An epidermal cyst that grows from the hair follicle containing white, fatty semisolid matter in it is called Scalp cyst. This causes in hair loss in most of the cases if continues for a long time. These cysts are round in shape with smooth surface and may be of different sizes. This consists of fluid and fibrous tissues, a fatty substance made of keratin with a bad smell. The fluid inside is viscous in nature and made up of bloody material. These cysts are generally caused due to the blockage of sebaceous glands, excessive testosterone production and swollen hair follicles. Surgery is the best treatment to completely remove the infected part so that it does not happen again.