To improve:
-Yeah, the caps lock thing (that button is a bloody curse on your keyboard!)
-when you activate a note, make it a distinct tone (not just a toned click) perhaps you can try making the sound last as long as you hold a button (don't know if it's possible in flash though), you would be able to play awesome chords! Now it is just bottersome that your note clicks 20 times when you push the key.
By the way, good job accessing notes solely from the keyboard. Clicking your mouse ruins the chords effect!
But overall, this feature is far better than most of them I've encountered.
PS: too lazy to write an email, sorry.