The Avalon Guitars brand was created in 2000 by the Lowden Guitar Company. The range of Avalon instruments was designed by a group of the most experience luthiers working for Lowden at the time. This handmade range, called the Avalon Gold series, was launched in 2002 and received good reviews for build quality and tone.

A mass market version of the Avalon Gold series, named the Avalon Silver series, was built using technologies such as CNC, laser cutting and UV lacquer curing. At the same time production of the Avalon Gold series was transferred to Furch Guitars facility in the Czech Republic to allow Avalon's luthiers to concentrate exclusively on high end custom acoustic guitars.

Meanwhile, it was reported in the UK's Guitar & Bass magazine in 2006 that the Avalon Guitars luthiers in Ireland were making the very high-end Zemaitis acoustic guitars  Avalon discontinued all offshore produced models in 2007 to concentrate exclusively on making high-end handcrafted acoustic guitars from its workshop in Northern Ireland.