diff --git a/.github/workflows/test.yml b/.github/workflows/test.yml
index 799a1b996..d26a10fa5 100644
--- a/.github/workflows/test.yml
+++ b/.github/workflows/test.yml
@@ -91,3 +91,18 @@ jobs:
         run: |
           source .venv/bin/activate
           ./test/${{matrix.test}}
+  test-without-mk:
+    runs-on: ubuntu-latest
+    strategy:
+      matrix:
+        test:
+          - graph_test.py
+    steps:
+      - uses: actions/checkout@v4
+      - uses: eifinger/setup-uv@v1
+      - name: Install project
+        run: uv sync --all-extras --dev
+      - name: Run tests
+        run: |
+          source .venv/bin/activate
+          ./test/${{matrix.test}}
diff --git a/pyproject.toml b/pyproject.toml
index cb9f39384..2b1849084 100644
--- a/pyproject.toml
+++ b/pyproject.toml
@@ -19,6 +19,7 @@ dependencies = [
     "rich==13.7.1",
     "tabulate==0.9.0",
     "PyYAML==6.0.2",
+    "pexpect==4.9.0",
 ]
 
 [project.scripts]
diff --git a/src/warnet/graph.py b/src/warnet/graph.py
index 1c91e1db2..34b98960d 100644
--- a/src/warnet/graph.py
+++ b/src/warnet/graph.py
@@ -1,6 +1,13 @@
+import os
+import random
+from importlib.resources import files
 from pathlib import Path
 
 import click
+import inquirer
+import yaml
+
+from .constants import DEFAULT_TAG, SUPPORTED_TAGS
 
