Although I haven't tried that yet with my PowerBook, they are designed to run in lid-closed mode, so it should be fine. Otherwise, you could take it back to Apple if something did go wrong. I'm assuming you have a last generation TiBook or AlBook.
no i don't use a stand. I just place it on my desktop then open up the lid a bit after it has booted up with the external display. The powerbook end ups loooking like this: < lol