It is owned by Gary Peterson, the founder of Automatic Fire Sprinklers for which it is named, and is based in Huntington Beach, California.
In 2004, Peterson only drove part-time but the team ran a second car for Arie Luyendyk Jr. for the final five races of the season after he left Sam Schmidt Motorsports.
In 2007 the team formed a partnership with Andretti Green Racing and fielded cars full-time for Jaime Camara and Wade Cunningham.
In 2008 the team fielded full-time entries for reigning Atlantic Championship champion Raphael Matos and Arie Luyendyk Jr. Matos won three races on his way to the series championship while Luyendyk finished fourth in points and captured his first series win in the season finale at Chicagoland Speedway.
The team first entered the IndyCar Series in 2009 by fielding a car in conjunction with Andretti Green Racing at Infineon Raceway for Franck Montagny.
AFS Racing fielded a car in conjunction with Andretti Autosport at the 2012 Indianapolis 500 which was driven by Sebastián Saavedra.