The company was founded in 1995 by Knud and Rita Pilegaard. The name of the company was created with their son, Buster, in mind, who was one year old when the Buster Nordic was founded. The last part of the name, Nordic, became part of the name because they publish books in all of Scandinavia. Their first title was "Livsgnister", and the company rapidly took off from there. Thomas and Friends books had a major role in shaping the company as it became Buster Nordic's flag ship property alongside Pingu, Postman Pat, Monster High and more.