1. Yeah you get a squad (23 players) of bronze guys (ie. rated under 65). You also get all club resources (stadium, ball, etc) so you have everything needed to get started without having to spend another dime.
2. Yes. You can buy them using in-game currency, called 'coins', or you can buy with PSN credit. There is a whole trading market in the game, very similar to eBay, and it forms an integral part of the UT experience. Here you can bid on players and all variety of other resources for your club, as well as offering your players for trade for ones listed there. The other option, though prohibited by EA, is to buy them on eBay.
3. You can use almost any kit and logo in the game, but you cannot create your own (for copyright reasons). These are bought like any player, or received in packs. You can choose any team name (excluding obscenities).
4. It is a reasonably steep learning curve, but it has many videos to guide you through how to manage your club. You can't really fail at it, if you keep plugging away you'll find your feet soon enough.
13/04/2010 / Science flies you to the moon; religion flies you into buildings