diff --git a/packages/@n8n/create-node/README.md b/packages/@n8n/create-node/README.md
index f2918e668f..9f02fec7cf 100644
--- a/packages/@n8n/create-node/README.md
+++ b/packages/@n8n/create-node/README.md
@@ -1,13 +1,297 @@
 # @n8n/create-node
 
-Scaffold a new community n8n node
+A powerful scaffolding tool to quickly create custom n8n community nodes with best practices built-in.
 
-## Usage
+## 🚀 Quick Start
+
+Create a new n8n node in seconds:
 
 ```bash
-npm create @n8n/node
-# or
 pnpm create @n8n/node
-# or
-yarn create @n8n/node
 ```
+
+Follow the interactive prompts to configure your node, or specify options directly:
+
+```bash
+pnpm create @n8n/node my-awesome-node --template declarative/custom
+```
+
+## 📋 Command Line Options
+
+```bash
+pnpm create @n8n/node [NAME] [OPTIONS]
+```
+
+### Options
+
+| Flag | Description |
+|------|-------------|
+| `-f, --force` | Overwrite destination folder if it already exists |
+| `--skip-install` | Skip automatic dependency installation |
+| `--template <template>` | Specify which template to use |
+
+### Available Templates
+
+- **`declarative/custom`** - Start with a minimal declarative node structure
+- **`declarative/github-issues`** - GitHub Issues integration example
+- **`programmatic/example`** - Full programmatic node with advanced features
+
+## 🎯 Interactive Setup
+
+The CLI will guide you through setting up your node:
+
+```
+$ pnpm create @n8n/node
+┌ @n8n/create-node
+│
+◇ What is your node called?
+│ my-awesome-api-node
+│
+◇ What kind of node are you building?
+│ HTTP API
+│
+◇ What template do you want to use?
+│ Start from scratch
+│
+◇ What's the base URL of the API?
+│ https://api.example.com/v1
+│
+◇ What type of authentication does your API use?
+│ API Key
+│
+◇ Files copied ✓
+│
+◇ Dependencies installed ✓
+│
+◇ Next Steps ─────────────────────────────────────────────────────────────────────╮
+│                                                                                  │
+│  cd ./my-awesome-api-node && pnpm run dev                                       │
+│                                                                                  │
+│  📚 Documentation: https://docs.n8n.io/integrations/creating-nodes/            │
+│  💬 Community: https://community.n8n.io                                        │
+│                                                                                  │
+├──────────────────────────────────────────────────────────────────────────────────╯
+│
+└ Created ./my-awesome-api-node ✨
+```
+
+## 🛠️ Development Workflow
+
+### 1. Navigate to your project
+
+```bash
+cd ./my-awesome-api-node
+```
+
+### 2. Start development server
+
+```bash
+pnpm dev
+```
+
+This command:
+- Starts n8n in development mode on `http://localhost:5678`
+- Enables hot reload for your node changes
+- Automatically includes your node in the n8n instance
+- Links your node to `~/.n8n-node-cli/.n8n/custom` for development
+- Watches for file changes and rebuilds automatically
+
+### 3. Test your node
+
+- Open n8n at `http://localhost:5678`
+- Create a new workflow
+- Find your node in the node panel
+- Test parameters and functionality in real-time
+
+## 📦 Generated Project Commands
+
+Your generated project comes with these convenient npm scripts:
+
+### Development
+```bash
+pnpm dev
+# Runs: n8n-node dev
+```
+
+### Building
+```bash
+pnpm build
+# Runs: n8n-node build
+```
+
+### Linting
+```bash
+pnpm lint
+# Runs: n8n-node lint
+
+pnpm lint:fix
+# Runs: n8n-node lint --fix
+```
+
+### Publishing
+```bash
+pnpm run release
+# Runs: n8n-node release
+```
+
+## 📦 Build & Deploy
+
+### Build for production
+
+```bash
+pnpm build
+```
+
+Generates:
+- Compiled TypeScript code
+- Bundled node package
+- Optimized assets and icons
+- Ready-to-publish package
+
+### Quality checks
+
+```bash
+pnpm lint
+```
+
+Validates:
+- Code style and formatting
+- n8n node conventions
+- Common integration issues
+- Cloud publication readiness
+
+Fix issues automatically:
+
+```bash
+pnpm lint:fix
+```
+
+### Publish your node
+
+```bash
+pnpm run release
+```
+
+Runs [release-it](https://github.com/release-it/release-it) to handle the complete release process:
+- Ensures working directory is clean
+- Verifies you're on the main git branch
+- Increments your package version
+- Runs build and lint checks
+- Updates changelog
+- Creates git tag with version bump
+- Creates GitHub release with changelog
+- Publishes to npm
+
+## 📁 Project Structure
+
+Your generated project includes:
+
+```
+my-awesome-api-node/
+├── src/
+│   ├── nodes/
+│   │   └── MyAwesomeApi/
+│   │       ├── MyAwesomeApi.node.ts    # Main node logic
+│   │       └── MyAwesomeApi.node.json  # Node metadata
+│   └── credentials/
+│       └── MyAwesomeApiAuth.credentials.ts
+├── package.json
+├── tsconfig.json
+└── README.md
+```
+
+The CLI expects your project to follow this structure for proper building and development.
+
+## ⚙️ Configuration
+
+The CLI reads configuration from your `package.json`:
+
+```json
+{
+  "name": "n8n-nodes-my-awesome-node",
+  "n8n": {
+    "n8nNodesApiVersion": 1,
+    "nodes": [
+      "dist/nodes/MyAwesomeApi/MyAwesomeApi.node.js"
+    ],
+    "credentials": [
+      "dist/credentials/MyAwesomeApiAuth.credentials.js"
+    ]
+  }
+}
+```
+
+## 🎨 Node Types
+
+Choose the right template for your use case:
+
+| Template | Best For | Features |
+|----------|----------|----------|
+| **Declarative** | REST APIs, simple integrations | JSON-based configuration, automatic UI generation |
+| **Programmatic** | Complex logic, custom operations | Full TypeScript control, advanced error handling |
+
+## 🐛 Troubleshooting
+
+### Common Issues
+
+**Node not appearing in n8n:**
+```bash
+# Clear n8n node cli cache and restart
+rm -rf ~/.n8n-node-cli/.n8n/custom
+pnpm dev
+```
+
+**TypeScript errors:**
+```bash
+# Reinstall dependencies
+rm -rf node_modules pnpm-lock.yaml
+pnpm install
+```
+
+**Build failures:**
+```bash
+# Check for linting issues first
+pnpm lint --fix
+pnpm build
+```
+
+**Development server issues:**
+```bash
+# Clear cache and restart development server
+rm -rf ~/.n8n-node-cli/.n8n/custom
+pnpm dev
+```
+
+## 🔧 Advanced Usage
+
+### Using External n8n Instance
+
+If you prefer to use your own n8n installation:
+
+```bash
+pnpm dev --external-n8n
+```
+
+### Custom User Folder
+
+Specify a custom location for n8n user data:
+
+```bash
+pnpm dev --custom-user-folder /path/to/custom/folder
+```
+
+## 📚 Resources
+
+- **[Node Development Guide](https://docs.n8n.io/integrations/creating-nodes/)** - Complete documentation
+- **[API Reference](https://docs.n8n.io/integrations/creating-nodes/build/reference/)** - Technical specifications
+- **[Community Forum](https://community.n8n.io)** - Get help and share your nodes
+- **[Node Examples](https://github.com/n8n-io/n8n/tree/master/packages/nodes-base/nodes)** - Official node implementations
+- **[@n8n/node-cli](https://www.npmjs.com/package/@n8n/node-cli)** - The underlying CLI tool
+
+## 🤝 Contributing
+
+Found a bug or want to contribute? Check out the [n8n repository](https://github.com/n8n-io/n8n) and join our community!
+
+---
+
+**Happy node building! 🎉**
diff --git a/packages/@n8n/create-node/package.json b/packages/@n8n/create-node/package.json
index 498da0cf77..8579af6260 100644
--- a/packages/@n8n/create-node/package.json
+++ b/packages/@n8n/create-node/package.json
@@ -1,6 +1,6 @@
 {
   "name": "@n8n/create-node",
-  "version": "0.2.0",
+  "version": "0.3.0",
   "description": "Official CLI to create new community nodes for n8n",
   "bin": {
     "create-n8n-node": "bin/create.js"
diff --git a/packages/@n8n/node-cli/README.md b/packages/@n8n/node-cli/README.md
index f5d8b40e44..350e30c7dd 100644
--- a/packages/@n8n/node-cli/README.md
+++ b/packages/@n8n/node-cli/README.md
@@ -1,47 +1,272 @@
 # @n8n/node-cli
 
