Sherman was established as the county seat when Grayson County was organized in 1846. It was first laid out a short distance west of the present location, but because of scarce firewood and water, it was moved to its present site in 1848. The city was named after Gen. Sidney Sherman, the Republic of Texas cavalry officer credited with the famous slogan, "Remember the Alamo!" Early establishment of several colleges, as well as a drama club, earned Sherman title of "Athens of Texas."
Today, Sherman remains a jewel in its cultural offerings, especially for a city its size, featuring the Sherman Symphony Orchestra and the Sherman Community Players live theatre troop. Live music abounds, especially in the summertime, with the Hot Summer Nights free concert series on the Municipal Lawn. Austin College, a private, coeducational liberal arts institution, provides residents and visitors with cultural and educational offerings throughout the year.