The Rural Rhythm label was founded in 1955 in Arcadia, California, USA by . Sold via mail order, records were often produced with a generic white front sleeve with a (sometimes) stamped serial number in the upper right corner.

Rural Rhythm Records has built a catalog that connects many dots from past to present. Since its 1955 creation, Rural Rhythm has released hundreds of classic performances by many legendary bluegrass and old-time musicians such as J.E. Mainer, Don Reno, Red Smiley, Mac Wiseman, Vassar Clements, Hylo Brown, Bill Harrell, Jim Eanes, and many others. The label owes its Arcadia, California start to Uncle Jim O'Neal whose vision was to release the music of many top bluegrass and old-time musicians in the 1950-70s, seeking success where Starday had failed by producing records of limited appeal by lesser known, albeit talented, musicians. Early ads for records released by Uncle Jim O'Neal stated that the LPs sold for only $3.50 apiece. The self-professed "Little Cotton Picker," O'Neal also took an approach of releasing 20 songs on each 33 1/3 RPM album. These would have been great bargains in the mid-1960s when major label monaural records (with only about a dozen songs) were selling for $3.98 and stereophonic records were $4.98. The items still sold well, and Rural Rhythm Records thrived and flourished.

After the original owner passed away in 1982, the company was dormant for 5 years. In 1987 it was purchased by the current owners. The company began issuing new titles in 2005 and in 2006, the company moved from Arcadia, California to Mt. Juliet, Tennessee, USA. (Although the mailing address shown on releases was PO Box 660040, Dept D, Arcadia CA 91066-0040 from 1987 through sometime in the 2011-2012 timeframe).

Many releases show only Rural Rhythm on the labels or cover and have an Arcadia, CA address listed.