diff --git a/docs/README.md b/docs/README.md
index ea9162a..df60f81 100644
--- a/docs/README.md
+++ b/docs/README.md
@@ -30,7 +30,7 @@ Options:
 
 ```
 
-Running this command will generate
+Running this command will generate the following project structure.
 
 ```
 📦<project_name>
@@ -57,3 +57,75 @@ Running this command will generate
  ┗ 📜requirements.txt
 ```
 
+Let's go through these one by one.
+
+### .git
+
+The project is automatically initialised with git by the `m4g init` command.
+If you don't want to use git you can run `m4g init <name> --without git`.
+
+### .venv
+
+To promote isolation of Python dependencies, the project is initialized with a virtual environment by default.
+
+### api/routers/hello.py
+
+This file defines a basic example router, which is imported and mapped in `main.py`.
+
+### db/engine/async_session.py
+
+This file defines the `async_session` function, which can be used to asynchronously connect to a database.
+
+### db/entities/entity_base.py
+
+This is the automatically generated base class that all database entities will inherit from.
+SQLAlchemy requires a base entity class to properly function.
+
+### db/entities/versions
+
+This is where the generated database migrations will be kept.
+
+### db/README
+
+This README file is automatically generated by the alembic init command.
+
+### db/env.py
+
+This is the database environment file that is used by alembic to interact with the database.
+If you take a close look at the imports, you'll see that the file has been modified to include the entity metadata,
+i.e. `EntityBase.metadata` and you should also notice that the `DbSettings` class is used to get the connectionstring.
+Any time you generate a new database entity or create a many-to-many relation between two entities, this file will also
+be modified.
+
+### db/script.py.mako
+
+This file is automatically generated by the alembic init command.
+
+### db/settings.py
+
+This file defines a class that is responsible for retrieving the connectionstring.
+
+### .gitignore
+
+The default .gitignore file/
+
+### alembic.ini
+
+The alembic ini file
+
+### db.docker-compose.yml
+
+A docker compose file for running a database locally.
+
+### m4g.json
+
+The m4g config file, this file contains some configs that are used by the CLI, 
+for example the ports to map to the API and database.
+
+### main.py
+
+The entrypoint for the application.
+
+### requirements.txt
+
+The requirements file containing the Python dependencies.