-How much home brewing do you do in an average year?
I make exactly 20 ten gallon batches - another drop and I would be breaking the law

-What is your current cost to make a batch, and how much does that make?
I make 10 gallon batches, and the style of beer greatly effects my cost. I will be brewing a 10 gallon English Mild next week, and the ingredients for this was $20. And also about $5 - $8 worth of propane, cost for 50-75 gallons of water to chill the wort, a buck or two for the PBW to clean and the Iodophor to sanitize. And let's not forget the $1,000+ for the 3 half barrel system and grain mill...
When I make a ten gallon batch of my Russian Imperial Stout, it costs close to $100. A typical 10 gallon batch of a hoppy American Pale Ale is closer to $40 - $50.
-If properly licensed, how would you go about distributing your beer?
As Gail points out, I would have to follow the draconian 3 tier distribution laws here in Michigan. I once contemplated brewing for a local resturant, but in the end I was discouraged by the fact that I would have to use a distributor, even if I lugged the kegs to the resturant myself.
-If you could, would you be willing to take your hobby to the next level and try to start a business?
Yes.
-If yes, what is holding you back?
Can't afford the pay cut today.
My "dream" is to retire succesfully from my current career and then move somewhere near the coast and open up a homebrew supply shop with an attached mini-brewery - say a 3 barrel system. Then, make boutique 750ml bottle of beers and sell them locally. This would allow me to be immersed into my hobby and passion, while paying for it and making a little coin as well. Not the grandest of dreams, but it is where my mind takes me when I think of the future...