Advice for a complete novice

A slight tangent here, but do you know if that Townsend is still available? And is it anywhere near Manchester? I have a friend who's 5'1" and struggling to find a good cheap retro road bike in her size...
 
I'm assuming it sold on ebay. I've picked up another Townsend exactly the same that I might be selling, but it's 22.5" roughly so might be too big?
 
Next bit of advice needed!

I've had a quote for completing a repair of the tube rather than replace it, so I'll probably be going down that route with my next paycheck. I'm also comfortable with what I'm looking for in terms of a groupset now as well. But my question surrounds the fork and handlebars. What's the difference between a quill stem and threadless stem? How does a stem and fork fit onto the frame? And what parts will I need to source to fit everything on?
 
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