Sugar-N-Spice was founded by Mr. George N. Harakas, a resident of Spartanburg and immigrant from Greece. Mr. Harakas also owned a restaurant in downtown Spartanburg known as the Elite Diner. On a business trip to Ohio in 1956, Mr. Harakas visited a coffee shop named Sugar-N-Spice. Upon his return he registered that business name with the state of South Carolina.
Five years later on January 2, 1961 the drive-in named Sugar-N-Spice would open. A cousin of the Harakas family owned the property where the business was opened and has operated since. The current dining room was added during a renovation in 1976. In the early years customers would order food from their cars and enjoyed hanging out under the canopie that still exists on the lot today. It is loved by local car clubs that host cruise ins at the restaurant.Curb service as it was called was eliminated in the early 1980's.
The original management team was formed by Mr. Harakas. That team included his son Nick Harakas, Pete Copses and John Stathakis. Pete is a nephew of the Harakas family and had experience working in restaurants with relatives in Charlotte, NC at the South 21 Drive-In. John Stathakis had been working in restaurants with relatives in Anderson, SC 8 years prior to this.
In 1968, George and Nick Harakas left the business to open the Elite Drive-In which was just a short distance down the road on South Pine Street.