 
 @click.group(name="graph", hidden=True)
@@ -17,3 +24,188 @@ def import_json(infile: Path, outfile: Path, cb: str, ln_image: str):
     Returns XML file as string with or without --outfile option.
     """
     raise Exception("Not Implemented")
+
+
+def custom_graph(
+    num_nodes: int,
+    num_connections: int,
+    version: str,
+    datadir: Path,
+    fork_observer: bool,
+    fork_obs_query_interval: int,
+):
+    datadir.mkdir(parents=False, exist_ok=False)
+    # Generate network.yaml
+    nodes = []
+    connections = set()
+
+    for i in range(num_nodes):
+        node = {"name": f"tank-{i:04d}", "connect": [], "image": {"tag": version}}
+
+        # Add round-robin connection
+        next_node = (i + 1) % num_nodes
+        node["connect"].append(f"tank-{next_node:04d}")
+        connections.add((i, next_node))
+
+        # Add random connections
+        available_nodes = list(range(num_nodes))
+        available_nodes.remove(i)
+        if next_node in available_nodes:
+            available_nodes.remove(next_node)
+
+        for _ in range(min(num_connections - 1, len(available_nodes))):
+            random_node = random.choice(available_nodes)
+            # Avoid circular loops of A -> B -> A
+            if (random_node, i) not in connections:
+                node["connect"].append(f"tank-{random_node:04d}")
+                connections.add((i, random_node))
+                available_nodes.remove(random_node)
+
+        nodes.append(node)
+
+    network_yaml_data = {"nodes": nodes}
+    network_yaml_data["fork_observer"] = {
+        "enabled": fork_observer,
+        "configQueryInterval": fork_obs_query_interval,
+    }
+
+    with open(os.path.join(datadir, "network.yaml"), "w") as f:
+        yaml.dump(network_yaml_data, f, default_flow_style=False)
+
+    # Generate node-defaults.yaml
+    default_yaml_path = files("resources.networks").joinpath("node-defaults.yaml")
+    with open(str(default_yaml_path)) as f:
+        defaults_yaml_content = f.read()
+
+    with open(os.path.join(datadir, "node-defaults.yaml"), "w") as f:
+        f.write(defaults_yaml_content)
+
+    click.echo(
+        f"Project '{datadir}' has been created with 'network.yaml' and 'node-defaults.yaml'."
+    )
+
+
+def inquirer_create_network(project_path: Path):
+    # Custom network configuration
+    questions = [
+        inquirer.Text(
+            "network_name",
+            message=click.style("Enter your network name", fg="blue", bold=True),
+            validate=lambda _, x: len(x) > 0,
+        ),
+        inquirer.List(
+            "nodes",
+            message=click.style("How many nodes would you like?", fg="blue", bold=True),
+            choices=["8", "12", "20", "50", "other"],
+            default="12",
+        ),
+        inquirer.List(
+            "connections",
+            message=click.style(
+                "How many connections would you like each node to have?",
+                fg="blue",
+                bold=True,
+            ),
+            choices=["0", "1", "2", "8", "12", "other"],
+            default="8",
+        ),
+        inquirer.List(
+            "version",
+            message=click.style(
+                "Which version would you like nodes to run by default?", fg="blue", bold=True
+            ),
+            choices=SUPPORTED_TAGS,
+            default=DEFAULT_TAG,
+        ),
+    ]
+
+    net_answers = inquirer.prompt(questions)
+    if net_answers is None:
+        click.secho("Setup cancelled by user.", fg="yellow")
+        return False
+
+    if net_answers["nodes"] == "other":
+        custom_nodes = inquirer.prompt(
+            [
+                inquirer.Text(
+                    "nodes",
+                    message=click.style("Enter the number of nodes", fg="blue", bold=True),
+                    validate=lambda _, x: int(x) > 0,
+                )
+            ]
+        )
+        if custom_nodes is None:
+            click.secho("Setup cancelled by user.", fg="yellow")
+            return False
+        net_answers["nodes"] = custom_nodes["nodes"]
+
+    if net_answers["connections"] == "other":
+        custom_connections = inquirer.prompt(
+            [
+                inquirer.Text(
+                    "connections",
+                    message=click.style("Enter the number of connections", fg="blue", bold=True),
+                    validate=lambda _, x: int(x) >= 0,
+                )
+            ]
+        )
+        if custom_connections is None:
+            click.secho("Setup cancelled by user.", fg="yellow")
+            return False
+        net_answers["connections"] = custom_connections["connections"]
+    fork_observer = click.prompt(
+        click.style(
+            "\nWould you like to enable fork-observer on the network?", fg="blue", bold=True
+        ),
+        type=bool,
+        default=True,
+    )
+    fork_observer_query_interval = 20
+    if fork_observer:
+        fork_observer_query_interval = click.prompt(
+            click.style(
+                "\nHow often would you like fork-observer to query node status (seconds)?",
+                fg="blue",
+                bold=True,
+            ),
+            type=int,
+            default=20,
+        )
+    custom_network_path = project_path / "networks" / net_answers["network_name"]
+    click.secho("\nGenerating custom network...", fg="yellow", bold=True)
+    custom_graph(
+        int(net_answers["nodes"]),
+        int(net_answers["connections"]),
+        net_answers["version"],
+        custom_network_path,
+        fork_observer,
+        fork_observer_query_interval,
+    )
+    return custom_network_path
+
+
+@click.command()
+def create():
+    """Create a new warnet network"""
+    try:
+        project_path = Path(os.getcwd())
+        # Check if the project has a networks directory
+        if not (project_path / "networks").exists():
+            click.secho(
+                "The current directory does not have a 'networks' directory. Please run 'warnet init' or 'warnet create' first.",
+                fg="red",
+                bold=True,
+            )
+            return False
+        custom_network_path = inquirer_create_network(project_path)
+        click.secho("\nNew network created successfully!", fg="green", bold=True)
+        click.echo("\nRun the following command to deploy this network:")
+        click.echo(f"warnet deploy {custom_network_path}")
+    except Exception as e:
+        click.echo(f"{e}\n\n")
+        click.secho(f"An error occurred while creating a new network:\n\n{e}\n\n", fg="red")
+        click.secho(
+            "Please report the above context to https://github.com/bitcoin-dev-project/warnet/issues",
+            fg="yellow",
+        )
+        return False
diff --git a/src/warnet/main.py b/src/warnet/main.py
index e39876adc..28b933ef2 100644
--- a/src/warnet/main.py
+++ b/src/warnet/main.py
@@ -4,7 +4,7 @@
 from .bitcoin import bitcoin
 from .control import down, logs, run, stop
 from .deploy import deploy
-from .graph import graph
+from .graph import create, graph
 from .image import image
 from .project import init, new, setup
 from .status import status
@@ -30,6 +30,7 @@ def cli():
 cli.add_command(setup)
 cli.add_command(status)
 cli.add_command(stop)
+cli.add_command(create)
 
 
 if __name__ == "__main__":
diff --git a/src/warnet/project.py b/src/warnet/project.py
index f30ef2721..fb5e03aab 100644
--- a/src/warnet/project.py
+++ b/src/warnet/project.py
@@ -13,7 +13,7 @@
 import inquirer
 import yaml
 
