I have been a licensed home baker for a little over a year now. I have been able to get a lot of really positive word-of-mouth recommendations, and a couple of solid repeat customers this way. I guess I wasn't sure enough of my talent to go totally "all out" the first year....just wanted to see how things went. After getting some really good experience, my gut tells me that if I would invest more in my dream, I could really, really be successful.
That said, how did you all come up with original logos?
Other than word-of-mouth, what has been your best advertising?
How do you find a way to work in your cakes in a "non business" sitaution? Like your kid's preschool or something. Did you just find excuses to take in cake? how then did you let it be known that this was your business too? Maybe I am dumb for asking. 
Forgive me guys! I just keep thinking....you know, all those kids have birthdays.....they might as well be paying me for cakes! 
Well, you might have an edge (being a business)with the preschool as no homemade food is acceptable (or at least wasn't when my youngest was in school).
That's what I was thinking also. Maybe you could donate a cake for a school function where parents would attend? That would be a way to get the word out.
i dontate 2 cakes a year to my kids school for fundraising they raffle them i also sell my cakes on a website here like your ebay called trademe has been my best advertisement and i get heaps of business this way and then of course they spread the word too.
Good luck with your new venture...
that's actually what i just did. i'm trying to work on an officially unofficial from home cake design/baking business, so i'm jumping at every strategic chance to give free stuff that i can find. not just anyone, but using places where i know i can get return customers....ymca staff, firestations, police stations, bridal showers, and most recently, i decorated 11 small cakes with an easter theme and passed them out to our neighbors. i do something every year for the houses around us with kids, but this year i made it a point to do ALL the houses around us, very casually. when they exclaimed over it, i just casually put in that i'm trying to get this business going, but most of them knew it anyway.
i don't recommend having your cards out and displayed, quite honestly, if you're going under the guise of "just doing it out of appreciation". i have gotten two paying clients in the last couple of months just from taking 2 free cakes to the staff at my daughters school during their "staff appreciation week". they loved them, was mucho impressed, and automatically asked for tons of my cards, which i "just happened" to have in my purse...works like a charm!!!
I do that too i have cards in my purse just in case i get asked... the other thing i do is when i courier a cake i have a sticker version on my card on the outside of the carton (on the top which is cellophane see thru so they can see in the box) helps to ensure safe arrival also. the other thing i do too is use these stickers and stick one to the bottom of my cake board. When ever i email anyone i include my website addy too as when forwarding emails it too gets the word out there.
Our preschool has a graduation every year for the kids going on to Kindergarten. I donate the cake to get my name out there more.
Volunteer to do a cake decorating demo at the local high school's home ec class (or whatever they call that class these days!). All of the kids in that class have birthdays, an upcoming prom party, upcoming graduation, upcoming weddings, etc., etc., etc.
Thanks everybody!! Tons of great ideas you have given me, and I wrote them down and will definitely be putting them to good use!! 
Does anyone put cards in local businesses (i.e. children's clothing stores, bridal shops, etc.?)
Has anyone approached restaurants or coffee houses? We have several independent places that might be a possibility. Would I just take in samples and a card? Would I need to figure out some kind of bulk pricing if they are buyong from me and reselling? I was thinking decorated cookies and maybe fancy-flavored layer cakes. Maybe even cake balls!
see this link re: bulk pricing...
http://www.cakecentral.com/cake-decorating-ftopict-218721-wholesale.html+pricing
I bake at home and cannot "sell" I am in MN.
But last fall I did a presentation in my son's preschool for Halloween. I came in with 3 little cakes(pumpkins). I completely done, and 2 in the process. I iced and put on deco's on 2 little pumpkins with the kids help, I had each one of them tell me what to add.
I then had (storebought) cupcakes and icing I had placed in plastic cone closed with elastics.
The kids thought it was so much fun to decorate their own cake. I had little drinking cups that the cc fit in and then plastic wrap on top. They took them home some even took their left over icing!
It was really fun.
Maybe something like that, where the kids and parents are involved, and there are always birthday parties for the little guys and I am sure one of your cakes would be better than a storebought since you are licensed and then the parents might ask for your card.
Good Luck.
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