The cable you mentioned might be for an automatic compression release operated by the kickstarter. I am not familiar with the early 250x so I'm not sure. You can get a copy of the service manual for your bike HERE and fix or adjust that.
I'll take a guess on your ignition problem... but don't rely on me alone. The motor has to be kicked over at 430 RPMs or faster for it to start, so if the motor dies right away it might have a bad AC regulator or a bad harness plug connection preventing the alternator from working. Check and clean all of the harness plugs and any ground wire going to the frame. See the attached image for reference and initial ignition system troubleshooting steps.
Let us know how it goes and welcome to the forums!
I'll take a guess on your ignition problem... but don't rely on me alone. The motor has to be kicked over at 430 RPMs or faster for it to start, so if the motor dies right away it might have a bad AC regulator or a bad harness plug connection preventing the alternator from working. Check and clean all of the harness plugs and any ground wire going to the frame. See the attached image for reference and initial ignition system troubleshooting steps.
Let us know how it goes and welcome to the forums!