You can't use switchmove in a unit's init field, so for the starting sitting down loons give them a hold waypoint where they start and put it in that. Each loon will have to be in his own group ..... otherwise they will sit round the fire in wedge formation which would look at bit odd.
As for the loon lighting the fire, you could also do it with waypoints and a little code. Give him some move waypoints, experiment with the timeout field to get him to stay in the right place for the right length of time.
To light a fire its
fire1 inflame true
To do is scriptwise it would be something like
loon1 domove getpos fire1
@(loon1 distance fire1 < 1)
loon1 playmove "crouchtocombat" (or something, dunno which one would be best)
~1.5 (that's a guess, experiment to find the right time)
fire1 inflame true
loon1 domove getpos GL1 (GL1 being a gamelogic placed where you want him to sit)
@(loon1 distance GL1 < 1)
loon1 playmove "EffectStandSitDown"
exit
this is very much a sketch rather than a working script, you'll have to play with it, check the syntax and so on. And of course at the end he'll go straight off to his next waypoint unless you do something about it.... which is why I'd be tempted to use waypoints. Read snYpir's Friendly Intro to Code Snippets and Johan Gustafsson's Scripting Tutorial - both are essential reading.