that businesses exist to maximize profits. Thirdly, to be distinct from a firm, a company is a commercial enterprise that sells products or services for profit and encompasses all business structures and trades. Lastly, A company firm may have one or more locations owned by the same entity and report to the same EIN.