That is a handgranade waiting to explode if it would even start. If it were mine I couldn't get it to the trash fast enough. If you're hell bent on saving that particular engine for some reason you need a new flywheel.
Thank you for the help it really sucks i have to buy a new one especially since i’m in a money crunch. I suppose the deal was too good to be true. I’ll have it sitting there till i get some money from my birthday
You might be able to find a new flywheel on ebay. But I would save the money and buy a new Predator engine at Harbor Freight, it would be your best bet with your limited knowledge of engines, you can get a 6.5hp for just over $100 and nothing will be wrong with it. Good Luck, take it slow.
Where do you live? With some effort you can find a used replacement for little to no cash if you play your hand right! You just have to be persistent and look on craigslist, offerup faceboo marketplace etc. .
Like others have said, it's not worth trying to fix that engine.