A neutron source driven by electron accelerator is proposed in Shanghai Institute of Applied Physics (SINAP). The facility is planned for the study of nuclear data in Thorium-Uranium cycling system, and for material research. A detailed simulation of the neutron source is performed for the program to get the neutron generation maximum economically. Several parameters of the facility, which affect the neutron yield and the neutron escape from outer surface of the target, are analyzed respectively. Besides, the yielding neutron spectrum and the escaping neutron angular distribution are calculated and discussed.