TJ Baden founded Baden Guitars in 2005, after a spell as Senior Vice President for sales and marketing at Taylor guitars. Andreas Pichler (the precocious luthier behind Andreas Guitars ) works as one of Baden's designers.

Baden’s main focus is offering handmade guitars from Vietnam that sell for between $1498 and $2998 USD retail. Baden and eight colleagues design and market their guitars from an uncluttered studio in Escondido's industrial west end. The guitars are made by hand at a workshop in Ho Chi Minh City, Vietnam. By having the guitars made in Vietnam, Baden said he has to work against the industry perception that guitars made in Asia aren't high quality.

In 2008 Baden anounced a partnership with Pantheon Guitars who are now building a series of limited edition, handmade guitars for Baden Guitars, in the USA.