-Official CLI for developing community nodes for [n8n](https://n8n.io).
+Official CLI for developing community nodes for n8n.
 
-## Features
+## 🚀 Getting Started
 
-- 🔧 Scaffold new n8n nodes
-- 💻 Develop n8n nodes with live preview
-
-## Installation
-
-Run directly via `npx`:
+**To create a new node**, run:
 
 ```bash
-npx n8n-node new
+pnpm create @n8n/node
 ```
 
-Or install globally:
+This will generate a project with `pnpm` scripts that use this CLI under the hood.
+
+## 📦 Generated Project Commands
+
+After creating your node with `pnpm create @n8n/node`, you'll use these commands in your project:
+
+### Development
+```bash
+pnpm dev
+# Runs: n8n-node dev
+```
+
+### Building
+```bash
+pnpm build
+# Runs: n8n-node build
+```
+
+### Linting
+```bash
+pnpm lint
+# Runs: n8n-node lint
+
+pnpm lint:fix
+# Runs: n8n-node lint --fix
+```
+
+### Publishing
+```bash
+pnpm run release
+# Runs: n8n-node release
+```
+
+## 🛠️ CLI Reference
+
+> **Note:** These commands are typically wrapped by `pnpm` scripts in generated projects.
 
 ```bash
-npm install -g @n8n/node-cli
+n8n-node [COMMAND] [OPTIONS]
+```
+
+### Commands
+
+#### `n8n-node new`
+
+Create a new node project.
+
+```bash
+n8n-node new [NAME] [OPTIONS]
+```
+
+**Flags:**
+| Flag | Description |
+|------|-------------|
+| `-f, --force` | Overwrite destination folder if it already exists |
+| `--skip-install` | Skip installing dependencies |
+| `--template <template>` | Choose template: `declarative/custom`, `declarative/github-issues`, `programmatic/example` |
+
+**Examples:**
+```bash
 n8n-node new
+n8n-node new n8n-nodes-my-app --skip-install
+n8n-node new n8n-nodes-my-app --force
+n8n-node new n8n-nodes-my-app --template declarative/custom
 ```
 
-## Commands
+> **Note:** This command is used internally by `pnpm create @n8n/node` to provide the interactive scaffolding experience.
 
-## Create a node
+#### `n8n-node dev`
+
+Run n8n with your node in development mode with hot reload.
 
 ```bash
-n8n-node new   # Scaffold a new node
+n8n-node dev [--external-n8n] [--custom-user-folder <value>]
 ```
 
-## Build a node
+**Flags:**
+| Flag | Description |
+|------|-------------|
+| `--external-n8n` | Run n8n externally instead of in a subprocess |
+| `--custom-user-folder <path>` | Folder to use to store user-specific n8n data (default: `~/.n8n-node-cli`) |
+
+This command:
+- Starts n8n on `http://localhost:5678` (unless using `--external-n8n`)
+- Links your node to n8n's custom nodes directory (`~/.n8n-node-cli/.n8n/custom`)
+- Rebuilds on file changes for live preview
+- Watches for changes in your `src/` directory
+
+**Examples:**
+```bash
+# Standard development with built-in n8n
+n8n-node dev
+
+# Use external n8n instance
+n8n-node dev --external-n8n
+
+# Custom n8n extensions directory
+n8n-node dev --custom-user-folder /home/user
+```
+
+#### `n8n-node build`
+
+Compile your node and prepare it for distribution.
 
 ```bash
-n8n-node build   # Build your node; should be ran in the root of your custom node
+n8n-node build
 ```
 
-## Develop a node
+**Flags:** None
+
+Generates:
+- Compiled TypeScript code
+- Bundled node package
+- Optimized assets and icons
+- Ready-to-publish package in `dist/`
+
+#### `n8n-node lint`
+
+Lint the node in the current directory.
 
 ```bash
-n8n-node dev  # Develop your node with hot reloading; should be ran in the root of your custom node
+n8n-node lint [--fix]
 ```
 
-## Related
+**Flags:**
+| Flag | Description |
+|------|-------------|
+| `--fix` | Automatically fix problems |
 
