The money will be deposited into your Paypal account.
You can then move it to your bank account or spend it anywhere that takes Paypal.
I have used PP to participate in a group gift for a family wedding, buy theatre tickets, donate to charity, buy pink hair dye on eBay, and buy ebooks from an online publisher, as well as buying stuff here and starting up my pension fund.
If you want to buy on eBay, it is useful to back your Paypal account not only with a bank account but also a credit card.
Purchases made from the card (PP hides all your financial information from the seller) have three layers of Buyer Protection.
The venue (eBay for example), Paypal itself (for 180 days from payment) and the card's chargeback policy.
It also means your payment goes through instantly without needing to clear the banking system.
As a new seller, your customer's payment will be Held against your performance.
So use a tracked service to ship, and record the tracking number with PP and with eBay.
It speeds up ending the Hold.
Ask more questions.
Shipping is hard.
