Short postharvest life of button mushroom (Agaricus bisporus L.) is a serious problem in the expansion of marketing and long-distance transportation of this product. Edible coating is an effective way to delay the browning process and mitigate the deterioration of button mushroom. In this study, the impact of Aloe vera gel alone and combined with basil oil as an edible coating on postharvest quality and browning of mushroom has been investigated. Surface morphology of the coated and uncoated mushrooms was studied by scanning electron microscopy (SEM). The results indicated that application of A. vera gel enriched with basil oil significantly alleviated weight loss, softening and respiration rate during the storage. In addition, coated samples delayed browning and color change compared to uncoated samples. Interestingly, total phenolic contents, antioxidant and phenylalanine ammonia lyase activity increased in samples coated by treatment of A. vera and basil oil. Relative electrolyte leakage, malondialdehyde content and polyphenol oxidase activity were also significantly lower in A. vera enriched with basil oil treated samples. These findings suggest that combination of A. vera with basil oil is a promising method to preserve the quality of the button mushrooms during cold storage.