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well you need ~ 1/3 of the smaller sprockets teeth engaged ideally
a quarter is just about being still okay.. less and the two sprockets are considered "too close"
mostly.
too long of a chain and you want an idler sprocket to take up slack
With your setup there, that's about as ordinary of a sprocket distance as can be..
your standard 6:1 ratio sprockets (say 10 on the clutch & 60 on the axle or 12 on the clutch 72 on the axle)
will be just in the correct ballpark.
the enigne plate should be slotted to tighten the chain properly after installation.
and that's really all you need to do.
If you feel the chain itself is still too long, just remove one more link and repeat until happy
'sid