Initially designed as a steamer, the Greyhound was a wooden three-masted schooner built by William Thomas at his Millom shipyard. She was launched in October 1886 and entered the fleet of her builder, who operated his main shipyard at Amlwch and managed a large schooner fleet there. The Greyhound sailed in deepwater trades to Spain, Morocco and to Brazil. She was sold by Capt. Thomas to South African owners in October 1891, for whom she traded to Mauritius and St.Helena. In March 1912 she was sold to an owner in Mauritius, who put her into the inter-island guano trade.

The Greyhound was lost on 15th June 1913, when she struck a reef at Raphael Island. She had loaded 206 tons guano at Albatross Island and was travelling to Raphael to complete loading, but strong tides caused her to strike the reef. The crew of twelve, four labourers and two passengers all managed to save themselves by setting up a bosun's chair with the help of an islander. The master was exonerated from blame because his chart did not accurately report the strong tidal stream in the area.