His mother was the daughter of a wealthy merchant, J. Ascough from Bedale, Yorkshire, and his grandfather was also named Charles Nicholson, of Cockermouth, Cumberland.

[1] On 9 October 1833, Nicholson sailed for Sydney as ship's surgeon on the James Harris at the behest of his uncle, William Ascough.

Ascough had made a considerable fortune as a ship's captain and owner bringing convicts to the Colony, where he had also become an extensive landowner.

[6] In 1841, Nicholson blazed a cart route and shifted half a ton of tobacco from Broulee to the Monaro, in fourteen days.

At the inauguration ceremony held on 11 October 1852, eloquent addresses were given by Nicholson and the first principal, Dr John Woolley, which were printed as a pamphlet and may also be found in H. E. Barff's Short Historical Account of the University of Sydney.

At the special request of the governor, Sir George Bowen, Nicholson undertook the office of president of the council for the first session of parliament.

In 1890, he was appointed to represent the interests of the Central Queensland separation league in London, and in connexion with this headed a deputation to Lord Knutsford.

His eldest son, Charles Archibald Nicholson, the second baronet, became well known as an ecclesiastical architect (his achievements include the west front of St Anne's Cathedral, Belfast[12]).