Optical Feshbach resonances (OFRs) have generated significant experimental interest in recent years. These resonances are promising for many-body physics experiments, yet the practical application of OFRs has been limited. The theory of OFRs has been based on an approximate model that fails in important detuning regimes, and the incomplete theoretical understanding of this effect has hindered OFR experiments. We present the most complete theoretical treatment of OFRs to date, demonstrating important characteristics that must be considered in OFR experiments and comparing OFRs to the well-studied case of magnetic Feshbach resonances. We also present a comprehensive treatment of the approximate OFR model, including a study of the range of validity for this model. Finally, we derive experimentally useful expressions that can be applied to real experimental data to extract important information about the resonance structure of colliding atoms.