In 1991, Insane Clown Posse and then-manager Alex Abbiss set out to create their own record label. When the choice came between naming it Mad Paperboy Records or Psychopathic Records, Joseph Utsler created a logo for each, scribbling them both on a napkin. The first logo, representing Mad Paperboy Records, depicted a running paperboy holding a newspaper. The second logo, representing Psychopathic Records, slightly varied by depicting a running man with dreadlocks holding a hatchet. The group decided on Psychopathic Records, and used the drawing Utsler had scribbled on the napkin as the company's logo, calling it the Hatchetman.
The Hatchetman is often worn by Juggalos, usually by chains featuring the symbol as a charm or by tattoos. Japanese professional wrestler Kazushige Nosawa is known for his tattoo of the Hatchetman on his neck, as well as other Psychopathic Record related symbols. Rapper Vanilla Ice is often seen wearing the Hatchetman necklace and clothing featuring the logo.