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personally i always stick to my bank but paypal if needs be. although i am very low scale. a bloke on here recently had alot of trouble with paypal, think they are currently holding £35k of his money may be worth reading into his thread
if you use Paypal you need to plan in for a costs of fraud. They will chargeback you without a fight and people know this and abuse it.
We use sagepay, its cheaper and has better security, more information so I can decide whether transactions are safe to proceed with dispatch.
Business banking accounts can be got for free so theres no reason to use expensive services like paypal.