This study was conducted to evaluate the effect of substitution of the flour with coffee silver skin (at the levels of 0%, 3%, 5%, and 7%) on the characteristics of yellow layer cake. The specific gravity of batter increased significantly as the content of silver skin increased. The specific volume of cake decreased significantly as the content of silver skin increased. The volume index decreased significantly as the silver skin content increased, while the symmetry index and uniformity index were not influenced. It was found that control had the highest cake indexes. Texture analysis showed that control had the lowest hardness and highest springiness. Hardness value of cakes was increased by adding silver skin; however, the springiness value of cakes with silver skin decreased during storage. According to sensory evaluation, experiment groups scored the higher points in texture acceptance than control. Above all, SS5 scored the highest points in aroma, taste and SS3 scored the highest points in appearance and overall acceptance.