The company was founded in Milwaukee, Wisconsin, in 1943 by Robert Paxton McCulloch as a manufacturer of small two-stroke gasoline engines and introduced its first chainsaw in 1948, the Model 5-49.

McCulloch also started Paxton Automotive, manufacturing McCulloch-labeled superchargers like the one fitted to the Kaiser Manhattan, the 1957 Studebaker Golden Hawk, and Ford Thunderbird.

[7] Black and Decker bought McCulloch on 4 October 1974, and sold the company to a private group in November 1984.

[8] In January 1999, the company filed for Chapter 11 bankruptcy and sold its European division to Husqvarna AB.

[10] In March 2008, Husqvarna acquired the outdoor products division of Jenn Feng, gaining access to the McCulloch brand in the North American market.