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Problem:

Needle was becoming un-threaded at the beginning of every letter. (Oddly, designs stitched perfectly, larger fonts stitched perfectly, only the smaller fonts would become un-threaded at the beginning of each letter).

Solution:

Go to Settings > Machine Parameter Setting > After trimming inching speed needs to be set at 5 (mine was set at 3).

Go to Settings > Machine Parameter Setting > Inching Stitch needs to be set at 5 (mine was set at 3).

Changing both of these settings solved my problem!