When we built the workshop and I inherited many of my Dad's tools, we had a lot of sorting out to do. We ended up with one wall of Dexion, on the bottom of which we have heavy duty crates (for bits of lathe and other heavy stuff), with plywood boxes on the upper levels. Simple labels on the end: 'Hand drills, braces, augers', 'abrasives', 'files and rasps', etc. Three boxes fit across a shelf, two layers high, stackable. A quick glance locates the tool types, and you soon remember where the box is. Exceptions: My leatherwork tools are in the house, and live in a red garage-stylee roll cab with a cupboard in the base for bottles and boxes. The drawers are too shallow and deceptively small, but might be all right for garage tools. The electronics and soldering stuff is all kept in the house, with the option for decamping out to the workshop if necessary. There's a specific toolbox for bike tools so they're all together. We appear to have multiples of most things, as Nick and I each had fairly comprehensive tool sets of our own before joining it all together. Dad's stuff was in addition to ours.
In the workshop we also have Bisley multi drawers full of Xcelite, punches, lathe tooling, micrometers and other small stuff - one A4 footprint to stand on, but 5, or even 15 drawers of 'stuff'. Some power tools stay in their original case on a shelf. The wacky hex bit drivers and all the bits are in a small tackle box which can quickly be taken wherever they're needed. We have a large metal box for all the drill bits, sorted into smaller tins according to size and type. OXO tins are good for basic 'jobber' drill sizes if you have hundreds...
It took about 4 years, and in some respects is even now a work in progress, but we can make or mend a lot of stuff, and 'have a go' at more.
So, cabinets? they're probably fantastic if you're kitting out a business from the get-go with all matching stuff that fits the drawers. If you've got lots of 'stuff' and none of it matches, or you have repeats, I found it better to
1) Make up a portable toolbox with all the stuff for one type of job (bikes, leatherwork), and use duplicates to
2) Box everything into sensible related collections so that tool types are together, and grab a load of cheap 2nd hand Dexion to put the boxes on, and
3) Make a small tool carousel or holder for 'ready-use' on the workbench (Adam Savage's idea of 1st order retrieval is valid, I think). Populate that with snipe-nose pliers, 6 or 8-inch combination pliers, sidecutters, spudgers, or other small tools you know you always need immediately to hand. Likewise a small wall hanging set of basic spanners and one of screwdrivers. Hang your hammers on the end of the workbench near the vise. YMMV depending on what you normally focus on in the workshop.