the same problem was with me.
1 first brake took effect almost when we about to press half paddle.
let me know do u have same too?
2 four people on board, brake = zero :o
so yesterday replaced master cylinder with little modification. first issue absolutely resolved. just put foot on brake, it took effect from the beginning. no free paddle. 
now, yet have to check with 3 to 4 on board. let u know about its performance with 4 people.