The label was founded by Bruce Milne and then-partner Philip Morland, and has fostered the likes of Little Murders, The Scientists, The Moodists, Harem Scarem, The Zimmermen, GOD, No and more recently The Meanies, Magic Dirt, Snout and Spiderbait. Bruce's involvement with the underground music scene began when he managed young bands, started up the punk fanzine Pulp with Clinton Walker, and also worked for Keith Glass at Missing Link Records.

Au Go Go's debut release was the 'Overnight' EP from Two Way Garden. In quick succession over the next three years, the label issued debut singles and EPs from the likes of Clint Small, Little Murders, Scapa Flow and Wrecked Jets.

Greta Moon joined Au Go Go in 1982, and the label's efforts became more concentrated and concerted, issuing a series of seminal releases from the likes of The Moodists and highly influential band The Scientists. Over the 1984-86 period, Au Go Go consolidated its position as Melbourne's pre-eminent bastion of the independent scene, with releases from The Zimmermen, Harem Scarem and the Sunset Strip becoming solid sellers.

During the period from 1987-89, as well as releasing local records such as GOD's classic single 'My Pal', The Hollowmen's 'Broken Stuff' LP and No's awesome 'Once We Were Scum, Now We Are God' mini-LP, Au Go Go began licensing product from American labels, giving important Australian exposure to such influential bands as Sonic Youth, Big Black, Butthole Surfers, the Lemonheads, Mudhoney and Dinosaur Jr.

An offshoot label, Giant Claw Records, was started by Bruce Milne in 1989 and issued a string of 7" singles from some of the best bands around the globe, from Oz to Japan to NYC to Germany and lots of places in between!