1. Fire is an event, not a thing. Heating wood or other fuel releases volatile vapors that can rapidly combust with oxygen in the air; the resulting incandescent bloom of gas further heats the fuel, releasing more vapors and perpetuating the cycle.
2. Most of the fuels we use derive their energy from trapped solar rays. In photosynthesis, sunlight and heat make chemical energy (in the form of wood or fossil fuel); fire uses chemical energy to produce light and heat.
3. So a bonfire is basically a tree running in reverse.