Scottish-born Thomas Burgess named the community of Bala after the Bala Lake District in Wales. He arrived in 1868 and set up a sawmill on the Mill Stream. In time he also opened a general store, bakeshop, blacksmith shop and supply boat service and post office.
In 1917 the Burgess family helped establish a hydroelectric facility on the site of Thomas's original sawmill. This generating station supplied power for much of the Medora and Wood Townships. The community of Bala officially became a town in 1914. Dr. A.M. Burgess, a son of Bala's founder Thomas Burgess, was the first Mayor in Bala.
Bala, the town by the waterfalls, captures the true spirit of Muskoka. Known to many as home of the Cranberry Festival, the Kee to Bala, and Don's Bakery, it is a vibrant commercial centre. Bala has a large selection of unique retail shops and is home to a weekly farmer's market in the summer season.