You asked: I hate it. The bottom one looks like someone took a traditional, wicker sofa and wrapped it in leather. Those very formal, old fashioned arms, and bun feet, don't go with the eclectic, casual style of the upholstery. The shape of the red sofas is much more appropriate, but it would be better in all leather. Leather is great with kids so long as they don't have sharp things in their pockets and can be trusted not to poke pencils into it. It cleans up with water and saddle soap. But it does stick to bare skin, and can get hot. It's nature's vinyl. Which is why they combine it with fabric. Bad move. Either be fabric or be leather. The weight and texture are too different and they rarely come out looking great, especially after some living happens. The red bench is cool! Less imposing than a sofa table (console), but with a lot of the same function. And it's folky and funky. My Aunt had the two sofas flanking the fireplace in her living room. It's a great conversation grouping, but not so much for TV watching. For that, especially for the kids who probably look at the screen more, you want a straight on view. You can do a big square, though. An L of couch and settee or second couch or loveseat, and a couple of small easy chairs that are easy to get around on the opposite side. You have your red chairs. I'm not sure if they're too big to allow people to walk by easily if you close up the square, but even so, you can always pull them over for company, and keep them by the piano for family time with running kids. Re Larry, have your other family members sit tested him? I totally agree about the shape. It's very tired. But that LOVE thing is important. Your family room couch should feel Ahhh to sit on. I'm sure it'll still be there though. Maybe you can find a similarly comfy couch in a more classic shape that will give you more breadth of possibilities. Comfort comes first, but it can be done with a little more style than poor Larry. ;-)

okay..so I see some preference for muted yet strong colors, reds, blues..tribal rugs(great choice for the room btw)..I think though the room is too strong of a rustic character to pull off too many valances-and swags- type of curtains, as on your first inspiration pic. You also love industrial elements-so don't sway too cute. You need the right balance between everything you love. You can definitely though make window treatments feel cozy with the right type of fabric. I'd choose linen or cotton, and depending on other elements, I can have them solids, florals, plaid.. Can you do the following exercise? Take out all the fabrics currently in the room. (well leave the curtains..I imagine it's too much for an exercize lol) .Including the rug. Temporarily. Give yourself several hours just looking at it while it's emptier. Look at it from different angles. Sit on the floor if you wish)) Changing physical position in space helps mental process. Why-I've no idea. I just know it's helpful. It might be that at first you'll feel or see nothing much Then it'll change though. You'll have some vague or more definite ideas ..say, you'd envision the rug and decide to start from that. Or you'd want to rearrange something on the walls-and it'd give you ideas about window treatments. Or you'll picture some pillow you saw and loved. It is overwhelming, as every new thing we are to start. So make it a bit less overwhelming. One step at a time. Your first step-listening to the room and yourself. I can make specific suggestions of course. But I think you'll enjoy the process more this way. I think you'll love creating. It is creating after all, to a degree. You'll get that spark, that starting moment. Then it'll be many ideas. More than you want)) Then it'll be narrowing them down:)

Why is the arch cut off by the ceiling? I would keep it mostly bare, but if you need some privacy I would do a simple duette/cellular shade or roller blind that matches the trim color. Place the blinds on the trim between the window and the arch. Done in the same white the shade will mostly disappear when opened. I don't think you have room for an inside mount.

We need to see the whole room, I can see pulling out the burnt orange, blue and soft yellow colors from the rug.