Its first classes were held on the Mt. Elden campus of the Southwestern Bible and Missionary Conference. In 1960, the property  on North Aris Street in east Flagstaff was acquired along with buildings and additional construction was begun.

The school is a result of the vision of Dr. Gordon H. Fraser and his wife, Thelma, who, with

These missionaries meeting as a committee elected a board of directors and an advisory council representing fourteen missions and missionary agencies, the faculty of Arizona State College (now Northern Arizona University), and the Navajo Tribal Council.
In 1961, the school was incorporated in the state of Arizona as the Southwestern School of Missions. 

With the board decision in May 1985 to grant a four year baccalaureate degree, the name Indian Bible College was adopted as the operating name of the school.

Over the years, God has used the school in a mighty way to prepare the many Native American graduates who faithfully serve the Lord as leaders in reservation and urban churches. The school is particularly well known on the Navajo Reservation where a large percentage of the pastors of evangelical churches are graduates of the school.

In January 2002, Richard Standley was elected by the Board of Directors to serve as the sixth president of the school. Mr. Standley's vision for the school is that it would see steady growth over the next five years. During this time the faculty and staff will be rebuilt, the quality of instruction improved and the spiritual development of the student more actively addressed. This will allow the school to enter back into the accreditation process with TRACS. IBC already owns land for campus expansion. Plans are currently being developed to renew and expand the campus at its present location in Flagstaff .

Since its beginning, IBC has been committed to the fundamentals of the Christian faith. In addition, we are firmly committed to the Reformation's battle cry that salvation is by grace alone through faith alone based on Scripture alone. We believe that God communicated the content of the Bible to be understood by the original hearers and that it is still to be understood in a normal, straightforward manner.

The Bible is still the only necessary and inerrant source of Christian doctrine, reproof, correction and instruction in righteousness (2 Timothy 3:16 ). The school's teaching position is non-charismatic and premillenialist.

The Leadership of the Indian Bible College

• Dr. Fraser was the first the director of the school.
   
• In October of 1971, Mr. Robert Hardgrave (his wife Zillah) was called by the board of directors, and moved from Los Angeles to Flagstaff to assume the position of director.
   
• In June, 1984, Mr. Guy Kinney (his wife, Reva.) was chosen by the Board of Directors to be the director.
   
• In June of 1989, Mr. Jerry Yonnie (his wife, Linda) was the first Native American called to direct the school.
   
• In June, 1998, Mr. Benjamin Yazzie, (his wife, Tillie) was called to be the Interim President.

• In January, 2002, Mr. Richard Standley (his wife, Barbara) was called to be the President.