Beating off nominees from three other colleges, the college was given the award which recognises those who have been leading the way in enterprise within Further Education throughout Scotland.
Judges chose to hand out the top prize to Fife College due to the innovative approaches they used to adapt to blended learning and new digital processes to support students during the past year.
Judges also recognised the college's enterprising team projects and initiatives that have developed the business skills and knowledge of both students and lecturers alike.
John Elliott, head of enterprise at the college, said: "It was great to attend the 2022 Bridge 2 Business Awards, albeit virtually.
"I was honoured to be able to accept the Enterprising College of the Year Award on behalf of everybody here at the college.
"It's great recognition for all of the hard work and effort that goes on across the college by students and staff alike.
"I want to give huge thanks to everyone at Young Enterprise Scotland for the ongoing support and opportunities they create for our students - they really are helping us to transform lives."
Lisa Wardlaw, college delivery manager at Young Enterprise Scotland, said: “We are delighted to deliver Bridge 2 Business across Fife College, and see the impact the programme has on their students.
"Fife College is an excellent example of encouraging and embedding enterprise across their college, and we are delighted to be a part of that.”