The exact date of the foundation of AYETE is not certain but it is evident that the town could have been founded over two hundred years ago. The people of AYETE came from Old Oyo (Oyo'ro) and first settled Igbo'le Isawo.
The founder of the Old Town was known as Asawo Eekan; the founder died shortly when they settled at Igbole-Isawo. His son Egbegi came to the throne. The history had it that Egbegi did not die a natural death but ascended on a chain to heaven.
After Egbegi, the invaders dispersed the people of Isawo and settled on a hill very near the present town called Gberegudu. The people were on this hill for many years without a person to mount the throne.
One of Egbegi's grandson called OLUYOMI had the news of how the warriors had dispersed the people of Isawo, he decided to avenge the enemies of his grandfather. He left Abiodioki his little town to resettle the people of Isawo.
Oluyomi met the people on the hill, he advised them to get down from the hill, because of the difficulties encountered by the people. The difficulties were of the folds, one, the difficulty of having no land to cultivate and difficulty of having no sufficient land to expand their buildings after the war.
Oluyomi inquired from Its oracle of where he could settle, so as to found the new town. Ifa oracle told him to settle at the foot of Isamuni hill, Ifa also promised him that the hill will serve as a protector to the people of the new town AYETE.
Oluyomi acted promptly to the instruction given by Ifa (The God of wisdom) the Asawo first built his home where the old town hall today and set up a market in front of his house called AJISE.
After settling his men from the hill, HR tried to get more people who will live with him. The following people were called from their homesteed
Jagun and his people from Gbodiko homestead.
Odomofin from Ahoro Imofin.
️ Oniwafin from ancient city of Iwafin.
Balogun from Ikogba homestead.
The people from Iki had been together with Asawo Egbegi and came down from the hill together with Isawo people.
Also the people of Odoode were called from their homestead
The people mentioned above agreed to live together under a head Asawo Oluyomi and hence AYETE the home for the new town was suggested AYETE means people of different cultures and different ideologies were known as the world (AYE) in those days that was the whole world founded the town. Presently the town comprised of seven principal quarters, who agreed to live together and each came from her ancient town (Orile) this made them to think that the whole world founded it (GBOGBO AYE TEE) in short form AYETE.
Asawo and his subjects could not be taken as a matter of joke in fighting during the wars, he had helped a lot of people who sought for help in Ibarapa Division. Asawo Opeagbe helped the people of Iberekodo in Igboora during Dahomey wars. He also helped the people of Igangan to check the menance of Egba invaders.
As a warrior, he must have the knowledge of charms. Asawo had knowledge of charms with this knowledge Egbegi he helped to relief the Alaafin from Eleere who was an obstacle to ikubabayeye.
For the total relief of Alaafin, he Kabiyesi gave him a gift of seven people, five men and two women. The gift grew to the statue of a town till the present day.
Asawo also helped a son to Alaafin called Oloba Oba Adetunji the then Oloba at Oba homestead; when he was sent to by the Alaafin, since then the two became tightly friends (Oloba and Asawo).
When the war despersed the people Oba-Ile Aderonmu cleared for Ayete and since then the old town Oba became part of Ayete.
The incessant wars had contributed much evils to Ayete. Some people deserted Asawo, they thought for his bravery, the warriors will continue to invade AYETE Asawo was formerly a beaded Crown Oba but carried away by the Dahomey invaders. In remembrance of the lost Crown Asawo Oluyomi named one of his children "Otesadenu" that is, the war brought the lost of the crown.
The entire people of Ayete believed that lost Crown will be regained if the future is brighter and to God be the glory it's later regained.