Pretty, well polished but mostly bland
I appreciate the 'retro' style so I wont rag too much on the familiar use of battle and level systems we've all seen before. But even so the characters and setting just don't seem that interesting. The enemies are kind of generic as well but are animated enough that they still come off as fresh (the way they have two idle animations one for when they are low on HP is a very nice touch). I enjoy the cartoony style and the menus looks smooth and polished to a professional level. I find it a bit off putting however that (at least to me) the player characters seem the most lifeless and bland of all the animated creatures we see. Three generic looking dudes with unpronounceable names just don't interest me that much and make it very hard for me to put myself in their world (which is a major problem for the 'Role Playing' aspect of the game).
The text based menu system while over done is a classic for a reason, and it works well here and flows easily. The tutorial was kind of annoying given that most of us have already seen these ideas before. I respect your choice to use keyboard controls over mouse and believe it really fits the game a lot better anyway. Perhaps a way to drive the idea home with the audience would be to have a cursor of some kind (like the FF hand with pointing finger) to show selections on the title screen and a few other places. Speaking of, the thin white outline around the characters really isn't enough to show who's turn it is, especially in the lighter backgrounds I had some difficulty telling who I was using and made a few choices by mistake.
Over all my biggest gripe with the game is the lack of a real overworld. I realize that it's uncommon for flash games to include that aspect of RPG's but I really feel that is a shame, it's just too hard to get immersed in a world that I am not able to actually walk around and interact with. You at least step it up a notch above the average by having a map but it really isn't enough. I know it's a big pain to make one, but without an overworld these games really feel like little more then one battle after the next, no true exploration or adventuring spirit endures.
Over all I am very very impressed with the amount of polish and presentation displayed, you clearly did not half ass any part of its production. I just wish you would apply an equal amount of creativity in your characters and setting.