Can I create an e-mail template with buttons and images other than the logo?

I'd like to change the look of the system sent e-mails to match the website and have buttons or tabs instead of text links. While I can use another application for newsletters and marketing e-mails I can't use them for the Welcome and Order Status and Confirmation e-mails.

Is it possible to create an e-mail template with buttons and images other than the logo, even if it means paying a service to create them?

I'm using v. 1.3.9h

All of the HTML-formatted e-mail templates are in the email folder.
There is a reason for the lack of images, buttons, etc. Many individuals and e-mail programs block such things. If you add them, make sure the receiver can see and do all they need.

Thank you for your answer.

Times are moving to the point where quite a few e-mail clients do accept images and buttons and I'd like the option to be able to distinguish my site on HTML emails.

So if I have a template created I place the code in the appropriate file in the email folder, have I got that right?