Cut out 3 pieces of 5 inch x 5 inch parchment paper. These will serve as your base for decorating.
Once the cake is cooled completely, use a 3.5 inch cookie cutter, make 6 round cutouts in the cake (see Note 7)
Carefully remove the cut out cakes. Swap and pick out which 2 cut outs stacked together make the most leveled cake.
Pour out 1/4 cup of soaking syrup (if using) into a dish with a brush. Take out whipped cream frosting from fridge. (See Note 8)
On a 5 inch x 5 inch parchment paper, place a quarter sized dab of whipped cream frosting in the middle. Place your first cake cutout on top to prevent your cake from moving while decorating.
Brush on soaking syrup over your cake (if using).
Using an offset spatula, spread the frosting on top. I recommend at least half an inch thick. Place the second cake cutout on top and brush on more soaking syrup (if using). Make sure the cake is level. Add more frosting in between the layers if needed.
Spread frosting evenly on top and on the sides of the cake. Use a bench scraper or your spatula to even out edges. Since the cake is so small, rotate the cake using the piece of parchment paper when smoothing out the frosting.
Add sprinkles, candies or pipe decorations. Get creative!