BTW, though, I started out with a self-designed logo: http://forum.emusictheory.com/templates/emusictheory/images/...
Here is the new one: http://www.emusictheory.com/images/layout/logo.jpg
For you to choose what route to take -- well, can you say more about the kind of site you're building? If you're selling to (enterprise?) customers who'll really need to know that you'll be offering professional support, long-term presence, etc. then the craigslist approach won't work for you (and you need more spit & polish right from the start). If it's something like wrttn (reviewed earlier today on HN) then you'd be wasting your money; just go with clean & minimal for the site, and use a nice clear font for a lettered "logo".