Owner and painter Eric Robison opened Backspace, which was located at 115 Northwest 5th Avenue in Portland's Old Town Chinatown neighborhood, as a coffee shop in July 2003.

[4] According to Willamette Week's Matthew Singer, Backspace "[evolved] into the epicenter of Portland's underage music culture" because of a one-off Thermals performance in 2007.

The business almost closed in 2008, but was able to continue operating after the Oregon Liquor Control Commission permitted Backspace to serve beer and wine while hosting all-ages events and performances.

[2] In 2012, Robison began raising funds to help eliminate $10,000 in "delinquent late fees for past-due rent and licensing" from the American Society of Composers, Authors and Publishers (ASCAP) and Broadcast Music, Inc.

[2] In October, Robison said Backspace would stop hosting live performances after its Halloween celebration and would remain open temporarily as a coffee shop.

"[2] Robison hoped to host one final concert in Backspace's original location on New Year's Eve, 2013, featuring a "big-name local act, pending landlord approval".