Here is the link to the spacer from Steeda. I know other people sell them, but this is the first one I came up with.
Steeda Hardcore Driveshaft Spacer 11/16" - Ford Mustang
You do need to run a spacer. You can get away without it for a short period of time, but the driveshaft will not be all the way up on the output shaft, and it can create a problem if you keep running it without one.
I have done this swap several times, and I have written up all the stuff you need on a couple of other threads. Feel free to ask any questions. I got you covered.
Here are just a few things.
1. You need a 3550 specific bellhousing.
2. You need a clutch fork from a foxbody (93 and older)
3. 3550 specific shifter, unless you are just going to run the one that comes with it.
4. You may need to modify your crossmember. Sometimes you can just flip it around
5. You will need to make custom exhaust hangers.
6. The top bellhousing bolts will be too long. You will need a stack of 7/16" washers, or shorter bolts. They are 7/16" x 14 bolts
7. About 3 quarts of Synchromesh for the transmission. Amsoil sells it for about $10, which is about half the cost of the GM dealer3
8. The speedo gears will be different. So your speedo will be off unless you get the right gear.
Kurt