Liposomes are employed broadly on all the novel drug delivery in current years. Liposomal suspensions were developed and they resulted in limited shelf life and poor stability problems on long term storage, these problems are overcome by Proliposomes. Proliposomes were discovered by Payne et al in 1986. Proliposomes are free flowing granular product composed of drug and phospholipid precursors which on hydration lead to liposomes .This paper reviews different aspects related to liposomes, proliposomes their method of preparation, comparison between liposomes and proliposomes, characterization of proliposomes, applications and major focus is made on Proliposomes employed for different routes of administration.