There Should Be an "Equity Investor" Central Website (like Kiva.org)

You're already aware of "micro-loans" (see http://kiva.org ).

Too many businesses in America fail because of cash-flow problems.
Many were viable business models that were on-track to profitability when the owner simply couldn't survive a temporary, non-systemic downturn.

Someone should create an "Equity Investor" Central Website.
Like an Ebay for small stakes shareholders.

Let the investor marketplace help the small businesses (not just the mega corporations).

Business owners could "put themselves out there" and check in quarterly before they consider dangerous loans or oppressive credit card debt.

Potential investors could search the database by location, industry, size of investment needed (relative to valuation/profitability) etc.

Ideally, the federal government (maybe the SBA?) could supervise and give its imprimatur.

I envision imposing a bunch of hurdles to prevent abuse.

1) Business owners seeking equity investors:
a) must first take a fairly serious online course on the basics of business (like online traffic school) and pass with a score of better than 90% before they can make requests (to prevent some of the bigger idiots).
b) must have a notary (or "Super Notary" see below) vet who they are and verify what they claim to be true in their profile/request for investors.
c) can't seek more than, say, $50k in total
d) can't offer more than 49% of their business (and must maintain at least 51% ownership)
e) must disclose all of the other owners/shareholders in the business
f) agree to binding arbitration and strict oversight/reporting requirements.
g) etc. etc. etc.

2) Potential investors seeking businesses to invest in:
a) must have a notary vet who they are and verify what they claim to be true in their profile
b) must not invest more than 10% of their net worth, in total.
c) must agree to only use information for investment purposes (not solicitation)
d) must agree to binding arbitration etc. etc. etc.

Ideally, as this system matures, savvy investors (and/or Wall Street) could "bundle" good prospects into micro-mutual-funds.

If micro-finance-loans work why can't micro-equity?
Wouldn't there be more investors if they can participate in the upside?
Wouldn't entrepreneurs prefer an equity partner to an onerous loan?

But maybe someone else is/has already been working on this idea.

p.s. This ties in to my other idea for franchising the "Super Notary" where the public notary is brought into the 21st Century.
- Literally everything they notarize is placed on its own webpage on that SN's wesbite (encrypted if requested by the client) for eternal corroboration.
- SNs can videotape contracts being understood and agreed to (also posted to the SN's website for the client to link to if desired).
I have more on this idea but will post about it later.

Be well,
Dan