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A national round-robin tournament existed in various forms prior to the formation of the A-League, with the most notable being the National Soccer League (NSL).

The formation of the NSL came after Australia's qualification for the 1974 FIFA World Cup, which led to discussion of a national league, with 14 teams eventually chosen to participate in the inaugural season of the NSL in 1977.

Under the guidance of the then-governing body, the Australian Soccer Federation (later Soccer Australia), the NSL flourished through the 1980s and early 1990s but then fell into decline with the increasing departure of Australian players to overseas leagues, a disastrous television deal with the Seven Network and the resulting lack of sponsorship.

In December 2003, the Crawford Report found that the NSL was financially unviable, and in response the chairman of the sports new governing body, Frank Lowy of Football Federation Australia, announced that a task force would be formed to create a new national competition as a successor to the NSL which dissolved at the conclusion of the 2003–04 season after 27 years of operation.

Similar to the United States and Canada's Major League Soccer as well as other professional sports leagues in Australia and the United States, Australia's A-League does not practice promotion and relegation, unlike various football leagues in Europe.

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