At a meeting in the local Royal British Legion Hall in April 1954, a dozen people attended and agreed that a club should be formed. An application was made to enter the Junior League for the 1954–55 season. The application was accepted by the Ulster Branch.

Membership for the club grew quickly with players coming from all over County Down, Belfast and the Mournes region. It was at this point that the Club started to gather pace and a pitch was required due to the growing player base. A pitch was rented from a local farmer at Ballykine. Even though the grounds had no changing rooms or showers it did the job of providing Ballynahinch club with a home.

An increasing player and fan base meant that proper grounds were required. In August 1970, at the cost of £6,500, the current playing facilities at Ballymacarn Park were purchased. The 16-acre (6.5 ha) site soon had its own clubhouse in front of the 1st XV pitch.

It was from this point that the club grew to field 7 teams. The 1st XV went on to be one of the top teams in Ulster Junior League rugby for the next 10 years.

From 1954 to 1996 the Club achieved significant success including:
Towns Cup (1964, 1987, 1988, 1990 & 1995)
Junior Cup (1966, 1967, 1988, 1992 & 1995)
Knutty Krust (1980, 1986 & 1991)
Crawford Cup (1989 & 1996)

And in 1996 the 1XV won the League and achieved Senior Status and were promoted to the All Ireland League Division 4.