The starter probably (not sure about yours, different models, well... differ) has a safety system so it won't electric start in gear with clutch engaged. The clutch lever should have a switch that connects ground directly to the solenoid. The starter should work whenever the clutch is disengaged. Also the neutral switch should connect to a diode that grounds the solenoid in neutral. The diode prevents the clutch switch ftom lighting the neutral light.
There are also "starter safety unit" devices that do the same differently.
If you get power to the solenoid when the button is pressed but no ground to complete the circuit, look into that stuff. Also, the solenoid can seize up after 40 years but it can be disassembled and restored to working order.