As an adult, I can only speak for myself, and although this is nice, I think it is comparable to the functional programming programs for adults out there (for instance, Microsoft's online F# tutorial, or Coursera's Scala tutorial). The pictures and things aren't making it easier for me. I don't know if it will be different for kids.
Did you try the regular "adult" tutorials with them? It would be interesting to see if they liked this more, or found one of them interesting.
One fundamental aspect of functional programing is that it specifies the use of functions as arguments.
I like the chapter suggestion. Maybe each chapter builds upon a function that the kids can relate to. The subsequent chapters can use the previous functions as "arguments" or objects so that they understand this concept.
strong math knowledge needed to understand it. polish notation could be also confusing.
The problem seems like the problem with Clojure (instead of say Racket) would be the uninformative error messages.
This might be good thing to discuss in a tutorial aimed at kids.