This sounds very much like a duff sidestand switch. Take the wires off and earth them - if it starts, there's your problem. The fact that the switch seems to be sticky and/or loose makes this more likely.
Sidestand switches seem to be universally unreliable, whatever the bike. If you've got the habit of checking the stand is up before you set off, you don't really need one.
On my XT, the switch was gone long before I had the bike. This is fine by me - less to go wrong.
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