Use a heatgun to remove the stock decals. Painting would be optional, but I would go after a vinyl wrap.
http://www.snowmobileforum.com/body-...der-sleds.html
Another guy on here plasti-coated his sled, which turned out really nice.
http://www.snowmobileforum.com/polar...ng-my-xlt.html
Being a cost-conscious sledder, consider painting the most expensive option. Unless you have some skill or experience, it can be difficult to make it look good.