Capitalizing on Augie's Closing, Jreck Subs Hopes to Attract some of the Same Business

Augie’s, once the spot for cheap ($1, and towards its demise, $1.25) pizza on Syracuse University’s campus, closed last year, leaving drunk students wandering home from the bars on campus wondering where to eat (fear not, noble reader, their appetites were satiated, for Marshall street has a lot of other restaurants open late).

“Their one dollar slices were my fuel to get me back to Euclid from the bars,” Meghan Cressy Nelson, a senior policy studies major said. A year later, many students are left without what was once a staple of Syracuse University.

In tough economic times, small businesses have a hard time allocating funds and starting, or in Augie’s case, maintaining, successful businesses. Large corporations who seem to be able to weather these economic storms, seemingly unaffected by tough economic situations, capitalize on closings of small businesses owned locally. In its 2009 report to the president, the U.S. Small Business Administration (SBA) reported that average unincorporated self-employment fell from 10.4 million to 10.1 million over a year, and averaged around 9.6.million by November of 2008. Incorporated self-employment remained steady around 5.8 million, on average.

Jreck Subs, with its new location on Marshall Street sandwiched between Jimmy John’s Sandwiches and a new start-up, Sliders, is hoping to capitalize on the prime real-estate that once belonged to the beloved Augie’s, an oasis of sorts for the fiscally concerned drunk college student for its tenure on campus.

In its third week, Jreck has seen successes. They considered their opening 6:00 PM on September 21st, in time for the opening football game against Maine, a solid opening.

“We were a little late to catch the movement crowd, but we had a good after game response, and Sunday was much better than anticipated; our weekday traffic has been continuous,” Chief Operating Officer Gary Baker said.

Jreck is offering late night hours on weekends to attract the same crowd that Augie’s once considered its bread and butter. “The late night crowd is more than we thought,” Baker said. Tricia Swartz, Jreck’s Director of Finance, was well aware of the crowd that Augie’s attracted and hopes that the sub shop can act as a surrogate for the drunken masses.

“We are hoping to make Jreck Subs a staple here at SU,” she said.

With prices averaging between $3.99 and $4.99, the seemingly impossible affordability (read: beloved fiscal irresponsiblity) of Augie’s is gone. The location is the same, the convenience is there, but what’s missing is that junky food that you were usually too drunk to notice was sub-par. Instead, it’s replaced by slightly more expensive, quality food. There is something more clinical about the place that once housed dollar slices and free scowls, but, again, you’ll be too drunk to notice.

Funk n' Waffles, Unconventional Waffle House, Uses Unconventional Means to Survive

Tucked behind Marshall Street in a narrow alleyway, Funk N' Waffles, the university area's sole waffle and music shop, is a thriving business started by former Syracuse University student Adam Gold, originally of Wycoff, New Jersey. After winning third place in an on-campus business start-up competition, Gold took an idea that started as a series of parties (featuring funk music, and you guessed it, waffles) one step above and started a business that has been successful since its inception, due largely in part to his ability to make it work. He works 40 hours a week, along with his business partner, and still finds time to play full time in his band, Sophistafunk, who play three to four nights a week.

Syracuse University senior Ben Addonizio says of the business, "It's great if you're into exotic waffles with salmon on them, or funk music. It's definitely a unique place, and has a cult following of sorts. It's definitely interesting that they sell music, because we don't have a music store on campus, but then again, they sell vinyls, so it has something else about it."

Gold admits that while a lot of his customers, some 65-75% he estimated, are return customers, the business really dies in the summertime. They offer live music all year round, but when the students go away, much of his business evaporates.

"We lose money in the summertime, for sure," he said. He blames the location for that, but admits that the business is not at the point where it could move yet. "We have to prove that this business model works. We have to prove that we, my business partner and I, don't have to be here 40 hours a week, before we can trust other managers to run the place while we go and open another. Sure I would love to be able to open a new place, but we're not there yet."

Funk N' Waffles does not advertise. They attract customers through word of mouth. Quality goods and quality service keep them coming back. "Everybody can say that they have the best coffee in town," Gold admits, "but to have a group of people tell you to come here when you ask them where to get the best coffee in town, that's what works best."

The success of the business is, of course, not without its own compromises. "This weekend, I had a show to play in New York, and so I had to leave at twelve. I left my four employees here to deal with the mess of Parent's Weekend. I'm surprised none of them quit." Gold said that his employees are what help this business work. While originally he hired students, they were seasonal part-time workers, so they would work about 10 hours per week. He now employs about five full-time employees.

This time last year, the business was losing money, initially blamed on the economy. He has found now that simply measuring everything has started to cut their margins. "Last year seemed hard, so we made changes like weighing everything just to make sure our portions are correct, like we no longer just grab a handful of walnuts. That's the biggest change, and it's been working. It's a standard practice, but we're new to it. We knew it was standard practice, but we didn't realize it was so successful until we realized we'd cut our margins by something like 8%."

"I make much more money playing music now," he admits, "like so much more than this business. I can make in one night what I make in a week making waffles." He attributes this to his booking agent, the number of shows that they are playing, and that the band has become more focused and determined following a year of playing festivals with large acts last year. The band's funds and the business' funds are kept separate, but he admits that the business does come first and it needs to thrive.

How does he keep up with all of this, you may be asking. With three shows in three different cities this weekend, an album coming out, and the standard flow of business over the next few months, all Gold has to say as he throws his hands behind his head, "I'm busy as hell."