An ottoman that doubles as a coffee table would provide extra seating. The dining table behind the sofa could seat two or four, making this an ideal arrangment for a small family.
Choose your larger pieces first, such as your sofa. Stick to neutrals with your larger furnishings. Then add interest and texture by mixing in smaller pieces in different styles and colors. This will keep your space interesting.
In small spaces, it is very important that you choose furnishings with a lighter feel and keep colors and patterns simple. In smaller spaces, color usually looks better in smaller amounts, like in throw pillows or accessories such as vases or lamps.
If you go with a center coffee table instead of an ottoman for this arrangement, look for something transparent in acrylic or glass. And steer clear of ornate furnishings - look for a table with simple or delicate lines. The table will seem to "disappear," giving your room the illusion of more space.