I think the photo of the barn is nice looking, but as a shopper, it doesn't help me navigate the site or learn more about your products. Seems like wasted space that could be used for product pictures or navigation elements.
From the main page, it took me too long to figure out how to see the actual t-shirts. You shouldn't have to scroll down to the bottom of the page to find a link to see your actual product. There should either be a shop link above the fold or product pictures above the fold to get the shopper deeper into the site. At the very least the picture of the house should be clickable to get into the site deeper.
I agree that the site logo in the upper left should be linked back to your homepage.
I like the layout of your t-shirts on this page and I don't think having only 3 shirts is too much of a problem for you:
http://www.rebornrags.com/shop.html
I think since your product graphics seem to be in the "vintage" style, you'll need more product description text to help sell the design. You need like a funny backstory or thinking behind the shirt. Something that helps the shopper identify with the shirt or learn why it is cool. That will also help you show up for more terms in the search engine.
Like this shirt:
http://www.rebornrags.com/juvy.html
It's an interesting idea, but I think with a little explaination of the "funny", it'll help people make a buying decision.
I think in general, it's a good idea to use standard definitions for shopping cart instead of "shopping pouch". Terms like "Add to Shopping Cart" and "Buy Now" are stronger terms that are more universally known.
You may want to rethink your exchange fee, as this could turn off buyers.
A size chart would help people see if the shirts will fit them before they buy and have more confidence in shopping at your site without being able to touch the item.
Since they can't touch the item or ask you questions in real time, you need to have all their "potential" questions answered on your site in an easy to find location (or locations).
I would suggest adding XXL to your size lineup.
I like the name of your "brand" and your RR logo.
I like the overall look of your site and your product pictures. I think 3 shirts is fine for a start, but if you add a newsletter and/or a blog/news page to help visitors feel like your site is being updated with new information and keep them aprised of new designs it will help people to want to return to your site.
You should add the PayPal/Visa/MC/Amex/Discover sign to your pages so shoppers know what type of payments you accept.
Your navigation menu title RR could be entitled About RR so that shoppers know what to expect before they click.
I think overall you're off to a great start, but addressing some of the points mentioned above could make your site more "shopper-friendly" and maybe even more search engine friendly.