Enterprise started out as the dream of Orson Welcome Huntsman. His plan to dam the tributaries of Shoal Creek was thought "daft" by many folks in the area but a few St. George businessmen thought enough of the idea to put up some funds and have the future townsite surveyed (this was in 1891).

Jacob Micah Truman was the first permanent settler and he was soon followed by several Mormon families. Then an earthquake estimated at a strength of 6.0 on the Richter scale struck the Pine Valley area on November 17, 1902. The town of Hebron, only 10 miles from Enterprise, suffered serious damage while Enterprise had almost no damage. Shortly, everyone abandoned Hebron and moved to Enterprise. Between 1990 and 2000, Enterprise suffered a 37.3% increase in population and is now a fifth-class city by Utah statutes.