Are you missing something simple. WHAT exactly are you changing when A: distributor in engine, B: distributor out of engine?
Are you cranking the engine USING THE KEY? Have you checked that small red is getting battery power BOTH in the key "run" position and the key "start" position? You MUST jumper the old IGN1 / IGN2 wires together--the run line and the brown bypass circuit--to get battery power in both run and "start."