-from .constants import DEFAULT_TAG, SUPPORTED_TAGS
+from .graph import inquirer_create_network
 from .network import copy_network_defaults, copy_scenario_defaults
 
 
@@ -198,7 +198,7 @@ def check_installation(tool_info: ToolInfo) -> ToolStatus:
 
     print("")
     print("                 ╭───────────────────────────────────╮")
-    print("                 │  Welcome to the Warnet Quickstart │")
+    print("                 │  Welcome to Warnet setup          │")
     print("                 ╰───────────────────────────────────╯")
     print("")
     print("    Let's find out if your system has what it takes to run Warnet...")
@@ -229,12 +229,12 @@ def check_installation(tool_info: ToolInfo) -> ToolStatus:
                 check_results.append(check_installation(kubectl_info))
                 check_results.append(check_installation(helm_info))
         else:
-            click.secho("Please re-run Quickstart.", fg="yellow")
+            click.secho("Please re-run setup.", fg="yellow")
             sys.exit(1)
 
         if ToolStatus.Unsatisfied in check_results:
             click.secho(
-                "Please fix the installation issues above and try quickstart again.", fg="yellow"
+                "Please fix the installation issues above and try setup again.", fg="yellow"
             )
             sys.exit(1)
         else:
@@ -281,154 +281,36 @@ def new_internal(directory: Path, from_init=False):
         click.secho(f"Error: Directory {directory} already exists", fg="red")
         return
 
-    answers = {}
-
-    # Network name
-    network_name = inquirer.prompt(
-        [
-            inquirer.Text(
-                "network_name",
-                message=click.style("Choose a network name", fg="blue", bold=True),
-                validate=lambda _, x: len(x) > 0,
-            )
-        ]
-    )
-    if network_name is None:
-        click.secho("Setup cancelled by user.", fg="yellow")
-        return False
-    answers.update(network_name)
-
-    # Number of nodes
-    nodes_question = inquirer.prompt(
-        [
-            inquirer.List(
-                "nodes",
-                message=click.style(
-                    "How many nodes would you like in the network?", fg="blue", bold=True
-                ),
-                choices=["8", "12", "20", "50", "other"],
-                default="12",
-            )
-        ]
-    )
-    if nodes_question is None:
-        click.secho("Setup cancelled by user.", fg="yellow")
-        return False
-
-    if nodes_question["nodes"] == "other":
-        custom_nodes = inquirer.prompt(
-            [
-                inquirer.Text(
-                    "nodes",
-                    message=click.style("Enter the number of nodes", fg="blue", bold=True),
-                    validate=lambda _, x: int(x) > 0,
-                )
-            ]
-        )
-        if custom_nodes is None:
-            click.secho("Setup cancelled by user.", fg="yellow")
-            return False
-        answers["nodes"] = custom_nodes["nodes"]
-    else:
-        answers["nodes"] = nodes_question["nodes"]
-
-    # Number of connections
-    connections_question = inquirer.prompt(
-        [
-            inquirer.List(
-                "connections",
-                message=click.style(
-                    "How many connections would you like each node to have?",
-                    fg="blue",
-                    bold=True,
-                ),
-                choices=["0", "1", "2", "8", "12", "other"],
-                default="8",
-            )
-        ]
-    )
-    if connections_question is None:
-        click.secho("Setup cancelled by user.", fg="yellow")
-        return False
+    click.secho("\nCreating project structure...", fg="yellow", bold=True)
+    project_path = Path(os.path.expanduser(directory))
+    create_warnet_project(project_path)
 
