The Ruby River winds through the valley just west of the town.

Sheridan traces its beginnings to the construction of a sawmill on Mill Creek by James Gammell in 1863.

According to the United States Census Bureau, the town has a total area of 1.02 square miles (2.64 km2), all land.

40.2% of all households were made up of individuals, and 20.9% had someone living alone who was 65 years of age or older.

39.4% of all households were made up of individuals, and 24.8% had someone living alone who was 65 years of age or older.

[11] Sheridan Public Schools educates students from kindergarten through 12th grade.

[12] Sheridan High School's team name is the Panthers.

[14] The Madisonian is a newspaper serving the Madison and Ruby Valleys, which includes Sheridan.