sharing of resource

Hi

My neighbor and I both have wireless networks set up and can see each
other's networks. But neither of us can connect to the other's network. We
see each other in the view available wireless networks menu - and can show
up as unsecured wireless networks - (sometimes we use wep - but not at the
moment as we cannot even connect to each other).

How can i (or he) make the connection and how can we then use this
connection to transfer files, chat etc. I would like to get this to work so
that we could share my broadband internet connection eventually.

Thanks

Doug