In a small bowl, dissolve yeast in water. Let stand 10 minutes. On days 2 through 4; stir starter with a spoon. Day 5; stir in 1 cup flour, 1 cup sugar and 1 cup milk. Day 10; stir in 1 cup flour, 1 cup sugar and 1 cup milk. Remove 1 cup to make your first bread, give 2 cups to friends along with this recipe, and your favorite Amish Bread recipe.
For 1 starter: Add ½ cup flour, ½ cup sugar, ½ milk (Tip: Starter will form lumps – add flour and sugar only and stir until smooth then add milk gradually (it will take a lot of stirring.). Label four (or one), one-gallon Ziploc bags with “Day 1” and the date. Fill each of these bags with one cup of the mixture.
On day 27, add 1 cup milk, 1 cup flour, and 1 cup sugar and stir. It's now ready to use to make the bread. Give away two cups of the starter to two friends, use one to make the bread, and keep one to keep the starter going.
In a 2 quart container glass, plastic or ceramic container, combine 1 cup flour and 1 cup sugar. Mix thoroughly or flour will lump when milk is added. Slowly stir in 1 cup milk and dissolved yeast mixture. Cover loosely and let stand until bubbly. Consider this day 1 of the 10 day cycle. Leave loosely covered at room temperature.