Li-Fi stands for Light Fidelity .Li-Fi technology provides transmission of data through illumination by sending data through LED that varies in intensity faster than the human eye can follow.This paper focus on developing a Li-Fi based system and analyze its performance with respect to existing technology. The heart of this technology is a new generation of high brightness LEDs. The paper discusses about an apparatus consisting of a transmitter which includes a light source and the receiver circuit which receives the data transmitted via light waves. The same system can be employed in industries making industrial automation using the existing light source a reality. A biomedical sensor is also introduced herewith which helps in diagnosis of a patient’s medical conditions and is quickly made available to all the emergency points through light.