if you have the equipment to roll the edge of the plate so that it meets up with the pinch weld . that would be your best bet as the pinch weld is the strongest part if the hole thing .
if not I would go with option 2 and weld it right is the beginning of the roll and maybe lay two beads of weld next to each other .
the down side to that is heat build up from the welds .
sorry I forgot to turn the option 2 drawing side ways before I posted it .