Don't use the iND-BIOS config program, just edit the config file directly. It's far easier, and you can easily see (or have an educated guess at) which config directives to change.
If you want VGA you will need a dedicated VGA BIOS. iND-BIOS.5001 comes in a VGA version.
It is possible to load a game instead of the dashboard, just edit the config to point to your game, or put a shortcut (the Team XBMC shortcut) in place of the dashboard. I don't think you can make a hacked BIOS boot a different game if you boot with the eject button.