It sounds as though the games you are trying to play do not support the VGA box (it states on the rear of the games box if VGA is supported or not).
However there is a way to get around it (as you have discovered).
Turn the DC on with the VGA switch turned off (there will not be a picture on your monitor).
Once the 'Produced by or under liscence by Sega' screen appears (you will have to guess when this happens, but usually after 15-20 seconds) switch the VGA switch on.
You should see the picture on your monitor in all it's VGA glory.
There are a minority of games that cannot work with the VGA box even if you carry out the above procedure.
If you are booting a game via the utopia bootdisc, do not switch on the VGA switch until you have swapped discs.
aaaggrr damn my dreamcast cant out put the vga singal 2 the tv any more
Do you mean TV or monitor? Obviously you cannot output a VGA signal to a TV. Have you made an internal adaptor, or an external plug-in one?