The present invention discloses a medicament of Chinese medicine for treating burn and bedsore and a preparation method thereof. The medicament of Chinese medicine is prepared by the following raw materials in part by weight: 30 to 70 parts of elephant hide powder, 20 to 45 parts of scorpio, 30 to 45 parts of bufo bufo gargarizans cantor, 30 to 60 parts of borneol, 30 to 50 parts of lithospermum,150 to 250 parts egg oil and 200 to 500 parts of seame oil. The preparation method comprises the following steps: mixing the egg oil and the seame oil, boiling, adding the elephant hide powder, the scorpio, the bufo bufo gargarizans cantor, the borneol and the lithospermum, frying for 5 to 20 minutes, filtrating, and removing the residue to obtain the medicament of Chinese medicine. The medicament of Chinese medicine can nourish blood, promoting blood circulation, stop bleeding, remove toxicity, diminish inflammation, relieve pain, remove the necrotic tissue and promote the granulation through medicine, and can cause the wound surface to grow and heal. The invention has safe and convenient use, effective treatment, and is especially effective to deep second degree burn, deep third degree burn and bedsore with low cost.