-    if connections_question["connections"] == "other":
-        custom_connections = inquirer.prompt(
-            [
-                inquirer.Text(
-                    "connections",
-                    message=click.style("Enter the number of connections", fg="blue", bold=True),
-                    validate=lambda _, x: int(x) >= 0,
-                )
-            ]
-        )
-        if custom_connections is None:
-            click.secho("Setup cancelled by user.", fg="yellow")
-            return False
-        answers["connections"] = custom_connections["connections"]
-    else:
-        answers["connections"] = connections_question["connections"]
-
-    # Version
-    version_question = inquirer.prompt(
+    proj_answers = inquirer.prompt(
         [
-            inquirer.List(
-                "version",
+            inquirer.Confirm(
+                "custom_network",
                 message=click.style(
-                    "Which version would you like nodes to run by default?", fg="blue", bold=True
+                    "Do you want to create a custom network?", fg="blue", bold=True
                 ),
-                choices=SUPPORTED_TAGS,
-                default=DEFAULT_TAG,
-            )
+                default=True,
+            ),
         ]
     )
-    if version_question is None:
+    if proj_answers is None:
         click.secho("Setup cancelled by user.", fg="yellow")
         return False
-    answers.update(version_question)
-    fork_observer = click.prompt(
-        click.style(
-            "\nWould you like to enable fork-observer on the network?", fg="blue", bold=True
-        ),
-        type=bool,
-        default=True,
-    )
-    fork_observer_query_interval = 20
-    if fork_observer:
-        fork_observer_query_interval = click.prompt(
-            click.style(
-                "\nHow often would you like fork-observer to query node status (seconds)?",
-                fg="blue",
-                bold=True,
-            ),
-            type=int,
-            default=20,
-        )
-
-    click.secho("\nCreating project structure...", fg="yellow", bold=True)
-    project_path = Path(os.path.expanduser(directory))
-    create_warnet_project(project_path)
-
-    click.secho("\nGenerating custom network...", fg="yellow", bold=True)
-    custom_network_path = project_path / "networks" / answers["network_name"]
-    custom_graph(
-        int(answers["nodes"]),
-        int(answers["connections"]),
-        answers["version"],
-        custom_network_path,
-        fork_observer,
-        fork_observer_query_interval,
-    )
-    click.secho("\nSetup completed successfully!", fg="green", bold=True)
+    if proj_answers["custom_network"]:
+        click.secho("\nGenerating custom network...", fg="yellow", bold=True)
+        custom_network_path = inquirer_create_network(directory)
 
     click.echo(
         f"\nEdit the network files found in {custom_network_path} before deployment if you want to customise the network."
     )
-    if fork_observer:
-        click.echo(
-            "If you enabled fork-observer you must forward the port from the cluster to your local machine:\n"
-            "`kubectl port-forward fork-observer 2323`\n"
-            "fork-observer will then be available at web address: localhost:2323"
-        )
+    click.echo(
+        "If you enabled fork-observer you must forward the port from the cluster to your local machine:\n"
+        "`kubectl port-forward fork-observer 2323`\n"
+        "fork-observer will then be available at web address: localhost:2323"
+    )
 
     click.echo("\nWhen you're ready, run the following command to deploy this network:")
     click.echo(f"  warnet deploy {custom_network_path}")
@@ -438,17 +320,7 @@ def new_internal(directory: Path, from_init=False):
 def init():
     """Initialize a warnet project in the current directory"""
     current_dir = Path.cwd()
-
-    custom_project = click.prompt(
-        click.style("\nWould you like to create a custom network?", fg="blue", bold=True),
-        type=bool,
-        default=True,
-    )
-    if not custom_project:
-        create_warnet_project(current_dir, check_empty=True)
-        return 0
-    else:
-        new_internal(directory=current_dir, from_init=True)
+    new_internal(directory=current_dir, from_init=True)
 
 
 def custom_graph(
diff --git a/test/conf_test.py b/test/conf_test.py
index c6495ada6..bc717a732 100755
--- a/test/conf_test.py
+++ b/test/conf_test.py
@@ -20,7 +20,7 @@ def run_test(self):
             self.setup_network()
             self.check_uacomment()
         finally:
-            self.stop_server()
+            self.cleanup()
 
     def setup_network(self):
         self.log.info("Setting up network")
diff --git a/test/dag_connection_test.py b/test/dag_connection_test.py
index 195ae0e7e..258052fc4 100755
--- a/test/dag_connection_test.py
+++ b/test/dag_connection_test.py
@@ -16,7 +16,7 @@ def run_test(self):
             self.setup_network()
             self.run_connect_dag_scenario()
         finally:
-            self.stop_server()
+            self.cleanup()
 
