A second theory revolves around the game hopscotch, where the players start at square one and hop from square to square avoiding the one containing their thrown stone, and ultimately returning to the starting square or square one. This theory seems likely although there are many who advocate for the origin being in the game Snakes and Ladders, more commonly known now as Chutes and Ladders, where one starts at square one and sometimes through unfortunate dice rolls have to lose progress. Here the theory seems strained because this game in either version does not generally have a snake or chute that returns the player to the starting square. However, supporting this theory is that the earliest printed usage of this phrase is from the Economic Journal in 1952 where it states: "He has the problem of maintaining the interest of the reader who is always being sent back to square one in a sort of intellectual game of snakes and ladders."
It seems the best we can know is that this phrase originated in connection to a game.
Use Example - "Well after all our careful planning, it seems we are back to square one." Source Tags : Sports Games