Citrus trees are among the most abundant fruit trees in the world, with an annual production of around 124 million tonnes. Lemons and limes are among the most significant contributors, producing nearly 16 million tonnes per year. The processing and consumption of citrus fruits generates a significant amount of waste, including peels, pulp, seeds, and pomace, which represents about 50% of the fresh fruit. Citrus limon (C. limon) by-products are composed of significant amounts of bioactive compounds, such as phenolic compounds, carotenoids, vitamins, essential oils, and fibres, which give them nutritional value and health benefits such as antimicrobial and antioxidant properties. These by-products, which are typically discarded as waste in the environment, can be explored to produce new functional ingredients, a desirable approach from a circular economy perspective. The present review systematically summarizes the potential high-biological-value components extracted from by-products to achieve a zero-waste goal, focusing on the recovery of three main fractions: essential oils, phenolic compounds, and dietary fibres, present in C. limon by-products, and their applications in food preservation.