1. Preheat the oven to 350°F (175°C). Grease and flour cake pans.
2. In a large bowl, cream together the butter and sugar until light and fluffy.
3. Beat in eggs one at a time, then stir in vanilla extract.
4. Combine flour and baking powder; add to the creamed mixture alternately with milk.
5. Add food coloring as preferred, mixing until color is uniform.
6. Pour batter into prepared cake pans and smooth the tops.
7. Bake for 30 to 40 minutes, checking doneness with a toothpick.
8. Allow cakes to cool completely on wire racks.
9. Apply a thin crumb coat of icing over the cooled cake layers; chill briefly to set.
10. Carefully place edible frosting sheets and apply other custom decorations as desired.
11. Chill cake further if needed to set frosting and decorations.
12. Finish with cake toppers and candles before serving.