The club was founded in January 2010 when Chippa Mpengesi purchased the Vodacom League franchise of Paarl based club, Mbekweni Cosmos, for R400,000.
Following the 2011–12 the club was promoted from the Premier Soccer League's National First Division to the Premier Division. Philippi Stadium was deemed not to be up to standard to host matches in the Premier Division.
Chippa United FC has partnered with Aquelle, keeping the Chilli bOys team well hydrate
The club's first team currently plays in the Premier Soccer League's Premier Division, with the reserve team playing in the PSL's reserve league.