Magical Squadron is a hybrid of adventure and stategy/RPG. In the adventure mode, the player characters travel around the world going on lighthearted adventures. The player begins with three characters, and can build their party with additional characters they meet over the game. In the strategy/RPG mode, the player engages in combat on a grid very similar to games such as Sega's Shining Force.

The player characters travel around the world going on lighthearted adventures.