diff --git a/Dockerfile b/Dockerfile
index 49434ff..7276c32 100644
--- a/Dockerfile
+++ b/Dockerfile
@@ -1,15 +1,22 @@
 FROM python:3
 
+# Download precompiled ttyd binary from GitHub releases
+RUN apt-get update && \
+    apt-get install -y wget && \
+    wget https://github.com/tsl0922/ttyd/releases/download/1.6.3/ttyd.x86_64 -O /usr/bin/ttyd && \
+    chmod +x /usr/bin/ttyd && \
+    apt-get remove -y wget && \
+    apt-get autoremove -y && \
+    rm -rf /var/lib/apt/lists/*
+
 WORKDIR /usr/src/app
-
-COPY requirements.txt ./
-RUN pip install --no-cache-dir -r requirements.txt
-
 COPY . .
-
+RUN pip install --no-cache-dir -r requirements.txt
 RUN python -m venv pilot-env
-RUN source pilot-env/bin/activate
-RUN pip install -r requirements.txt
-RUN python ./pilot/db_init.py
+RUN /bin/bash -c "source pilot-env/bin/activate"
 
-CMD [ "python", "./pilot/main.py" ]
+WORKDIR /usr/src/app/pilot
+RUN pip install -r requirements.txt
+
+EXPOSE 7681
+CMD ["ttyd", "bash"]
\ No newline at end of file
diff --git a/README.md b/README.md
index 2c43b00..94bf04b 100644
--- a/README.md
+++ b/README.md
@@ -64,6 +64,15 @@ All generated code will be stored in the folder `workspace` inside the folder na
 **IMPORTANT: To run GPT Pilot, you need to have PostgreSQL set up on your machine**
 <br>
 
+# 🐳 How to start gpt-pilot in docker?
+1. `git clone https://github.com/Pythagora-io/gpt-pilot.git` (clone the repo)
+2. Update the `docker-compose.yml` environment variables
+3. run `docker compose build`. this will build a gpt-pilot container for you.
+4. run `docker compose up`.
+5. access web terminal on `port 7681`
+
+This will start two containers, one being a new image built by the `Dockerfile` and a postgres database. The new image also has (ttyd)[https://github.com/tsl0922/ttyd] installed so you can easily interact with gpt-pilot.
+
 # 🧑‍💻️ Other arguments
 - continue working on an existing app
 ```bash
diff --git a/docker-compose.yml b/docker-compose.yml
index b8a54d6..6347f7f 100644
--- a/docker-compose.yml
+++ b/docker-compose.yml
@@ -2,33 +2,39 @@ version: '3'
 services:
     gpt-pilot:
         environment:
+            #OPENAI or AZURE
             - ENDPOINT=OPENAI
             - OPENAI_API_KEY=
+            # - AZURE_API_KEY=
+            # - AZURE_ENDPOINT=
+            #In case of Azure endpoint, change this to your deployed model name
             - MODEL_NAME=gpt-4
             - MAX_TOKENS=8192
-            - DB_NAME=gpt-pilot
+            - DATABASE_TYPE=postgres
+            - DB_NAME=pilot
             - DB_HOST=postgres
             - DB_PORT=5432
-            - DB_USER=gpt-pilot
-            - DB_PASSWORD=gpt-pilot
+            - DB_USER=pilot
+            - DB_PASSWORD=pilot
         build:
             context: .
             dockerfile: Dockerfile
-    pgadmin:
-        container_name: pgadmin4_container
-        image: dpage/pgadmin4
-        restart: always
-        environment:
-            PGADMIN_DEFAULT_EMAIL: admin@admin.com
-            PGADMIN_DEFAULT_PASSWORD: gpt-pilot
         ports:
-            - "5050:80"
+        - "7681:7681"
+        depends_on:
+            postgres:
+                condition: service_healthy
     postgres:
         image: postgres
         restart: always
         environment:
-            POSTGRES_USER: gpt-pilot
-            POSTGRES_PASSWORD: gpt-pilot
-            POSTGRES_DB: gpt-pilot
+            POSTGRES_USER: pilot
+            POSTGRES_PASSWORD: pilot
+            POSTGRES_DB: pilot
         ports:
         - "5432:5432"
+        healthcheck:
+            test: ["CMD-SHELL", "pg_isready -U user"]
+            interval: 30s
+            timeout: 10s
+            retries: 3