Composites were manufactured from regenerated cellulose and biobased matrix by compression molding. The reinforcing materials used were Lyocell and viscose, while the matrix used was chemically modified soybean oil. Hybrid composites were prepared by mixing both the fibers. The total fiber content in the composites was between 40-60 weight %. Lyocell based composites had better tensile properties than viscose based composites; composites consisting 60 weight % Lyocell impregnated with matrix had tensile strength of 135 MPa and tensile modulus of 17 GPa. These composites also showed better flexural properties; flexural strength of 127 MPa and flexural modulus of 7 GPa. Dynamic mechanical thermal analysis results showed that these composites had good viscoelastic properties. Viscose based composites had better percentage elongation; these composites also showed relatively good impact and viscoelastic properties. Hybrid composites showed good mechanical and viscoelastic properties. Scanning electron microscope images showed that the composites had good fiber-matrix adhesion.