The club was founded in October 1883, making it one of the oldest football clubs in the country. Over the years, Dunstable Town has built a rich history and a strong presence in the local community.

Dunstable Town's commitment to community engagement has been a key aspect of the club's identity. In 2021, the club relaunched as a Community Benefit Society (CBS), a legal entity regulated by the Financial Conduct Authority and supported by the Football Supporters' Association. This transition allowed the club to become completely fan-owned, with equal voting rights for all shareholders. This model ensures that the club remains rooted in the community and prevents any individual from gaining sole control.

As a CBS, Dunstable Town expanded its activities beyond football. The club operates as a social enterprise, providing support for the local community. They run various groups focused on fitness improvement and mental health recovery, offering a safe space for individuals facing mental health challenges. The club actively collaborates with organizations like Mind BLMK and Minds2gether, demonstrating its dedication to mental health support.