Congrats on your registration. T-shirts and stickers would be a great idea. Also, I've always loved the way Jonah has accepted donations to get your name on his bike.
In terms of Paypal, it is such an easy way for people to contribute, that it would probably be worth your while to accept the fees as a cost of doing business and hope for an increased number of transactions to offset the transaction fees.
:: Furious Basterds: Velox, Vehemens, Oblivio
:: "For those who don't understand, no explanation is possible. For those who do, none is necessary."