A 500w motor has the capability to produce more power, but it gets its power from the controller. Without changing the controller, you'd get exactly the same power.
Have a look at the controller to see what's written on it. I believe that early ones were 15 amps and later ones are 20 amps. Your battery is probably on its limit at 20 amps, but the 350w motor is happy with 22 amps, so your motor is not running at its full potential.
If you have the early 15 amp controller, you can upgrade to 20A, which will give 33% more torque. Your forks should be OK at 20A. Even if they did break, you can get cheap steel replacements.
One more option is to chuck the battery and use 12S Multistar lipos, which will give at least 20% more power. Lipos are a bit more complicated than normal batteries, so only do that if you want to embrace the technicalities of using them.