I'm trying to familiarize myself with the definition of tensors, so I was wondering if I understood the definition in terms of the universal property.
Consider a bilinear $B : V \times W \rightarrow U$. That is, $B(\sum \alpha_i v_i, \sum \beta_j w_j) = \sum_{i,j} \alpha_i \beta_j B(v_i,w_j) \in U$.
Then I can quotient out the desired equivalence relation to get $T : V \times W \rightarrow V \otimes W$, which is of the form $T(\sum \alpha_i v_i, \sum \beta_j w_j) = \sum_{i,j} \alpha_i \beta_j (v_i \otimes w_j)$. Then the unique linear map $\ell$ is of the form:
$$\sum \alpha_i \beta_j (v_i \otimes w_j) \mapsto \sum_{k=1}^{ij} \gamma_k \ell((v \otimes w)_k)$$
where $k$ ranges over every ordered pair $(i,j)$, and is $\gamma_k = \alpha_i\beta_j$, and similarly for each basis of $V \otimes W$.
Is this correct? Or am I way off?
I think you have the right idea, but you're overcomplicating it a bit.
By the universal property of $V\otimes W$, there is a unique linear map $\ell : V\otimes W \to U$ such that $B = \ell\circ T$. For $(v, w) \in V\times W$ we have $T(v, w) = v\otimes w$, so
$$\ell(v\otimes w) = \ell(T(v, w)) = (\ell\circ T)(v, w) = B(v, w).$$
Note that a generic element of $V\otimes W$ is not of the form $v\otimes w$, but it is a sum of such elements. For $\sum_{i=1}^nv_i\otimes w_i \in V\otimes W$, we have $$\ell\left(\sum_{i=1}^nv_i\otimes w_i\right) = \sum_{i=1}^nB(v_i, w_i)$$
as $\ell$ is linear.