is there a way to categorize your items into seperate sections?

If you mean that you want to separate your product on your store page yes. Like to make a tab for shirts then one for widgets etc. Go to your admin page and click on the products tab at the top.

Once there you will see 2 tabs, click on the one that says manage collections.

On the top left is a tab that says add collection, click on it and from there you will be able to create categories. Name it anything you want to be and you're set.

thanks !