The city was named for George W. Hollis, a local businessman and member of the townsite committee that laid out the town in 1898, while the site was still in old Greer County, Texas.

The original business district comprised a general store opened by George Hollis and a blacksmith shop owned by James (Jim) Maylen Prock.

[5] Hollis experiences a humid subtropical climate (Köppen Cfa) with cool, dry winters and hot wetter summers.

As of the census[3][failed verification] of 2000, there were 2,264 people, 845 households, and 561 families residing in the city.

30.4% of all households were made up of individuals, and 18.8% had someone living alone who was 65 years of age or older.

It features the Hollis Municipal Airport located north of the town on Highway 30 and the Hollis Livestock Commission, which is a major source of economy for the town.