diff --git a/README.md b/README.md
index 9042dcc..4f77ec3 100644
--- a/README.md
+++ b/README.md
@@ -652,6 +652,7 @@ cd ..
 
 #### 1. Start the FastAPI Backend
 From the `Execra` root directory:
+
 ```bash
 # Windows
 venv\Scripts\python.exe main.py
@@ -659,15 +660,26 @@ venv\Scripts\python.exe main.py
 # Linux/Mac
 ./venv/bin/python main.py
 ```
+
 The API server will run at `http://localhost:8000`. Swagger documentation is available at `http://localhost:8000/docs`.
 
 #### 2. Start the SvelteKit Dashboard
 From the `Execra/dashboard` directory:
+
 ```bash
 npm run dev
 ```
+
 The dashboard interface will run at `http://localhost:5173`.
 
+#### 3. Verify the Local Setup
+
+Before starting development, verify that both services are working correctly:
+
+- Open `http://localhost:8000/docs` and confirm the FastAPI Swagger page loads successfully.
+- Open `http://localhost:5173` and confirm the dashboard is accessible.
+- Ensure the dashboard can connect to the backend without connection errors before testing application features.
+
 ### Quick Start (Docker)
 
 ```bash