No need to run the reefing lines inside the boom, as long as you keep it fairly taut and use two or three fairleads along the boom to help prevent the line from sagging, as Sasha_V has suggested.
You don't really need two reefs on a 18' boat, but it really depends on how many reefs your mainsail has. If the mainsail only has one...you certainly don't need two reefing line sets.
BTW, I would highly, recommend you use a tack hook and reefing line, or a two-line reefing line setup, rather than a single line to do both the tack cringle and the clew cringles. The reason is that the tack hook or two-line reefing setups allow you to control the sail shape a lot better than a single-line reefing system does IMHO.
The pieces that Giu is talking about are exit slots
... and allow you to put a line into (or out of) the spar without damaging the line.
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You know what the first rule of sailing is? ...Love. You can learn all the math in the 'verse, but you take
a boat to the sea you don't love, she'll shake you off just as sure as the turning of the worlds. Love keeps
her going when she oughta fall down, tells you she's hurting 'fore she keens. Makes her a home.
—Cpt. Mal Reynolds, Serenity (edited)
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