[1] It was founded on October 31, 1976, by Carol Seajay and Paula Wallace, a lesbian couple.

[3][4] On October 31, 1976, Old Wives Tales opened at 532 Valencia Street, funded by a loan from the San Francisco Feminist Federal Credit Union.

The bookstore was moved to a new location at 1009 Valencia Street after the breakup,[5] and Seajay restructured it to run as a worker cooperative.

[6] In early 1991, the bookstore halved its floor space as a result of financial difficulties.

[7] In August 1993, Old Wives Tales reported additional financial trouble, with the collective seeking $25,000 in loans to continue operating the bookstore.