Investigating extraction conditions for essential oils and active compounds from Star Anise (Illicium verum Hook. f.) and evaluating their physicochemical properties and biological activities was investigated to achieve the suitable extraction results. The raw material was ground using a hammer mill to achieve a particle size of 8 mm. The essential oil distillation process was carried out for 3 hours with a solid-tosolvent ratio of 1/8, and the heat source temperature was 130°C. GC-MS results showed that the star anise contained over 90% anethole. The star anise residue was extracted with ethanol under the optimal conditions of: number of extractions (2 times), extraction time (75 minutes), temperature (50°C), ethanol concentration (60%), and a solid-to-solvent ratio of 1/6. The total phenolic content of the star anise extract was 120.69 ± 0.97 mg GAE/g dry extract. The antioxidant activity of the star anise extract and the residue extract was high (IC50 = 37.82 ± 0.396 µg/mL and 162.21 ± 0.27 µg/mL, respectively). The essential oil of star anise exhibited weaker DPPH radical scavenging activity (IC50 = 4816.17 ± 0.31 µg/mL). Overall, star anise contains many compounds with high biological activity, and its residue can be utilized for producing natural-derived products.