-`@n8n/create-node`: Lightweight wrapper to support `npm create @n8n/node`
+**Examples:**
+```bash
+# Check for linting issues
+n8n-node lint
+
+# Automatically fix fixable issues
+n8n-node lint --fix
+```
+
+#### `n8n-node release`
+
+Publish your community node package to npm.
+
+```bash
+n8n-node release
+```
+
+**Flags:** None
+
+This command handles the complete release process using [release-it](https://github.com/release-it/release-it):
+- Builds the node
+- Runs linting checks
+- Updates changelog
+- Creates git tags
+- Creates GitHub releases
+- Publishes to npm
+
+## 🔄 Development Workflow
+
+The recommended workflow using the scaffolding tool:
+
+1. **Create your node**:
+   ```bash
+   pnpm create @n8n/node my-awesome-node
+   cd my-awesome-node
+   ```
+
+2. **Start development**:
+   ```bash
+   pnpm dev
+   ```
+   - Starts n8n on `http://localhost:5678`
+   - Links your node automatically
+   - Rebuilds on file changes
+
+3. **Test your node** at `http://localhost:5678`
+
+4. **Lint your code**:
+   ```bash
+   pnpm lint
+   ```
+
+5. **Build for production**:
+   ```bash
+   pnpm build
+   ```
+
+6. **Publish**:
+   ```bash
+   pnpm run release
+   ```
+
+## 📁 Project Structure
+
+The CLI expects your project to follow this structure:
+
+```
+my-node/
+├── src/
+│   ├── nodes/
+│   │   └── MyNode/
+│   │       ├── MyNode.node.ts
+│   │       └── MyNode.node.json
+│   └── credentials/
+├── package.json
+└── tsconfig.json
+```
+
+## ⚙️ Configuration
+
+The CLI reads configuration from your `package.json`:
+
+```json
+{
+  "name": "n8n-nodes-my-awesome-node",
+  "n8n": {
+    "n8nNodesApiVersion": 1,
+    "nodes": [
+      "dist/nodes/MyNode/MyNode.node.js"
+    ],
+    "credentials": [
+      "dist/credentials/MyNodeAuth.credentials.js"
+    ]
+  }
+}
+```
+
+## 🐛 Troubleshooting
+
+### Development server issues
+```bash
+# Clear n8n custom nodes cache
+rm -rf ~/.n8n-node-cli/.n8n/custom
+
+# Restart development server
+pnpm dev
+```
+
+### Build failures
+```bash
+# Run linting first
+pnpm lint
+
+# Clean build
+pnpm build
+```
+
+## 📚 Resources
+
+- **[Creating Nodes Guide](https://docs.n8n.io/integrations/creating-nodes/)** - Complete documentation
+- **[Node Development Reference](https://docs.n8n.io/integrations/creating-nodes/build/reference/)** - API specifications
+- **[Community Forum](https://community.n8n.io)** - Get help and showcase your nodes
+- **[@n8n/create-node](https://www.npmjs.com/package/@n8n/create-node)** - Recommended scaffolding tool
+
+## 🤝 Contributing
+
+Found an issue? Contribute to the [n8n repository](https://github.com/n8n-io/n8n) on GitHub.
+
+---
+
+**Happy node development! 🎉**
diff --git a/packages/@n8n/node-cli/package.json b/packages/@n8n/node-cli/package.json
index b72d5d8fe7..3bc02cf439 100644
--- a/packages/@n8n/node-cli/package.json
+++ b/packages/@n8n/node-cli/package.json
@@ -1,6 +1,6 @@
 {
   "name": "@n8n/node-cli",
-  "version": "0.2.0",
+  "version": "0.3.0",
   "description": "Official CLI for developing community nodes for n8n",
   "bin": {
     "n8n-node": "bin/n8n-node.mjs"
diff --git a/packages/@n8n/node-cli/src/commands/build.ts b/packages/@n8n/node-cli/src/commands/build.ts
index f47e608c0d..67447b74d7 100644
--- a/packages/@n8n/node-cli/src/commands/build.ts
+++ b/packages/@n8n/node-cli/src/commands/build.ts
@@ -1,12 +1,12 @@
 import { cancel, intro, log, outro, spinner } from '@clack/prompts';
 import { Command } from '@oclif/core';
-import { spawn } from 'child_process';
 import glob from 'fast-glob';
 import { cp, mkdir } from 'node:fs/promises';
 import path from 'node:path';
 import picocolors from 'picocolors';
 import { rimraf } from 'rimraf';
 
+import { runCommand } from '../utils/child-process';
 import { ensureN8nPackage } from '../utils/prompts';
 
 export default class Build extends Command {
@@ -44,42 +44,17 @@ export default class Build extends Command {
 }
 
 async function runTscBuild(): Promise<void> {
-	return await new Promise((resolve, reject) => {
-		const child = spawn('tsc', [], {
-			stdio: ['ignore', 'pipe', 'pipe'],
-			shell: true,
-		});
-
-		let stderr = '';
-		let stdout = '';
-
-		child.stdout.on('data', (chunk: Buffer) => {
-			stdout += chunk.toString();
-		});
-
-		child.stderr.on('data', (chunk: Buffer) => {
-			stderr += chunk.toString();
-		});
-
-		child.on('error', (error) => {
-			log.error(`${stdout.trim()}\n${stderr.trim()}`);
-			reject(error);
-		});
-
-		child.on('close', (code) => {
-			if (code === 0) {
-				resolve();
-			} else {
-				log.error(`${stdout.trim()}\n${stderr.trim()}`);
-				reject(new Error(`tsc exited with code ${code}`));
-			}
-		});
+	return await runCommand('tsc', [], {
+		context: 'local',
+		printOutput: ({ stdout, stderr }) => {
+			log.error(stdout.concat(stderr).toString());
+		},
 	});
 }
 
 export async function copyStaticFiles() {
 	const staticFiles = glob.sync(['**/*.{png,svg}', '**/__schema__/**/*.json'], {
-		ignore: ['dist'],
+		ignore: ['dist', 'node_modules'],
 	});
 
 	return await Promise.all(
diff --git a/packages/@n8n/node-cli/src/commands/dev/index.ts b/packages/@n8n/node-cli/src/commands/dev/index.ts
index 1d01a0839e..cbf98ca869 100644
--- a/packages/@n8n/node-cli/src/commands/dev/index.ts
+++ b/packages/@n8n/node-cli/src/commands/dev/index.ts
@@ -1,14 +1,17 @@
+import { intro, outro, spinner } from '@clack/prompts';
 import { Command, Flags } from '@oclif/core';
 import os from 'node:os';
 import path from 'node:path';
 import picocolors from 'picocolors';
+import { rimraf } from 'rimraf';
 
 import { ensureFolder } from '../../utils/filesystem';
 import { detectPackageManager } from '../../utils/package-manager';
-import { copyStaticFiles } from '../build';
-import { commands, readPackageName } from './utils';
 import { ensureN8nPackage, onCancel } from '../../utils/prompts';
 import { validateNodeName } from '../../utils/validation';
+import { copyStaticFiles } from '../build';
+import { commands, readPackageName } from './utils';
+import { runCommand } from '../../utils/child-process';
 
 export default class Dev extends Command {
 	static override description = 'Run n8n with the node and rebuild on changes for live preview';
@@ -21,58 +24,70 @@ export default class Dev extends Command {
 		'external-n8n': Flags.boolean({
 			default: false,
 			description:
-				'By default n8n-node dev will run n8n in a sub process. Enable this option if you would like to run n8n elsewhere.',
+				'By default n8n-node dev will run n8n in a sub process. Enable this option if you would like to run n8n elsewhere. Make sure to set N8N_DEV_RELOAD to true in that case.',
 		}),
-		'custom-nodes-dir': Flags.directory({
-			default: path.join(os.homedir(), '.n8n/custom'),
+		'custom-user-folder': Flags.directory({
+			default: path.join(os.homedir(), '.n8n-node-cli'),
 			description:
-				'Where to link your custom node. By default it will link to ~/.n8n/custom. You probably want to enable this option if you run n8n with a custom N8N_CUSTOM_EXTENSIONS env variable.',
+				'Folder to use to store user-specific n8n data. By default it will use ~/.n8n-node-cli. You probably want to enable this option if you run n8n with a custom N8N_CUSTOM_EXTENSIONS env variable.',
 		}),
 	};
 
 	async run(): Promise<void> {
 		const { flags } = await this.parse(Dev);
 
