Shadow Records was launched in 1995 as a sub-label of Instinct Records, with a focus on the more organic side of the underground electronic music scene. The label's first release in 1995, Abstrackt Workshop, featured performances by DJ Krush, Funki Porcini, and Marden Hill in addition to songs from labels like Pussyfoot and Yellow Productions.

The next step included a 2-year involvement with the UK beat label Ninja Tune. This partnership introduced the likes of Funki Porcini, DJ Food, 9 Lazy 9, Up, Bustle and Out, Hedfunk, and London Funk Allstars to US audiences.

Shadow went on to release US debut CDs from DJ Krush, DJ Cam, Cujo, Shantel, James Hardway and Ollano. Shadow Records has also brought an array of artists to the US, having worked with such European underground labels as Stereo Deluxe, Freerange, Cup Of Tea, Five Star Recordings, Recordings Of Substance, Hospital, nineBAR, Infracom, and DiY.

Shadow continues with exploration into the experimental side of electronic music, with a series of mix CDs from the likes of DJ Cam, Kruder & Dorfmeister and Jimpster. Future mix CDs include Jack Dangers (Meat Beat Manifesto, Tino Corp.), and Carl Craig.