Butea monosperma (Lam.) Taub., commonly known as Palash or Flame of the Forest, is a medicinally important leguminous tree widely utilized in Ayurvedic, Unani, and folk medicine for treating inflammatory, infectious, and hepatic disorders. This study investigated the phytochemical profile and pharmacological potential of B. monosperma, with particular emphasis on its endophytic fungi as potential sources of bioactive compounds. Fresh, authenticated leaves were processed for the isolation of endophytic fungi using surface-sterilized explants cultured on Potato Dextrose Agar. Ethyl acetate extracts of these isolates were analyzed by UV-Vis spectroscopy and GC-MS. Antibacterial activity was determined via agar well diffusion against Bacillus subtilis, Staphylococcus aureus, Escherichia coli, and Pseudomonas aeruginosa, while antioxidant capacity was assessed using the DPPH radical scavenging assay. A total of 42 distinct fungal isolates were obtained, exhibiting 64% colonization frequency. Nine isolates demonstrated significant antibacterial activity, and extracts showed strong antioxidant potential with up to 63.89% inhibition at 100 µg/mL. GC-MS analysis identified several bioactive metabolites, including heptacosane, and di-n-decylsulfone etc. These findings highlight B. monosperma and its endophytes as promising sources of antimicrobial and antioxidant compounds, supporting its ethnomedicinal relevance and potential for drug discovery.