Passing The Bread

Subway's co-founder helps you with your start-up dough
Magazine Contributor
2 min read

This story appears in the September 2000 issue of Entrepreneur. Subscribe »

Sometimes all it takes is a little cash and someone to believe in you for a to blossom. No one knows that better than Fred DeLuca, who started the Subway chain of sandwich shops in 1965 with just $1,000.

Today, the co-founder of the $3 billion business wants to nourish the ideas of budding entrepreneurs who may be as cash-strapped as he once was. His nonprofit Micro Investment Lending Enterprise (MILE) grants of $700 to $1,500 to people at or below the poverty level who want to start businesses.

Here's how it works: People join and form "borrowing circles," which meet once a week to brainstorm about each member's business plan. Experts advise and guide the group, and the entire circle must approve the business plan before a member can apply for a loan.

Loans are granted by chapter leaders based on character and the business plan's soundness. There are no checks or collateral requirements, but the loans, given at 10 percent interest, must be paid back within a year. At that time, entrepreneurs may reapply for another loan twice the size of the orignal loan amount.

If interested, call (800) 888-4848, ext. 1636 or visit www.mileloans.org.



Pamela Rohland often writes about the joys and tribulations of for a variety of regional and national business publications.

loading...

More from Entrepreneur

Get heaping discounts to books you love delivered straight to your inbox. We’ll feature a different book each week and share exclusive deals you won’t find anywhere else.
Amplify your business knowledge and reach your full entrepreneurial potential with Entrepreneur Insider’s exclusive benefits. For just $5 per month, get access to premium content, webinars, an ad-free experience, and more! Plus, enjoy a FREE 1-year Entrepreneur magazine subscription.
Are you paying too much for business insurance? Do you have critical gaps in your coverage? Trust Entrepreneur to help you find out.

Latest on Entrepreneur