1. PEI Council of People with Disabilities
Who we are:
Provincial organization
12 full time staff
Services to 10,000 islanders
Core programs
Gov’t funds
3 social enterprises

2. PEI Council of People with Disabilities
Our Journey
Social Enterprise – the new way
Becoming an enterprising non profit
Calgary
St. John
Scotland

3. PEI Council of People with Disabilities
Our Social Enterprises Snoezelen Room Summer Tutoring Program Designated Parking Permit Program

4. PEI Council of People with Disabilities
Gov’t contribution / Return on Investment Snoezelen Room – Govt largest customer Summer Tutoring – Dept Ed & Wage Subsidies Designated Parking – Legislation, Partnership & Contract

5. PEI Council of People with Disabilities
Structure
Three Possibilities:
Within the non profit structure
Separate Entity
B- Corporation

6. PEI Council of People with Disabilities
Within the non profit structure
Pros
Gives the enterprise access to grants
No Income Tax on generated revenues
More flexible use of in-house staff, space, and equipment
Cons
Not able to attract outside Investors
organizations assets may be exposed to risks
CRA only related business is permitted
definition of related business is a gray area but if business is not related - charitable status can be revoked.
business activity is only supposed to receive a minor portion of the charity’s attention and resources

7. PEI Council of People with Disabilities
Separate Entity
Pros
isolate and limit liability to NGO by creating separate taxable corporation
Access to capital and financing and ability to share returns with investors
organization can own and control the corporation and be the ultimate beneficiary, through share ownership and control of the board
enterprise can make pre-tax charitable donations to the parent organization
greater focus on business purpose
arrangement can reduce perceptions of unfair competition with the private sector.

8. PEI Council of People with Disabilities
Separate Entity
Cons
No access to charitable grants
pay income tax on revenues (Although paying taxes is a sign the enterprise is making money, and the Income Tax Act allows a corporation to deduct 75 percent of its annual net income through charitable donations.)
Can use NGO resources but need a formal written contract agreement and should pay for services and space

9. PEI Council of People with Disabilities
Next Steps
Look at existing operations
Identify strengths
Create wish list (gap analysis)
Use strengths to fill gaps and generate revenue

10. Scotland Experience Embers Staffing Solutions MadLug Brewgooders
Jaipur Rugs
Women’s Beans Project
Hey Girls
ARCH – Australia's Centre for Rural Entrepreneurs

11. PEI Council of People with Disabilities
Comments or Questions