diff --git a/README.md b/README.md
new file mode 100644
index 0000000..1d123e5
--- /dev/null
+++ b/README.md
@@ -0,0 +1,34 @@
+# Kazan terraform 🧊
+
+Terraform plan for spinning up kubernetes cluster (named kazan) on local proxmox host.
+
+
+## Setup
+Export credentials for proxmox host:
+
+```
+  export PM_API_TOKEN_ID=''
+  export PM_API_TOKEN_SECRET=''
+```
+
+Download repo:
+```
+git clone git@github.com:kevinmidboe/kazan-terraform.git
+cd kazan-terraform
+```
+
+## Terraform state file
+The terraform state (`tf.state` file) is stored in my gcp bucket. If you want change bucket provider/location do so by editing *gcs* backend definition in `main.ts`.
+To store locally instead change comment in *local* and out *gcs* in backend definition in `main.ts`.
+
+## Run
+
+If this is first time running tf plans:
+```
+terraform init
+```
+
+then 
+```
+terraform apply
+```