The effect of prepared Ayurvedic formulation was evaluated on excision and incision wound models in rats. The wound-healing activity was assessed by the rate of period of epithelialization and skin-breaking strength. Histologicalstudy of the granulation tissue was carried out to know the extent of collagen formation in the wound tissue. TheAyurvedic formulation prepared was then promoted for wound-healing activity in two wound models. The treatedanimals showed significant reduction in the wound area up to (P<0.001) and faster rate of epithialisation (23.17±0.54).In an incision wound model, formulation treated animals demonstrated significant skin-breaking strength up to420.33±5.92. Histological studies of the tissue obtained from the formulation treated group revealed that the activitywas more significant in this group. Our present study reveals that the Ayurvedic formulation posses potent woundhealing activity, which could be a good choice of remedy for wound healing but less potent than standard Nitrofurazone.