Keratinase (E.C 3.4.99.11) is an extracellular protease having efficient ability to degrade keratin found in feathers and hair. It has various applications including leather, textile, pharmaceutical, detergent and animal feed industries. In current study, keratinolytic bacteria were isolated from the soil of poultry farm and different cultural conditions were optimized to obtain maximum enzyme yield. The isolates were initially screened by formation of zone of clearance on the skimmed milk agar and then evaluated for keratinase production by using raw feathers as substrate in submerged fermentation. Two isolates, showing maximum enzyme production, were identified as Bacillus species on their morphological and biochemical basis. Crude enzyme revealed that Bacillus sp. IIB-B5 produced maximum keratinase (28.13 U/mL) at pH 7.0, at 40oC after 72 h incubation. While Bacillus sp. IIB-B9 showed maximum enzyme production (26.59 U/mL) at pH 8.0, after an incubation period of 96 h at 50oC. This study showed that these isolates have the potential to be used in keratin hydrolysis.