diff --git a/README.md b/README.md
index 9c39c2a8..bf5a9228 100644
--- a/README.md
+++ b/README.md
@@ -68,19 +68,23 @@ Spin up only 2 containers from docker-compose.yaml (by deleting all services exc
 Make sure you have python 3.10 or 3.11 installed
 
 1. Navigate to `/application` folder
-2. Install dependencies
+2. Run `docker-compose -f docker-compose-dev.yaml build && docker-compose -f docker-compose-dev.yaml up -d`
+3. Export required variables              
+`export CELERY_BROKER_URL=redis://localhost:6379/0`   
+`export CELERY_RESULT_BACKEND=redis://localhost:6379/1`
+`export MONGO_URI=mongodb://localhost:27017/docsgpt`
+4. Install dependencies
 `pip install -r requirements.txt`
-3. Prepare .env file
+5. Prepare .env file
 Copy .env_sample and create .env with your openai api token
-4. Run the app
-`python app.py`
-5. Start worker with `celery -A app.celery worker -l INFO`
+6. Run the app
+`python wsgi.py`
+7. Start worker with `celery -A app.celery worker -l INFO`
 
 To start frontend
 1. Navigate to `/frontend` folder
 2. Install dependencies
 `npm install`
-3. In the file  `.env.development` instead of `VITE_API_HOST = https://docsapi.arc53.com` use `VITE_API_HOST=http://localhost:5001`
 3. Run the app
 4. `npm run dev`
 
diff --git a/application/wsgi.py b/application/wsgi.py
index 11e7de6d..05ee157f 100644
--- a/application/wsgi.py
+++ b/application/wsgi.py
@@ -1,4 +1,4 @@
 from app import app
 
 if __name__ == "__main__":
-    app.run()
\ No newline at end of file
+    app.run(debug=True, port=5001)
\ No newline at end of file
diff --git a/docker-compose-dev.yaml b/docker-compose-dev.yaml
new file mode 100644
index 00000000..f68e4e07
--- /dev/null
+++ b/docker-compose-dev.yaml
@@ -0,0 +1,20 @@
+version: "3.9"
+
+services:
+
+  redis:
+    image: redis:6-alpine
+    ports:
+      - 6379:6379
+
+  mongo:
+    image: mongo:6
+    ports:
+      - 27017:27017
+    volumes:
+      - mongodb_data_container:/data/db
+
+
+
+volumes:
+  mongodb_data_container:
\ No newline at end of file
diff --git a/frontend/.env.development b/frontend/.env.development
index 701f5bac..1b37f204 100644
--- a/frontend/.env.development
+++ b/frontend/.env.development
@@ -1,2 +1,2 @@
 # Please put appropriate value
-VITE_API_HOST = http://localhost:5001
\ No newline at end of file
+VITE_API_HOST=http://localhost:5001
\ No newline at end of file