The inventor Alfred Kärcher (1901–59) from Baden-Württemberg founded the company in 1935 in Stuttgart-Bad Cannstatt. Initially Kärcher specialized in the design of industrial submersible heating elements, i.e. in salt smelters which were heated with immersion heaters. After numerous experiments, a hardening furnace for alloys was produced, the so-called “Kärcher Salt-Bath Furnace”. Some 1,200 units were sold up to 1945. During World War II, the company works for the Luftwaffe.Kärcher invented the first modern pressure washer, the DS 350 in 1950. The company's main focus then switched to cleaning equipment for professional and private users. Since then, Kärcher has made lead in the design and development of pressure washers. The company's product range was expanded and now covers the entire field of cleaning (sweepers, detergents, scrubber-driers, wet and dry vacuums, vacuum cleaners, battery-powered brooms, steam cleaners, dry ice blasting equipment, parts cleaners, water treatment systems, vehicle washes and wastewater recycling systems). Kärcher also offers pumps and watering systems.

In 1974 the corporate color was changed from blue to yellow. From that year, under the leadership of Alfred Kärcher's widow Irene Kärcher, the company launched the HD 555, the first pressure washer for private users.

Today the family-owned company, which is based in Winnenden near Stuttgart, is represented in 160 countries with 100 subsidiaries all over the world, selling commercial cleaning equipment as well as cleaning equipment for the private consumer.