I own one, but I'm afraid I'm not willing to sell it! I will share my thoughts on it, though;
It's a well-built little unit, and probably one of the best machines manufactured during the TV-games craze from which it spawned. The disadvantage is that it only has three games on it - Ghosts 'n' Goblins, Commando, and 1942. It does have a decent and unobtrusive menu, and the buttons with which to operate it (situated on the front of the stick) are well-labelled and responsive. It also saves your high scores.
It's important to note that, contrary to popular belief, the hardware in this device is NOT a Mega Drive clone on a chip - my understanding is that it's actually a custom SoC that Jakks Pacific (the manufacturer) developed for their Jakks TV Games line. There is evidence of this out there somewhere, but I forget where it was at this point.
The controls are nice, which is a refreshing change from most of the TV-game units out there, many of which had joysticks with too large a throw, or poor restrictors which meant that joystick inputs often weren't what you actually wanted them to be/hat you actually pushed. It has a good joystick with good buttons. The stick itself has the same sort of throw as a Sanwa JLF or JLW stick, and the feel of it is a little bit similar as well (i.e., it's not too difficult to move), and it even has the black washer at the base of the stick and everything. The buttons are nice and clicky, and not *too* dissimilar to Happ buttons (which are traditionally what Capcom used in some of their machines). Considering that it's really a toy, I was really surprised by how good the controls are, for what it is.
It also has an expansion port for "GameKey" cartridges, and one containing at least Gun.Smoke and a port of Mega Man was supposed to be made available (going on what little I've found out about it this was presumably the original NES Mega Man, although given the fact that all of the other titles were arcade games, it may be possible that it was a port of the CPS1 title, Mega Man: The Power Battle). Whilst evidence exists in the online resumé of one of the people who worked on it that this was completed, to my knowledge it was never actually manufactured or sold. (As far as I know, the only GameKey cartridges that were ever made were ones relating to the television-licensed TV-games that Jakks Pacific manufactured, and these were not sold separately, but instead packaged in with the sticks in the first place.)
If you're after one, don't over-pay - they ended up in bargain-bins shortly after their manufacturing run, where they ended up being sold off quite cheaply (I paid about £15 for mine closer to the time they were made, when they were still in stores, which I found to be a great deal, and they were cut to £10 and then £8 not long afterwards).
Whilst I know that it has been done previously, I'm not sure that I would recommend making a mini-cabinet with one due to the limited selection of games and the lack of the expansion pack to add more, but it is a decent little unit that's quite fun to play with.
I'm looking forward to seeing how your first mini arcade machine turned out. When are you posting the pictures?