-		const packageManager = detectPackageManager() ?? 'npm';
-		const { isN8nInstalled, runCommand, runPersistentCommand } = commands();
+		const packageManager = (await detectPackageManager()) ?? 'npm';
+		const { runPersistentCommand } = commands();
+
+		intro(picocolors.inverse(' n8n-node dev '));
 
 		await ensureN8nPackage('n8n-node dev');
 
-		const installed = await isN8nInstalled();
-		if (!installed && !flags['external-n8n']) {
-			console.error(
-				'❌ n8n is not installed or not in PATH. Learn how to install n8n here: https://docs.n8n.io/hosting/installation/npm',
-			);
-			process.exit(1);
-		}
-
 		await copyStaticFiles();
 
+		const linkingSpinner = spinner();
+		linkingSpinner.start('Linking custom node to n8n');
 		await runCommand(packageManager, ['link']);
 
-		const customPath = flags['custom-nodes-dir'];
+		const n8nUserFolder = flags['custom-user-folder'];
+		const customNodesFolder = path.join(n8nUserFolder, '.n8n', 'custom');
 
-		await ensureFolder(customPath);
+		await ensureFolder(customNodesFolder);
 
 		const packageName = await readPackageName();
 		const invalidNodeNameError = validateNodeName(packageName);
 
 		if (invalidNodeNameError) return onCancel(invalidNodeNameError);
 
-		await runCommand(packageManager, ['link', packageName], { cwd: customPath });
+		// Remove existing package.json to avoid conflicts
+		await rimraf(path.join(customNodesFolder, 'package.json'));
+		await runCommand(packageManager, ['link', packageName], {
+			cwd: customNodesFolder,
+		});
+
+		linkingSpinner.stop('Linked custom node to n8n');
+
+		outro('✓ Setup complete');
 
 		if (!flags['external-n8n']) {
 			// Run n8n with hot reload enabled
-			runPersistentCommand('n8n', [], {
-				cwd: customPath,
-				env: { N8N_DEV_RELOAD: 'true' },
+			runPersistentCommand('npx', ['-y', '--quiet', 'n8n'], {
+				cwd: n8nUserFolder,
+				env: {
+					...process.env,
+					N8N_DEV_RELOAD: 'true',
+					N8N_RUNNERS_ENABLED: 'true',
+					DB_SQLITE_POOL_SIZE: '10',
+					N8N_USER_FOLDER: n8nUserFolder,
+					N8N_ENFORCE_SETTINGS_FILE_PERMISSIONS: 'false',
+				},
 				name: 'n8n',
 				color: picocolors.green,
 			});
 		}
 
 		// Run `tsc --watch` in background
-		runPersistentCommand('tsc', ['--watch'], {
+		runPersistentCommand(packageManager, ['exec', '--', 'tsc', '--watch'], {
 			name: 'build',
 			color: picocolors.cyan,
 		});
diff --git a/packages/@n8n/node-cli/src/commands/dev/utils.ts b/packages/@n8n/node-cli/src/commands/dev/utils.ts
index 10999e398f..e055bd0223 100644
--- a/packages/@n8n/node-cli/src/commands/dev/utils.ts
+++ b/packages/@n8n/node-cli/src/commands/dev/utils.ts
@@ -22,34 +22,6 @@ export function commands() {
 	process.on('SIGINT', () => cleanup('SIGINT'));
 	process.on('SIGTERM', () => cleanup('SIGTERM'));
 
-	async function runCommand(
-		cmd: string,
-		args: string[],
-		opts: {
-			cwd?: string;
-			env?: NodeJS.ProcessEnv;
-		} = {},
-	): Promise<void> {
-		return await new Promise((resolve, reject) => {
-			const child = spawn(cmd, args, {
-				cwd: opts.cwd,
-				env: { ...process.env, ...opts.env },
-				stdio: ['inherit', 'pipe', 'pipe'],
-			});
-
-			child.on('error', (error) => {
-				reject(error);
-			});
-
-			child.on('close', (code) => {
-				if (code === 0) resolve();
-				else reject(new Error(`${cmd} exited with code ${code}`));
-			});
-
-			registerChild(child);
-		});
-	}
-
 	function runPersistentCommand(
 		cmd: string,
 		args: string[],
@@ -101,18 +73,7 @@ export function commands() {
 		});
 	}
 
-	async function isN8nInstalled(): Promise<boolean> {
-		try {
-			await runCommand('n8n', ['--version'], {});
-			return true;
-		} catch {
-			return false;
-		}
-	}
-
 	return {
-		isN8nInstalled,
-		runCommand,
 		runPersistentCommand,
 	};
 }
diff --git a/packages/@n8n/node-cli/src/commands/lint.ts b/packages/@n8n/node-cli/src/commands/lint.ts
new file mode 100644
index 0000000000..446448dbe5
--- /dev/null
+++ b/packages/@n8n/node-cli/src/commands/lint.ts
@@ -0,0 +1,34 @@
+import { Command, Flags } from '@oclif/core';
+
+import { ChildProcessError, runCommand } from '../utils/child-process';
+
+export default class Lint extends Command {
+	static override description = 'Lint the node in the current directory. Includes auto-fixing.';
+	static override examples = ['<%= config.bin %> <%= command.id %>'];
+	static override flags = {
+		fix: Flags.boolean({ description: 'Automatically fix problems', default: false }),
+	};
+
+	async run(): Promise<void> {
+		const { flags } = await this.parse(Lint);
+
+		const args = ['.'];
+
+		if (flags.fix) {
+			args.push('--fix');
+		}
+
+		try {
+			await runCommand('eslint', args, { context: 'local', stdio: 'inherit' });
+		} catch (error: unknown) {
+			if (error instanceof ChildProcessError) {
+				if (error.signal) {
+					process.kill(process.pid, error.signal);
+				} else {
+					process.exit(error.code ?? 0);
+				}
+			}
+			throw error;
+		}
+	}
+}
diff --git a/packages/@n8n/node-cli/src/commands/new/index.ts b/packages/@n8n/node-cli/src/commands/new/index.ts
index c680083a77..ad57802592 100644
--- a/packages/@n8n/node-cli/src/commands/new/index.ts
+++ b/packages/@n8n/node-cli/src/commands/new/index.ts
@@ -1,4 +1,4 @@
-import { confirm, intro, isCancel, note, outro, spinner } from '@clack/prompts';
+import { confirm, intro, isCancel, log, note, outro, spinner } from '@clack/prompts';
 import { Args, Command, Flags } from '@oclif/core';
 import { camelCase } from 'change-case';
 import fs from 'node:fs/promises';
@@ -9,9 +9,10 @@ import { declarativeTemplatePrompt, nodeNamePrompt, nodeTypePrompt } from './pro
 import { createIntro } from './utils';
 import type { TemplateData, TemplateWithRun } from '../../template/core';
 import { getTemplate, isTemplateName, isTemplateType, templates } from '../../template/templates';
+import { ChildProcessError, runCommand } from '../../utils/child-process';
 import { delayAtLeast, folderExists } from '../../utils/filesystem';
-import { tryReadGitUser } from '../../utils/git';
-import { detectPackageManager, installDependencies } from '../../utils/package-manager';
+import { initGit, tryReadGitUser } from '../../utils/git';
+import { detectPackageManager } from '../../utils/package-manager';
 import { onCancel } from '../../utils/prompts';
 import { validateNodeName } from '../../utils/validation';
 
