Founded by Ralph Carmichael in 1966, the label was originally half-owned (and distributed by) Word, Inc. but Ralph purchased Word's portion of the company in 1980. Word, Inc. ceased distribution of Light product on 12/11/1981, at which point Light began its own distribution to the Christian market. At the end of 1981, Light also inked a deal for distribution into the mainstream market with Elektra/Asylum, which officially began in February of 1982, but was ultimately very short-lived and ended by early 1983. After a failed attempt to sell the company to John Ward ca. 9/1982, the company found itself in dire financial straights and by January of 1983, had also turned to Word to help with promotion and sales to the Christian Market. However, by 1985, Lexicon Distribution had been established to distributed Light and other independent Christian labels. The label was eventually purchased by Platinum Entertainment in 1993 which was renamed Compendia Music Group after Platinum filed for bankruptcy in 2001. Compendia was then purchased by Sheridan Square Entertainment in 2004, and by April of 2010, Light was owned by Entertainment One.