I would get rid of the '4U & cakes too!'. When you say the whole thing...it seems a little long.
What about trying "Kim's Cake & Cookie Creations"? I know that sounds kind of plain, but it's a little less 'tongue-tying', in my opinion.
I take your opinion serious since you do this everyday...
Question - if my legal name in Canada is "Kim's Cookie Creations 4 U" since the government wouldn't let me just have Cookie Creations... ugh..and my domain name is Cookiecreations4U...
Do you think it would be stupid to just have Kim's Cookie Creations or as you mentioned Kim's Cake and Cookie Creations.. since this isn't my legal name?
The only reason you have to register your name up here is so you can open up a business account at the bank and get a tax number..
I can legally use either of those names, just any cheques i receive would have to be made out to my registered name.
Does any of that make sense - I'm getting so confused.. 
Thanks for your help! 
It looks really nice, although I agree w/those who suggested straightening out the cake. The entire logo will still look fun and trendy. Tilting can work sometimes, but the cake is so large, that in this case it seems a bit overdone.
I also like how you incorporated 'and cakes too' but now it's a little much to read. I would drop '4U' - too much playfulness. (besides, the customer already knows it's for them anyhow). Then, maybe she can turn the 'and cakes too' into a tag line - meaning it should be different from the rest of the text like the swoosh is (or just leave it off for now).
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