     def setup_network(self):
         self.log.info("Setting up network")
diff --git a/test/graph_test.py b/test/graph_test.py
new file mode 100755
index 000000000..5cc3200a6
--- /dev/null
+++ b/test/graph_test.py
@@ -0,0 +1,48 @@
+#!/usr/bin/env python3
+
+import os
+import shutil
+
+import pexpect
+from test_base import TestBase
+
+NETWORKS_DIR = "networks"
+
+
+class GraphTest(TestBase):
+    def __init__(self):
+        super().__init__()
+
+    def run_test(self):
+        try:
+            self.directory_not_exist()
+            os.mkdir(NETWORKS_DIR)
+            self.directory_exists()
+
+        finally:
+            shutil.rmtree(NETWORKS_DIR) if os.path.exists(NETWORKS_DIR) else None
+
+    def directory_not_exist(self):
+        self.sut = pexpect.spawn("warnet create")
+        self.sut.expect("init", timeout=50)
+
+    def directory_exists(self):
+        self.sut = pexpect.spawn("warnet create")
+        self.sut.expect("name", timeout=10)
+        self.sut.sendline("ANewNetwork")
+        self.sut.expect("many", timeout=10)
+        self.sut.sendline("")
+        self.sut.expect("connections", timeout=10)
+        self.sut.sendline("")
+        self.sut.expect("version", timeout=10)
+        self.sut.sendline("")
+        self.sut.expect("enable fork-observer", timeout=10)
+        self.sut.sendline("")
+        self.sut.expect("seconds", timeout=10)
+        self.sut.sendline("")
+        self.sut.expect("successfully", timeout=50)
+
+
+if __name__ == "__main__":
+    test = GraphTest()
+    test.run_test()
diff --git a/test/ln_test.py b/test/ln_test.py
index 22a86d1ba..576846b6b 100755
--- a/test/ln_test.py
+++ b/test/ln_test.py
@@ -24,7 +24,7 @@ def run_test(self):
             self.test_ln_payment_2_to_0()
             self.test_simln()
         finally:
-            self.stop_server()
+            self.cleanup()
 
     def setup_network(self):
         self.log.info("Setting up network")
diff --git a/test/logging_test.py b/test/logging_test.py
index 5f547fb53..9b8c0f9f3 100755
--- a/test/logging_test.py
+++ b/test/logging_test.py
@@ -29,7 +29,7 @@ def run_test(self):
             if self.connect_logging_process is not None:
                 self.log.info("Terminating background connect_logging.sh process...")
                 self.connect_logging_process.terminate()
-            self.stop_server()
+            self.cleanup()
 
     def start_logging(self):
         self.log.info("Running install_logging.sh")
diff --git a/test/rpc_test.py b/test/rpc_test.py
index 9cc0ee336..ba466ea53 100755
--- a/test/rpc_test.py
+++ b/test/rpc_test.py
@@ -20,7 +20,7 @@ def run_test(self):
             self.test_message_exchange()
             self.test_address_manager()
         finally:
-            self.stop_server()
+            self.cleanup()
 
     def setup_network(self):
         self.log.info("Setting up network")
diff --git a/test/scenarios_test.py b/test/scenarios_test.py
index 30d9a3f7e..01521ff92 100755
--- a/test/scenarios_test.py
+++ b/test/scenarios_test.py
@@ -20,7 +20,7 @@ def run_test(self):
             self.setup_network()
             self.test_scenarios()
         finally:
-            self.stop_server()
+            self.cleanup()
 
     def setup_network(self):
         self.log.info("Setting up network")
diff --git a/test/services_test.py b/test/services_test.py
index ec6422765..59048d3ce 100755
--- a/test/services_test.py
+++ b/test/services_test.py
@@ -18,7 +18,7 @@ def run_test(self):
             self.setup_network()
             self.check_fork_observer()
         finally:
-            self.stop_server()
+            self.cleanup()
 
     def setup_network(self):
         self.log.info("Setting up network")
diff --git a/test/signet_test.py b/test/signet_test.py
index b550596fd..5307ec9d9 100755
--- a/test/signet_test.py
+++ b/test/signet_test.py
@@ -20,7 +20,7 @@ def run_test(self):
             self.setup_network()
             self.check_signet_miner()
         finally:
-            self.stop_server()
+            self.cleanup()
 
     def setup_network(self):
         self.log.info("Setting up network")
diff --git a/test/test_base.py b/test/test_base.py
index 582ca5c8f..3250ecd95 100644
--- a/test/test_base.py
+++ b/test/test_base.py
@@ -1,4 +1,3 @@
-import atexit
 import json
 import logging
 import logging.config
@@ -21,7 +20,6 @@ class TestBase:
     def __init__(self):
         self.setup_environment()
         self.setup_logging()
-        atexit.register(self.cleanup)
         self.log_expected_msgs: None | [str] = None
         self.log_unexpected_msgs: None | [str] = None
         self.log_msg_assertions_passed = False
@@ -80,9 +78,6 @@ def output_reader(self, pipe, func):
             if line:
                 func(line)
 
-    def stop_server(self):
-        self.cleanup()
-
     def wait_for_predicate(self, predicate, timeout=5 * 60, interval=5):
         self.log.debug(f"Waiting for predicate with timeout {timeout}s and interval {interval}s")
         while timeout > 0: