The band was founded in 1980 by Andrew Eldritch and Gary Marx in Leeds. Up to 1983, the band produced five singles and two EPs, which were released on the band's own indie label Merciful Release and were distributed independently as well. As the band became increasingly successful and featured regularly in the UK Indie Chart, a first studio album was announced in 1983 for the following year. Eldritch estimated the production costs at £40,000, a sum which exceeded the financial capabilities of an indie band. Around the same time talks with interested record labels began. Eldritch, who handled management and business affairs of the band, negotiated with several record companies early in the new year and finally signed a satisfactory contract with WEA Records. Merciful Release opened an office in London and founded its own publishing company Candelmaesse Limited, as well, which licensed the future song material to the publisher of RCA Records, RCA Music Limited.