Don't give up! I too, started making cookies for just my kids parties and had a good friend tell me many times I should sell them. The first thing you need to do is check you local cottage laws (as a previous poster mentioned). You don't want to get into selling the cookies if it isn't allowed in your state. Another thing to consider is getting liability insurance (this is something my town license requires) it is very affordable and makes sense to have!
I started my business and facebook page in December 2012 and I am now fully booked until the beginning of September (I average 15-20 doz per week). I can honestly say the only advertising expense I have had is $65.00 for business cards. 95% of my customers are from word-of-mouth advertising. I ship all over the US and have quite a few loyal customers who order at least once a month. It has been a LOT of hard work (and sleepless nights) on my part but I love it! So give it a little longer before you hang up your hat!
Best of luck to you!
Desiree
Sugar Sugar