Biosurfactants are microbe-derived compound that is non-toxic and biodegradable. They are amphiphilic in nature and better than synthetic surfactants which are chemically derived compound. According to the chemical structure and molecular weight, biosurfactant can be classified into various forms and each of them having their own characteristics depends on which can be applied in different areas. Due to their versatility of different surface active compounds and one of the most promising future prospect globally and economically biosurfactant are used in many industries. Biosurfactants are produced by several microorganisms which include Bacillus sp. Candida Antarctica, Pseudomonas aeruginosa, Acinetobacter sp. Glycolipid and lipopeptide are most applicable but others are also being used. In this review article, we have discussed the types, soil microorganism from which biosurfactant can be derived and their economic importance and the effects of carbon and nitrogen sources, pH, temperature, aeration and agitation during the production of biosurfactant and the applications in various fields. These molecules have the potential to be used in a variety of industries like humectants, cosmetics, food preservatives, pharmaceuticals and detergents, several other applications are also there like biodegradation, biomedical, agriculture and the petroleum sectors.