dilema, what would you guys do?

OK, have a friend that picked up a bug and wanted me to help with it. Well told him I would install a t3 engine in it for him (baja so plenty of room). It was the only engine I have that I could let go of without building or needing some serious work. Well the t3 was not "rebuilt" as I was told when I got it. So it needs a rebuild. So I decide better to find him a decent engine for it, none available in his price range around so I say well ok will get one of mine together for him. I spent 2 days getting a 1600sp together putting case savers in it and get it up and running, get the exhaust on it today, tune it up, flush it and change the oil then get ready to take it for a spin, clutch pedal has no action. Fiddled with it for awhile and now need to pull the engine and see whats up. On top of this when hooking up the wiring looks to be set up for a one wire alt. Total bypass on the reg. Seeing more and more work to get it on the road.
Heres the dilema. Since I got his car here moved my bus and been messing with his for 3 weeks now. No room to work on both, just one at a time. This is time that I needed to get my bus finished and on the road. I am sure I can get it rolling in a week or so but..... I told him $400 for the t3 +install and getting it running. How would you handle something like this? He is not mechanicly inclined enough to do the work, and a friend to boot. He is expecting to drive the car when it leaves here and I do not know what to do. Stressed beyond belief, feel bad about giving it back to him saying here ya go running engine but you cannot drive it, it needs this, and this, and that.............

Is he paying you for this stuff?

I don't mind helping a friend out, but what I like to do in cases like this is make the friend work on the car with me. That way they can see all you have done and learn for themselves in the process. It also lets me work on my own stuff when they can't help and gives me an excuse NOT to work on it if they don't have the motivation.

To me is sounds like you've met your obligations. The engine is installed and running. Car may not be road worthy but he should understand that.

I would just tell him what's up with it. The Engine is in and runs, but the clutch is fubar - may need new pressure plate, throw-out, cable - who knows. I would let him know what it could take make sure he wants to spend the money and then help him do the work. While waiting for parts or for him to decide what to do - pull it out of the way and work on the bus.