The club was established as Ajax Soccer Club in 1955 by Maltese immigrants. In honour of the Maltese Floriana club, Ajax SC adopted their familiar green and white playing strips.
The club was renamed to Green Gully SC when it moved to its current home ground at Green Gully Reserve in 1966, in the West of Melbourne suburb of Keilor Downs. The "Ajax" was dropped in 1982.
The club competed in the National Soccer League of Australia (NSL) from 1984 to 1986 and attracted some great players such as George Campbell from Preston (originally from Aberdeen), and Scott Fraser from Rangers. Green Gully is 1 of the 8 Clubs that are still active in the Victorian Premier League.
Green Gully currently compete in the National Premier League Victoria and have been Victorian Champions in 1981, 1982, 1983, 1999, 2000, 2003, 2005, 2010 and 2011.