RE: Someone who sews - help!
I couldn't follow the instructions you were trying to use. Here is a link to a pattern that I used to make a pouch for me - the sizes are for adults but I don't think it would be hard to resize it for children. It is a simpler design than the one you are using and was quick and easy to make. I don't know if it will be any use to you as you have already cut out your fabric, but I hope that something works for you.
http://www.sleepingbaby.net/jan/Baby/pouch.html
Good luck!
Lindsay
DD 12/06
DS 08/09