The left channel/right channel thing is going to leave one channel with a MESS of sound. Think of the days when you recorded with a portable cassette recorder and tried to bounce tracks using a second recorder.
In order to make something sound half-way decent, you need to be able to mix the tracks separately.
I'll volunteer to do that, I can mix pretty fast (tweakign does take time, though).
So Planetguy - first step is the click track/basic structure - put this on the right (or left) channel, then add a part on the other channel, upload and I'll download it, combine it to right channel, post it back up so the next person can record their part to the left side, then I'll grab that, throw it onto the right side, etc. Find a drummer to record his part on a stereo track, then we've really got it going.
I suggest setting up a dropbox account with a sign-on and password posted here so that everyone can access it (rather than eveyone using their own).
Benjamin's idea is going to leave this sounding like the Beatles' "Revolution #9"