I think the color of the cigar or the style of the eyes are not the problems you should focus on right now.
What I noticed first: You are using WAY TOO MANY colors. I counted something like 36. This is just too much. You could easily cut it down to ~ 10-13 colors. Maybe 4 for his suit, 3-4 for his skin and 3-4 for his hair, and maybe 2 for the cigar/smoke. Just try to remove all colors which are nearly the same (i saw something like 5 similiar browns) and give your colors A LOT more contrast.
The next problem would be the colors themselves. Some of them are just... horrible. You should not only change the brightness of a color when making a palette, but also the hue. Try to make the yellow more and more orange-ish while darkening it. This makes the colors less boring. The same goes for the skin. You could make it (slightly) more yellow in the brighter shades, and use more orange in the darker ones. Also try to avoid using pure black in your sprites. Here is a palette of mine as some example / inspiration for you: http://i40.tinypic.com/wtx5xz.png
Ok, now about the lineart... well, it is some chibi style, so I can't complain so much about proportions, but the form of the head could really use some improving. It looks like you based the head of a MS-Paint circle, which is NOT a good thing. Some lines also look like you used a tool to make them. You should certanly try to make your shapes less jagged.
The shading is inconsistent too. Your sprite seems to have ~4 different light sources. Try too give it ONE (drawing some light source may help) and shade it like that. Some parts (e. g. the ear) are not shaded at all.
Well, that's it for now. I hope that you don't get discouraged by that wall of text.
What I noticed first: You are using WAY TOO MANY colors. I counted something like 36. This is just too much. You could easily cut it down to ~ 10-13 colors. Maybe 4 for his suit, 3-4 for his skin and 3-4 for his hair, and maybe 2 for the cigar/smoke. Just try to remove all colors which are nearly the same (i saw something like 5 similiar browns) and give your colors A LOT more contrast.
The next problem would be the colors themselves. Some of them are just... horrible. You should not only change the brightness of a color when making a palette, but also the hue. Try to make the yellow more and more orange-ish while darkening it. This makes the colors less boring. The same goes for the skin. You could make it (slightly) more yellow in the brighter shades, and use more orange in the darker ones. Also try to avoid using pure black in your sprites. Here is a palette of mine as some example / inspiration for you: http://i40.tinypic.com/wtx5xz.png
Ok, now about the lineart... well, it is some chibi style, so I can't complain so much about proportions, but the form of the head could really use some improving. It looks like you based the head of a MS-Paint circle, which is NOT a good thing. Some lines also look like you used a tool to make them. You should certanly try to make your shapes less jagged.
The shading is inconsistent too. Your sprite seems to have ~4 different light sources. Try too give it ONE (drawing some light source may help) and shade it like that. Some parts (e. g. the ear) are not shaded at all.
Well, that's it for now. I hope that you don't get discouraged by that wall of text.