Capital Exchange ( has launched the first regulated on-line information and matchmaking service for small companies seeking business finance and potential investors. The site is aimed at bridging the 'equity gap' experienced by entrepreneurs requiring finance of between £25,000 and £1.25m. In 1998, approximately £5.5bn of private equity funding was raised, with 88 per cent of this going to management buy-out or buy-in situations. This means there are thousands of business plans that never receive funding simply because they are submitted to the wrong investor and are never seen by the right investor. In addition, there are thousands more businesses wanting to raise finance but not knowing how to go about it.