The church was founded on March 14, 1886 by charter members R.J. Riddle, Julie Riddle, W.J. Wright, A. M. Preston, W.B. Scott and F.E. Scott. It is named after Shoal Creek, which rises up less than a mile from the church grounds and empties into the Tennessee River near Paint Rock Bluff. Before the original building was erected in 1887, services were held under a brush arbor. The present sanctuary was built in 1956, the education building in 1979, and the fellowship hall in 1993. Shoal Creek's first pastor was P.M. Thompson. Montgomery K. Taylor, another of the church's early pastors, served here for thirty years. He also served as the first pastor of Arab First Baptist during his term at Shoal Creek. As he had requested during his tenure, he was laid to rest behind the church in the grave plot closest to the pulpit.