Well, that's what it does basically through lfsworld. He'll enter your team name in the LFS racers database.
But you'll need to decide on a teamname first ofcourse
Anyway, it's not required to be in a team. You're quite new, so what's the rush?
Our team, UKCT, joined LFS as a pre-formed team because we're basically people who work together. I still don't think we're really a proper team.. and anyone who's raced against any of us will confirm that.
It doesn't matter though.. we're a team in that we have an allegience to each other, however that came into being, and so we were ready to register on LFSW as a team on the first day we bought our licences.
@tomylee, I recommend having a rummage through the websites of the other teams.. see what they get up to, read their forums.. see what fits best the model of your own group of workmates, and begin to build your own team's presence. Best of luck!
PS: When you're ready, your team is invited to race us at UKCT. As relative newbies to LFS, you're our best and only chance at winning a race!
Anyway, on-topic: there's no real rules for having a team Tommylee. It can be just as you want it to be. If you want, you can make a website, forum etc. to have a central point for your team members to dicuss LFS or non-LFS related stuff, but if you see eachother everyday you might not even need to have something like that.
Then if you want your team to be known in the LFS World, you can post your team info here. And you can subscribe your team in the LFS World team's database here (there's a link in the top-right of that window).
But again, it can be as official or unofficial as you want it yourself... you don't need your own race server, but if you feel the need to have private training sessions or stuff like that, you could search for a gameserver host. etc. etc.
Imo, the main point should be that you have fun, no matter how you do it. Good luck