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Non-profit thinking of starting a separate revenue-generating business

 

Hi

Im currently working for a non-profit in Ottawa and with the lack of funding for non-profits these days we are thinking of starting a separate revenue-generating business, which we will charge a service to our members, and the profit will go directly to our non-profit.  We are wondering how close a link we can make these two separate entities? For example, will new business be able to take advantage of any of the tax benefits we currently receive? Or will it benefit from any way by the non-profits status, or be treated as a completely separete normal Business? And as far as liability goes, if this operation goes bankrupt, will the Non-profit board be held liable? thanks very much for any insight on this?

Dave