diff --git a/Backend/app/__init__.py b/Backend/app/__init__.py
new file mode 100644
index 0000000..e69de29
diff --git a/Backend/app/db/__init__.py b/Backend/app/db/__init__.py
new file mode 100644
index 0000000..e69de29
diff --git a/README.md b/README.md
index 07d283d..faeb318 100644
--- a/README.md
+++ b/README.md
@@ -173,11 +173,14 @@ cd app
 npm run dev
 ```
 
-2. Start the backend server (from the backend/app directory):
+2. Start the backend server (from the Backend directory):
 ```sh
-uvicorn main:app --reload
+cd Backend
+uvicorn app.main:app --reload
 ```
 
+**Important**: Do not run the server from inside the `app/` directory as this will cause relative import errors. The application must be executed from the project root so that `app` is treated as a proper Python package.
+
 ## Data Population
 
 To populate the database with initial data, follow these steps: