The conversion processes of macroalgae for biofuels can be divided into thermochemical (dry) and microbiological (wet) processes. The chemical composition of macroalgae together with the pre‐treatment method, conversion conditions, and the characteristics of the microbes involved (wet processes) determine the yield and the properties of the biofuel produced. Macroalgae are often rich in carbohydrates, and therefore well suited for biogas, biobutanol and bioethanol productions. The content of triacylglycerols (TAGs) is the best indicator for the suitability of the alga for biodiesel production. TAGs have a high conversion rate to biodiesel, high percentage of fatty acids, and they lack phosphorus, sulfur and nitrogen. Macroalgae can have high metal concentrations, which can have an impact on conversion processes: metals may inhibit or catalyse the processes. High sulfur (especially in green algae) and nitrogen contents are also characteristic to macroalgae, and may be problematic in the production of biogas (NH3‐toxicity) and the use of the oil and biodiesel (high concentrations of H2S and NOx‐compounds). Macroalgae have proven to be suitable material for conversion processes, but further optimization of the processes is needed. At present, macroalgae are not economically, or in many cases not even environmentally, sustainable material when the whole production chain is considered. In this review we summarize information on the chemical composition of macroalgae in a prospect of biofuel production, and the current situation in the field of macroalgal‐based biofuel production.