The club was previously known as the Mega Three Star Club for sponsorship reasons and was terminated by 2012 ans are now sponsored by Laxmi Bank. Historically they have fierce rivalry with Manang Marshyangdi Club.
Three Star Club is one of the well-established and developed clubs in Nepal. The club had a modest beginning in 2031B.S. A group of enthusiastic young people of Patan Durbar Square, Mangal Bazar established the club for sports development, social service, personality development and brotherhood. The club has been organizing many activities since then, but it is more recognizable as one of the leading football teams in the country. The number of members is increasing rapidly. Currently, Three Star Club has 380 life members and 129 general members.
Three Star Club’s football journey started from D division league. The club managed to reach A division league in 2039 B.S. Since then, Three Star Club has produced a steady stream of qualitative performance in national and international tournaments. Two times national league champion, the club has an avid fan following in the country and boasts of many national players. They are now the defending champion of Red Bull A Division League 2012-13.