@@ -80,7 +81,7 @@ export default class New extends Command {
 		}
 
 		const config = (await template.prompts?.()) ?? {};
-		const packageManager = detectPackageManager() ?? 'npm';
+		const packageManager = (await detectPackageManager()) ?? 'npm';
 		const templateData: TemplateData = {
 			destinationPath: destination,
 			nodePackageName: nodeName,
@@ -99,22 +100,59 @@ export default class New extends Command {
 		await delayAtLeast(template.run(templateData), 1000);
 		copyingSpinner.stop('Files copied');
 
+		const gitSpinner = spinner();
+		gitSpinner.start('Initializing git repository');
+
+		try {
+			await initGit(destination);
+
+			gitSpinner.stop('Git repository initialized');
+		} catch (error: unknown) {
+			if (error instanceof ChildProcessError) {
+				gitSpinner.stop(
+					`Could not initialize git repository: ${error.message}`,
+					error.code ?? undefined,
+				);
+				process.exit(error.code ?? 1);
+			} else {
+				throw error;
+			}
+		}
+
 		if (!flags['skip-install']) {
 			const installingSpinner = spinner();
 			installingSpinner.start('Installing dependencies');
 
 			try {
-				await delayAtLeast(installDependencies({ dir: destination, packageManager }), 1000);
+				await delayAtLeast(
+					runCommand(packageManager, ['install'], {
+						cwd: destination,
+						printOutput: ({ stdout, stderr }) => {
+							log.error(stdout.concat(stderr).toString());
+						},
+					}),
+					1000,
+				);
 			} catch (error: unknown) {
-				installingSpinner.stop('Could not install dependencies', 1);
-				return process.exit(1);
+				if (error instanceof ChildProcessError) {
+					installingSpinner.stop(
+						`Could not install dependencies: ${error.message}`,
+						error.code ?? undefined,
+					);
+					process.exit(error.code ?? 1);
+				} else {
+					throw error;
+				}
 			}
 
 			installingSpinner.stop('Dependencies installed');
 		}
 
 		note(
-			`Need help? Check out the docs: https://docs.n8n.io/integrations/creating-nodes/build/${type}-style-node/`,
+			`cd ./${nodeName} && ${packageManager} run dev
+
+📚 Documentation: https://docs.n8n.io/integrations/creating-nodes/build/${type}-style-node/
+💬 Community: https://community.n8n.io`,
 			'Next Steps',
 		);
 
diff --git a/packages/@n8n/node-cli/src/commands/new/utils.ts b/packages/@n8n/node-cli/src/commands/new/utils.ts
index 06a1469dbf..6d9e76b144 100644
--- a/packages/@n8n/node-cli/src/commands/new/utils.ts
+++ b/packages/@n8n/node-cli/src/commands/new/utils.ts
@@ -1,7 +1,7 @@
-import { detectPackageManager } from '../../utils/package-manager';
+import { detectPackageManagerFromUserAgent } from '../../utils/package-manager';
 
 export const createIntro = () => {
-	const maybePackageManager = detectPackageManager();
+	const maybePackageManager = detectPackageManagerFromUserAgent();
 	const packageManager = maybePackageManager ?? 'npm';
 	return maybePackageManager ? ` ${packageManager} create @n8n/node ` : ' n8n-node new ';
 };
diff --git a/packages/@n8n/node-cli/src/commands/prerelease.ts b/packages/@n8n/node-cli/src/commands/prerelease.ts
new file mode 100644
index 0000000000..f82cecec25
--- /dev/null
+++ b/packages/@n8n/node-cli/src/commands/prerelease.ts
@@ -0,0 +1,22 @@
+import { Command } from '@oclif/core';
+
+import { detectPackageManager } from '../utils/package-manager';
+
+export default class Prerelease extends Command {
+	static override description =
+		'Only for internal use. Prevent npm publish, instead require npm run release';
+	static override examples = ['<%= config.bin %> <%= command.id %>'];
+	static override flags = {};
+	static override hidden = true;
+
+	async run(): Promise<void> {
+		await this.parse(Prerelease);
+
+		const packageManager = (await detectPackageManager()) ?? 'npm';
+
+		if (!process.env.RELEASE_MODE) {
+			console.log(`Run \`${packageManager} run release\` to publish the package`);
+			process.exit(1);
+		}
+	}
+}
diff --git a/packages/@n8n/node-cli/src/commands/release.ts b/packages/@n8n/node-cli/src/commands/release.ts
new file mode 100644
index 0000000000..9166c85c4c
--- /dev/null
+++ b/packages/@n8n/node-cli/src/commands/release.ts
@@ -0,0 +1,52 @@
+import { Command } from '@oclif/core';
+
+import { ChildProcessError, runCommand } from '../utils/child-process';
+import { detectPackageManager } from '../utils/package-manager';
+
+export default class Release extends Command {
+	static override description = 'Publish your community node package to npm';
+	static override examples = ['<%= config.bin %> <%= command.id %>'];
+	static override flags = {};
+
+	async run(): Promise<void> {
+		await this.parse(Release);
+
+		const pm = (await detectPackageManager()) ?? 'npm';
+
+		try {
+			await runCommand(
+				'release-it',
+				[
+					'-n',
+					'--git.requireBranch main',
+					'--git.requireCleanWorkingDir',
+					'--git.requireUpstream',
+					'--git.requireCommits',
+					'--git.commit',
+					'--git.tag',
+					'--git.push',
+					'--git.changelog="npx auto-changelog --stdout --unreleased --commit-limit false -u --hide-credit"',
+					'--github.release',
+					`--hooks.before:init="${pm} run lint && ${pm} run build"`,
+					'--hooks.after:bump="npx auto-changelog -p"',
+				],
+				{
+					stdio: 'inherit',
+					context: 'local',
+					env: {
+						RELEASE_MODE: 'true',
+					},
+				},
+			);
+		} catch (error) {
+			if (error instanceof ChildProcessError) {
+				if (error.signal) {
+					process.kill(process.pid, error.signal);
+				} else {
+					process.exit(error.code ?? 0);
+				}
+			}
+			throw error;
+		}
+	}
+}
diff --git a/packages/@n8n/node-cli/src/index.ts b/packages/@n8n/node-cli/src/index.ts
index 9693552492..c45bbb57d6 100644
--- a/packages/@n8n/node-cli/src/index.ts
+++ b/packages/@n8n/node-cli/src/index.ts
@@ -1,9 +1,15 @@
 import Build from './commands/build';
 import Dev from './commands/dev';
+import Lint from './commands/lint';
 import New from './commands/new';
+import Prerelease from './commands/prerelease';
+import Release from './commands/release';
 
