A submount holder for flip chip packaging of light emitting diode (LED) includes a substrate on which a body is formed. The submount body defines a cavity sized and shaped to snugly receive an LED die therein. The cavity precisely retains the die in position and prevents the die from arbitrary movement during a packaging and wiring process. First and second connection sections are formed on opposite sides of the cavity and respectively connected to the cavity by a channel. A conductively layer is formed on the substrate in the cavity, the first and second connection sections and the channels connecting the connection sections and the cavity. A groove is defined in the body and extends through the cavity with the connection sections located on opposite sides of the groove. The conductive layer is divided by the groove into separated and isolated portions. The die is received in the cavity with positive and negative terminals thereof respectively engaging the conductive layers of the first and second connection sections. The first and second connection sections allow for ready connection of wires thereto for a wiring process of the package.