The label was set up by Packer's teen magazine Everybody's in the summer of 1965, and was essentially a joint venture between Packer, Miller and producer and songwriter Nat Kipner, a former partner in the Sunshine label with entrepreneur Ivan Dayman and producer-musician Pat Aulton. Kipner was appointed as the label's A&R manager and house producer and the label's first two singles were issued in November 1965, but immediately encoutered resistance from Sydney radio -- according to historian Bill Casey, DJs were reportedly unwilling to name the label on air because of the obvious cross-promotional connection to the Packer magazine.
A rebranding of the label was hastily arranged and the new Spin Recordslabel was launched in January 1966. Spin reissued two of the four Everybody's singles -- Tony Barber and Steve & The Board -- in March 1966 and Toni McCann's scorching "Saturday Date" was reissued on Sunshine. The original "EK" catalogue prefix was retained by distributor Festival when the label changed its name to Spin.