I realize this has been said before, but spellchecking is important. I had a difficult time understanding what was going on. The events from chap 1 to chap 2 were jarring; I wasn't sure at first if I was reading a continuation of the same story or not. Are you working from an outline? If not, consider it. By creating one, it will help you to focus and organize your thoughts better and a beta could guide you in plot development. Also, whenever a new character begins speaking, it should be treated as a new paragraph; several characters talking in the same paragraph is not only confusing, but disrupts the narrative flow.