The club came into being when the two local teams-Limavady Alexander and Wanderers- decided to amalgamate. Limavady Alexander was one of the seven founder members of the I.F.A. which came together in 1880 to purchase the Irish Cup at the cost of 55. The club colours were blue and white striped shirts, which were the original Alexander colours.
Wanderers had come into being in 1882 and played only a few games before the decision to amalgamate. Alexander was formed by the members of the Limavady Cricket Club who wanted to play some sport in the winter months, and although there is no written record surviving from that period, it has been long held in local football circles that this happened in 1876, hence the date appearing on the club crest.(shown above)
This has provoked a friendly rivalry with Cliftonville, which has claimed to be Ireland's oldest club with a documented history back to 1879, and Moyola Park, which was the first winner of the Irish Cup in 1880 and was probably formed in early 1880. It is unclear when the name was changed to Limavady United, although there are records of the new name dating back to the early 1920s.
Whether the club can trace its formation back to 1876, 1880, or 1884 will always a matter of opinion, in the absence of documentary evidence.