Yes, that is correct from stract, It only takes a few minutes.
There is also a setting to change "sessioncookie" so that cookies for the two Moodles on the same server, do not clash and overwrite each other.
> Do i need to create a new database and basically install as if from scratch?
Also, if you are one of those servers that has a flat charge per database you use then I think that you could change
$CFG->prefix = 'moodle_';
in the config.php of the second moodle installation to
$CFG->prefix = 'moodle2_';
so that the two installations share the same database. I would not recommend it though.