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In 1853 Friedrich Peyer im Hof, Heinrich Moser, and Conrad Neher began the Swiss Wagon Factory. Seven years later, the three owners took on a more ambitious task. Switzerland's Federal Ministry of Defense held a competition to develop a state-of-the-art for adoption by the Swiss Army and the Swiss Wagon Factory was up to the challenge. Four years later, this Swiss Wagon Factory developed the Prelaz-Burnand rifle, won the challenge, had an order for 30,000 muzzle loading Prelaz-Burnand rifles, and changed their name to the Schweizerische Industrie-Gesellschaft (Swiss Industrial Company), or SIG. Since the development SIG P49 for the Swiss Army and shorty became a legend on the battlefield, Sig Sauer became world renowned as the weapons of choice for many of the premier global military, law enforcement and commercial users. Very quickly, the P220 became the new pistol for the Swiss Army, and the compact P230 for the Swiss Police. In the 1970s SIG, previously focusing on shotguns and hunting rifles, partnered with German firm Sauer & Sohn and began manufacturing handguns. In the 1980's, SIG set its sights on the USA.

In January 1985 SIGARMS was established in Virginia and imported the P220 and P230. By 1990 SIGARMS moved to New Hampshire and in 1992, began producing P229 with .40 Smith & Wesson ammunition. Besides importing Sig Sauer pistols, SIGARMS continued to expand their line of firearms to include the Sauer rifle line, Hammerli target firearms, and in 1998, added the first shotgun line designed specifically for SIGARMS by B. Rizzini of Italy. The following year, the Blaser R93 rifle line from Germany was distributed through SIGARMS.

In October of 2007, SIGARMS changed its name to Sig Sauer to reflect the increase in worldwide demand for Sig Sauer products and today is one of the largest firearms manufacturing entities in the world. Today, one-third of U.S. police use Sig Sauer firearms, and the US Military has adopted the SIG P228 as the M11 Pistol.

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