 export const commands = {
 	new: New,
 	build: Build,
 	dev: Dev,
+	prerelease: Prerelease,
+	release: Release,
+	lint: Lint,
 };
diff --git a/packages/@n8n/node-cli/src/template/templates/declarative/custom/template/package.json b/packages/@n8n/node-cli/src/template/templates/declarative/custom/template/package.json
index 1411c4cd7e..ae95e34ba6 100644
--- a/packages/@n8n/node-cli/src/template/templates/declarative/custom/template/package.json
+++ b/packages/@n8n/node-cli/src/template/templates/declarative/custom/template/package.json
@@ -15,13 +15,15 @@
         "type": "git",
         "url": ""
     },
-    "scripts": {
-        "build": "n8n-node build",
-        "build:watch": "tsc --watch",
-        "dev": "n8n-node dev",
-        "lint": "eslint .",
-        "release": "release-it"
-    },
+   "scripts": {
+		"build": "n8n-node build",
+		"build:watch": "tsc --watch",
+		"dev": "n8n-node dev",
+		"lint": "n8n-node lint",
+        "lint:fix": "n8n-node lint --fix",
+		"release": "n8n-node release",
+		"prepublishOnly": "n8n-node prerelease"
+	},
     "files": [
         "dist"
     ],
@@ -32,11 +34,6 @@
             "dist/nodes/Example/Example.node.js"
         ]
     },
-    "release-it": {
-        "hooks": {
-            "before:init": "{{packageManager.name}} run lint && {{packageManager.name}} run build"
-        }
-    },
     "devDependencies": {
         "@n8n/node-cli": "*",
         "eslint": "9.32.0",
diff --git a/packages/@n8n/node-cli/src/template/templates/declarative/github-issues/template/package.json b/packages/@n8n/node-cli/src/template/templates/declarative/github-issues/template/package.json
index a5cdb0d749..96961a99f9 100644
--- a/packages/@n8n/node-cli/src/template/templates/declarative/github-issues/template/package.json
+++ b/packages/@n8n/node-cli/src/template/templates/declarative/github-issues/template/package.json
@@ -15,13 +15,15 @@
         "type": "git",
         "url": ""
     },
-    "scripts": {
-        "build": "n8n-node build",
-        "build:watch": "tsc --watch",
-        "dev": "n8n-node dev",
-        "lint": "eslint .",
-        "release": "release-it"
-    },
+   "scripts": {
+		"build": "n8n-node build",
+		"build:watch": "tsc --watch",
+		"dev": "n8n-node dev",
+		"lint": "n8n-node lint",
+        "lint:fix": "n8n-node lint --fix",
+		"release": "n8n-node release",
+		"prepublishOnly": "n8n-node prerelease"
+	},
     "files": [
         "dist"
     ],
@@ -35,11 +37,6 @@
             "dist/nodes/GithubIssues/GithubIssues.node.js"
         ]
     },
-    "release-it": {
-        "hooks": {
-            "before:init": "{{packageManager.name}} run lint && {{packageManager.name}} run build"
-        }
-    },
     "devDependencies": {
         "@n8n/node-cli": "*",
         "eslint": "9.32.0",
diff --git a/packages/@n8n/node-cli/src/template/templates/programmatic/example/template/package.json b/packages/@n8n/node-cli/src/template/templates/programmatic/example/template/package.json
index 3e886ef13d..8f0829db62 100644
--- a/packages/@n8n/node-cli/src/template/templates/programmatic/example/template/package.json
+++ b/packages/@n8n/node-cli/src/template/templates/programmatic/example/template/package.json
@@ -15,13 +15,15 @@
         "type": "git",
         "url": ""
     },
-    "scripts": {
-        "build": "n8n-node build",
-        "build:watch": "tsc --watch",
-        "dev": "n8n-node dev",
-        "lint": "eslint .",
-        "release": "release-it"
-    },
+   "scripts": {
+		"build": "n8n-node build",
+		"build:watch": "tsc --watch",
+		"dev": "n8n-node dev",
+		"lint": "n8n-node lint",
+		"lint:fix": "n8n-node lint --fix",
+		"release": "n8n-node release",
+		"prepublishOnly": "n8n-node prerelease"
+	},
     "files": [
         "dist"
     ],
@@ -32,11 +34,6 @@
             "dist/nodes/Example/Example.node.js"
         ]
     },
-    "release-it": {
-        "hooks": {
-            "before:init": "{{packageManager.name}} run lint && {{packageManager.name}} run build"
-        }
-    },
     "devDependencies": {
         "@n8n/node-cli": "*",
         "eslint": "9.32.0",
diff --git a/packages/@n8n/node-cli/src/template/templates/shared/default/.gitignore b/packages/@n8n/node-cli/src/template/templates/shared/default/.gitignore
index 1521c8b765..de4d1f007d 100644
--- a/packages/@n8n/node-cli/src/template/templates/shared/default/.gitignore
+++ b/packages/@n8n/node-cli/src/template/templates/shared/default/.gitignore
@@ -1 +1,2 @@
 dist
+node_modules
diff --git a/packages/@n8n/node-cli/src/template/templates/shared/default/CHANGELOG.md b/packages/@n8n/node-cli/src/template/templates/shared/default/CHANGELOG.md
new file mode 100644
index 0000000000..e69de29bb2
diff --git a/packages/@n8n/node-cli/src/utils/child-process.ts b/packages/@n8n/node-cli/src/utils/child-process.ts
new file mode 100644
index 0000000000..2fb8ae4d8f
--- /dev/null
+++ b/packages/@n8n/node-cli/src/utils/child-process.ts
@@ -0,0 +1,82 @@
+import { spawn, type SpawnOptions, type StdioOptions } from 'node:child_process';
+
+import { detectPackageManager } from './package-manager';
+
+export class ChildProcessError extends Error {
+	constructor(
+		message: string,
+		public code: number | null,
+		public signal: NodeJS.Signals | null,
+	) {
+		super(message);
+	}
+}
+
+export async function runCommand(
+	cmd: string,
+	args: string[] = [],
+	opts: {
+		cwd?: string;
+		env?: NodeJS.ProcessEnv;
+		stdio?: StdioOptions;
+		context?: 'local' | 'global';
+		printOutput?: (options: { stdout: Buffer[]; stderr: Buffer[] }) => void;
+	} = {},
+): Promise<void> {
+	const packageManager = (await detectPackageManager()) ?? 'npm';
+
+	return await new Promise((resolve, reject) => {
+		const options: SpawnOptions = {
+			cwd: opts.cwd,
+			env: { ...process.env, ...opts.env },
+			stdio: opts.stdio ?? ['ignore', 'pipe', 'pipe'],
+		};
+		const child =
+			opts.context === 'local'
+				? spawn(packageManager, ['exec', '--', cmd, ...args], options)
+				: spawn(cmd, args, options);
+
+		const stdoutBuffers: Buffer[] = [];
+		const stderrBuffers: Buffer[] = [];
+
+		child.stdout?.on('data', (data: Buffer) => {
+			stdoutBuffers.push(data);
+		});
+		child.stderr?.on('data', (data: Buffer) => {
+			stderrBuffers.push(data);
+		});
+
+		function printOutput() {
+			if (opts.printOutput) {
+				opts.printOutput({ stdout: stdoutBuffers, stderr: stderrBuffers });
+				return;
+			}
+			for (const buffer of stdoutBuffers) {
+				process.stdout.write(buffer);
+			}
+			for (const buffer of stderrBuffers) {
+				process.stderr.write(buffer);
+			}
+		}
+
+		child.on('error', (error) => {
+			printOutput();
+			reject(new ChildProcessError(error.message, null, null));
+		});
+
+		child.on('close', (code, signal) => {
+			if (code === 0) {
+				resolve();
+			} else {
+				printOutput();
+				reject(
+					new ChildProcessError(
+						`${cmd} exited with code ${code}${signal ? ` (signal: ${signal})` : ''}`,
+						code,
+						signal,
+					),
+				);
+			}
+		});
+	});
+}
diff --git a/packages/@n8n/node-cli/src/utils/git.ts b/packages/@n8n/node-cli/src/utils/git.ts
index 326faef07c..53fa095cd6 100644
--- a/packages/@n8n/node-cli/src/utils/git.ts
+++ b/packages/@n8n/node-cli/src/utils/git.ts
@@ -1,5 +1,7 @@
 import { execSync } from 'child_process';
 
