As your motor has battery ignition system it is really easy to check for spark and the timing advance.
You feed the coils with 12VDC connected at the terminal stripe at engine block.
Blue is ignition (plus 12VDC) and black is ground (minus).
Set the breaker points gap at both cylinders, put on the flywheel with key in the grove BUT do not tighten the nut.
Ground both spark plugs and turn the flywheel by hand. The spark plugs should fire with about 180 dgr interval.
To check the timing advance (normally you do not need to set it because if it is set correctly it should not change) count the teeth at flywheel, divide it by 360 and multiply with 30. (I think it is about seven teeth, if do not remember wrong).
Now you have the numbers of teeth at flywheel when the #1 cylinder should fire at WOT.
Check for the 0 dgr (TDC) mark at flywheel for "1 cylinder , count the numbers of teeth to the left of 0 dgr mark for 30 dgr BTDC.
Now set the throttle at WOT, do the same check for spark at #1 plug with a battery connected.
It should spark at the 30dgr (the numbers of teeth you have counted).
You adjust the advance by lengthen or shorten the timingplate rod.
If it is almost right, tighten the flywheel nut with right torque and then you can use a timinglight and the starter to set the timing advance more exactly.