How does it feel in your hands? The pics of the camera make it seem pretty compact.
I hope you don't mind some advice.
The flash unit on that camera actually seems pretty decent but you can see the disadvantages of direct flash in the "red eye" of the dog. It also creates unwanted shadows. Honestly, almost all cameras produce the same results indoors with direct flash. Lighting is just about the most important issue to get consistently good results.
I actually was just showing this to Rev. Winzer the other day. The two shots below were taken with the same camera of Rev. Winzer. The camera body alone retails for about $1500. I've got more than that value in lenses. But, as you'll see, lenses are meaningless with quality results.
This is the first shot with direct flash (that is, the flash is shot directly at the subject):
http://L..smugmug.com/photos/170372663-M.jpg
This shot was taken by aiming my external hotshoe flash at the ceiling. The ceiling now becomes a huge diffuse light source. Notice how all the harsh shadows are removed. Notice how Rev. Winzer no longer looks sinister. I even used something to throw a little light forward with the shot:
http://L..smugmug.com/photos/168135811-M.jpg
Thus, don't worry about spending a lot of money on a camera but do make sure you get a camera that has a hotshoe adapter so you can throw some light up at the ceiling. If you're going to use the camera primarily outdoors then it's no big deal.