The cam timing has nothing to do with starting and running unless it's so far off that the valves hit the piston. The cam timing has to do with performance. Your cam timing is off due to a worn cam chain and the chain should be replaced. The red goo on the surface of the head is not good either. The gasket is supposed to be put on a clean dry surface - NO SEALER REQUIRED! (unless the head is screwed up by previous Micky Mouse mechanics)
The spark timing is controlled by the flywheel. Provided the flywheel key is not sheared and the piston is at TDC when the flywheel T mark is lined up, then it's just a matter of finding what ingredient of the recipe is missing or incorrect and fixing it.
Take the carb off to find out what the problem is. If the engine was running lean (and ran lean long enough), you might have piston damage. Check the compression. I just took apart a Big Bore motor that had the top two rings and ring lands shattered from running lean. A new piston and big bore gasket set fixed the motor, but it took several hours and many carb removals and installations to get the jetting right.
The spark timing is controlled by the flywheel. Provided the flywheel key is not sheared and the piston is at TDC when the flywheel T mark is lined up, then it's just a matter of finding what ingredient of the recipe is missing or incorrect and fixing it.
Take the carb off to find out what the problem is. If the engine was running lean (and ran lean long enough), you might have piston damage. Check the compression. I just took apart a Big Bore motor that had the top two rings and ring lands shattered from running lean. A new piston and big bore gasket set fixed the motor, but it took several hours and many carb removals and installations to get the jetting right.
