BIDs first emerged in Toronto, Canada in the late 1960s and have subsequently emerged across Canada and the USA and into New Zealand, South Africa, Jamaica, Serbia, Albania, England and Wales, Germany and Ireland. BIDs, however, have numerous pseudonyms, these include Business Improvement Areas and Special Improvement Districts. There are 55 BIDs in New York City, and 60 in Toronto.
 

In England and Wales, business improvement districts were introduced through legislation (the Local Government Act 2003) and subsequent regulations in 2004. The Circle Initiative, a five year scheme funded by the London Development Agency, set up the first pilot BIDs, five in London, all of which had successful ballots by March 2006.

The first BID to be created was Kingston. By the end of 2006, over 30 BIDs had emerged in town centres, city centres and industrial estates in England and Wales.

Unlike the US, BIDs in England and Wales are funded by a levy on the occupiers rather than the owners of the properties within the area.