+import { runCommand } from './child-process';
+
 type GitUser = {
 	name?: string;
 	email?: string;
@@ -32,3 +34,7 @@ export function tryReadGitUser(): GitUser {
 
 	return user;
 }
+
+export async function initGit(dir: string): Promise<void> {
+	await runCommand('git', ['init', '-b', 'main'], { cwd: dir });
+}
diff --git a/packages/@n8n/node-cli/src/utils/package-manager.test.ts b/packages/@n8n/node-cli/src/utils/package-manager.test.ts
new file mode 100644
index 0000000000..6743437ed3
--- /dev/null
+++ b/packages/@n8n/node-cli/src/utils/package-manager.test.ts
@@ -0,0 +1,196 @@
+import type { Stats } from 'node:fs';
+import fs from 'node:fs/promises';
+import { afterEach, beforeEach, describe, expect, it, vi } from 'vitest';
+import { mock } from 'vitest-mock-extended';
+
+import { detectPackageManager, detectPackageManagerFromUserAgent } from './package-manager';
+
+// Mock dependencies
+vi.mock('node:child_process');
+vi.mock('node:fs/promises');
+vi.mock('@clack/prompts');
+
+describe('package manager utils', () => {
+	const originalEnv = process.env;
+
+	beforeEach(() => {
+		vi.clearAllMocks();
+		process.env = { ...originalEnv };
+	});
+
+	afterEach(() => {
+		process.env = originalEnv;
+	});
+
+	describe('detectPackageManagerFromUserAgent', () => {
+		it('returns pnpm when user agent contains pnpm', () => {
+			process.env.npm_config_user_agent = 'pnpm/8.6.0 npm/? node/v18.16.0 darwin x64';
+
+			const result = detectPackageManagerFromUserAgent();
+
+			expect(result).toBe('pnpm');
+		});
+
+		it('returns yarn when user agent contains yarn', () => {
+			process.env.npm_config_user_agent = 'yarn/1.22.19 npm/? node/v18.16.0 darwin x64';
+
+			const result = detectPackageManagerFromUserAgent();
+
+			expect(result).toBe('yarn');
+		});
+
+		it('returns npm when user agent contains npm', () => {
+			process.env.npm_config_user_agent = 'npm/9.5.1 node/v18.16.0 darwin x64 workspaces/false';
+
+			const result = detectPackageManagerFromUserAgent();
+
+			expect(result).toBe('npm');
+		});
+
+		it('prioritizes pnpm over yarn and npm when multiple are present', () => {
+			process.env.npm_config_user_agent = 'pnpm/8.6.0 yarn/1.22.19 npm/9.5.1 node/v18.16.0';
+
+			const result = detectPackageManagerFromUserAgent();
+
+			expect(result).toBe('pnpm');
+		});
+
+		it('prioritizes yarn over npm when both are present but no pnpm', () => {
+			process.env.npm_config_user_agent = 'yarn/1.22.19 npm/9.5.1 node/v18.16.0';
+
+			const result = detectPackageManagerFromUserAgent();
+
+			expect(result).toBe('yarn');
+		});
+
+		it('returns null when npm_config_user_agent is not set', () => {
+			delete process.env.npm_config_user_agent;
+
+			const result = detectPackageManagerFromUserAgent();
+
+			expect(result).toBe(null);
+		});
+
+		it('returns null when user agent does not contain any package manager', () => {
+			process.env.npm_config_user_agent = 'node/v18.16.0 darwin x64';
+
+			const result = detectPackageManagerFromUserAgent();
+
+			expect(result).toBe(null);
+		});
+
+		it('returns null when user agent is empty string', () => {
+			process.env.npm_config_user_agent = '';
+
+			const result = detectPackageManagerFromUserAgent();
+
+			expect(result).toBe(null);
+		});
+	});
+
+	describe('detectPackageManager', () => {
+		it('returns package manager from user agent when available', async () => {
+			process.env.npm_config_user_agent = 'pnpm/8.6.0 npm/? node/v18.16.0';
+
+			const result = await detectPackageManager();
+
+			expect(result).toBe('pnpm');
+			expect(vi.mocked(fs).stat).not.toHaveBeenCalled();
+		});
+
+		it('detects npm from package-lock.json when user agent is not available', async () => {
+			delete process.env.npm_config_user_agent;
+
+			vi.mocked(fs).stat.mockImplementation(async (path) => {
+				if (path === 'package-lock.json') {
+					const stats = mock<Stats>();
+					stats.isFile.mockReturnValue(true);
+					return await Promise.resolve(stats);
+				}
+				throw new Error('File not found');
+			});
+
+			const result = await detectPackageManager();
+
+			expect(result).toBe('npm');
+			expect(vi.mocked(fs).stat).toHaveBeenCalledWith('package-lock.json');
+		});
+
+		it('detects yarn from yarn.lock when user agent is not available', async () => {
+			delete process.env.npm_config_user_agent;
+
+			vi.mocked(fs).stat.mockImplementation(async (path) => {
+				if (path === 'yarn.lock') {
+					const stats = mock<Stats>();
+					stats.isFile.mockReturnValue(true);
+					return await Promise.resolve(stats);
+				}
+				throw new Error('File not found');
+			});
+
+			const result = await detectPackageManager();
+
+			expect(result).toBe('yarn');
+			expect(vi.mocked(fs).stat).toHaveBeenCalledWith('package-lock.json');
+			expect(vi.mocked(fs).stat).toHaveBeenCalledWith('yarn.lock');
+		});
+
+		it('detects pnpm from pnpm-lock.yaml when user agent is not available', async () => {
+			delete process.env.npm_config_user_agent;
+
+			vi.mocked(fs).stat.mockImplementation(async (path) => {
+				if (path === 'pnpm-lock.yaml') {
+					const stats = mock<Stats>();
+					stats.isFile.mockReturnValue(true);
+					return await Promise.resolve(stats);
+				}
+				throw new Error('File not found');
+			});
+
+			const result = await detectPackageManager();
+
+			expect(result).toBe('pnpm');
+			expect(vi.mocked(fs).stat).toHaveBeenCalledWith('package-lock.json');
+			expect(vi.mocked(fs).stat).toHaveBeenCalledWith('yarn.lock');
+			expect(vi.mocked(fs).stat).toHaveBeenCalledWith('pnpm-lock.yaml');
+		});
+
+		it('prioritizes npm lock file when multiple lock files exist', async () => {
+			delete process.env.npm_config_user_agent;
+
+			const stats = mock<Stats>();
+			stats.isFile.mockReturnValue(true);
+			vi.mocked(fs).stat.mockResolvedValue(stats);
+
+			const result = await detectPackageManager();
+
+			expect(result).toBe('npm');
+		});
+
+		it('returns null when no user agent and no lock files exist', async () => {
+			delete process.env.npm_config_user_agent;
+			vi.mocked(fs).stat.mockRejectedValue(new Error('File not found'));
+
+			const result = await detectPackageManager();
+
+			expect(result).toBe(null);
+		});
+
+		it('ignores directories that match lock file names', async () => {
+			delete process.env.npm_config_user_agent;
+
+			vi.mocked(fs).stat.mockImplementation(async (path) => {
+				if (path === 'package-lock.json') {
+					const stats = mock<Stats>();
+					stats.isFile.mockReturnValue(false);
+					return await Promise.resolve(stats);
+				}
+				throw new Error('File not found');
+			});
+
+			const result = await detectPackageManager();
+
+			expect(result).toBe(null);
+		});
+	});
+});
diff --git a/packages/@n8n/node-cli/src/utils/package-manager.ts b/packages/@n8n/node-cli/src/utils/package-manager.ts
index 8d68576b04..156f2c74bb 100644
--- a/packages/@n8n/node-cli/src/utils/package-manager.ts
+++ b/packages/@n8n/node-cli/src/utils/package-manager.ts
@@ -1,45 +1,45 @@
-import { log } from '@clack/prompts';
-import { spawn } from 'node:child_process';
-import pico from 'picocolors';
+import fs from 'node:fs/promises';
 
