Aloe vera has been widely investigated and used as folk medicine since ancient time. Biologically active substances in its gel include polysaccharides, glycoprotein, enzymes, anthraquinones or phenolic compounds, vitamins, minerals, and so on, which play important roles in anti-inflammatory response, antimicrobial, antiviral, antioxidant activity, immunoregulation effects, and especially in wound healing. In this paper, we review the advances in the mechanism and clinical application of Aloe vera and its extract on wound healing, so as to provide new ideas for the treatment of various kinds of wounds.