 type PackageManager = 'npm' | 'yarn' | 'pnpm';
 
-export function detectPackageManager(): PackageManager | null {
+export function detectPackageManagerFromUserAgent(): PackageManager | null {
 	if ('npm_config_user_agent' in process.env) {
 		const ua = process.env['npm_config_user_agent'] ?? '';
 		if (ua.includes('pnpm')) return 'pnpm';
 		if (ua.includes('yarn')) return 'yarn';
 		if (ua.includes('npm')) return 'npm';
 	}
-
 	return null;
 }
 
-export async function installDependencies({
-	dir,
-	packageManager,
-}: { dir: string; packageManager: PackageManager }): Promise<void> {
-	return await new Promise((resolve, reject) => {
-		const child = spawn(packageManager, ['install'], {
-			cwd: dir,
-			stdio: ['ignore', 'pipe', 'pipe'],
-			shell: true,
-		});
+async function detectPackageManagerFromLockFiles(): Promise<PackageManager | null> {
+	const lockFiles: Record<PackageManager, string> = {
+		npm: 'package-lock.json',
+		yarn: 'yarn.lock',
+		pnpm: 'pnpm-lock.yaml',
+	};
 
-		const output: Buffer[] = [];
-
-		child.stdout.on('data', (chunk: Buffer) => output.push(chunk));
-		child.stderr.on('data', (chunk: Buffer) => output.push(chunk));
-
-		child.on('close', (code) => {
-			if (code === 0) {
-				resolve();
-			} else {
-				const error = new Error(`${packageManager} install exited with code ${code}`);
-				log.error(`${pico.bold(pico.red(error.message))}
-${output.map((item) => item.toString()).join('\n')}`);
-				reject(error);
+	for (const [pm, lockFile] of Object.entries(lockFiles)) {
+		try {
+			const stats = await fs.stat(lockFile);
+			if (stats.isFile()) {
+				return pm as PackageManager;
 			}
-		});
-	});
+		} catch (e) {
+			// File does not exist
+		}
+	}
+	return null;
+}
+
+export async function detectPackageManager(): Promise<PackageManager | null> {
+	// When used via package.json scripts or `npm/yarn/pnpm create`, we can detect the package manager via the user agent
+	const fromUserAgent = detectPackageManagerFromUserAgent();
+	if (fromUserAgent) return fromUserAgent;
+
+	// When used directly via `n8n-node` CLI, we can try to detect the package manager via the lock files
+	const fromLockFiles = await detectPackageManagerFromLockFiles();
+	if (fromLockFiles) return fromLockFiles;
+
+	return null;
 }
diff --git a/packages/cli/package.json b/packages/cli/package.json
index 545b751313..69a4b0f8ec 100644
--- a/packages/cli/package.json
+++ b/packages/cli/package.json
@@ -49,7 +49,6 @@
   ],
   "devDependencies": {
     "@n8n/typescript-config": "workspace:*",
-    "@parcel/watcher": "^2.5.1",
     "@redocly/cli": "^1.28.5",
     "@types/aws4": "^1.5.1",
     "@types/bcryptjs": "^2.4.2",
@@ -106,6 +105,7 @@
     "@n8n_io/ai-assistant-sdk": "catalog:",
     "@n8n_io/license-sdk": "2.23.0",
     "@rudderstack/rudder-sdk-node": "2.1.4",
+    "@parcel/watcher": "^2.5.1",
     "@sentry/node": "catalog:",
     "aws4": "1.11.0",
     "axios": "catalog:",
diff --git a/pnpm-lock.yaml b/pnpm-lock.yaml
index 37be3b8cdd..3f53002851 100644
--- a/pnpm-lock.yaml
+++ b/pnpm-lock.yaml
@@ -1504,6 +1504,9 @@ importers:
       '@n8n_io/license-sdk':
         specifier: 2.23.0
         version: 2.23.0
+      '@parcel/watcher':
+        specifier: ^2.5.1
+        version: 2.5.1
       '@rudderstack/rudder-sdk-node':
         specifier: 2.1.4
         version: 2.1.4(tslib@2.8.1)
@@ -1736,9 +1739,6 @@ importers:
       '@n8n/typescript-config':
         specifier: workspace:*
         version: link:../@n8n/typescript-config
-      '@parcel/watcher':
-        specifier: ^2.5.1
-        version: 2.5.1
       '@redocly/cli':
         specifier: ^1.28.5
         version: 1.28.5(encoding@0.1.13)