diff --git a/.envrc b/.envrc
new file mode 100644
index 0000000..4254af5
--- /dev/null
+++ b/.envrc
@@ -0,0 +1,6 @@
+#TODO: Find way to inherit this part from direnv template
+if ! has nix_direnv_version || ! nix_direnv_version 2.0.0; then
+    source_url "https://raw.githubusercontent.com/nix-community/nix-direnv/2.0.0/direnvrc" "sha256-gMHKKyEOq/T0XmHKgz+pN+fUQC/1EKPAuOtYM95lLnU="
+fi
+use flake
+layout python3
diff --git a/.gitignore b/.gitignore
index 3487a9f..4060d34 100644
--- a/.gitignore
+++ b/.gitignore
@@ -3,3 +3,6 @@ __pycache__
 build/*
 *.egg-info/*
 */_version.py
+.direnv/*
+dist/*
+result
diff --git a/flake.lock b/flake.lock
new file mode 100644
index 0000000..b0e3dc9
--- /dev/null
+++ b/flake.lock
@@ -0,0 +1,43 @@
+{
+  "nodes": {
+    "flake-utils": {
+      "locked": {
+        "lastModified": 1649676176,
+        "narHash": "sha256-OWKJratjt2RW151VUlJPRALb7OU2S5s+f0vLj4o1bHM=",
+        "owner": "numtide",
+        "repo": "flake-utils",
+        "rev": "a4b154ebbdc88c8498a5c7b01589addc9e9cb678",
+        "type": "github"
+      },
+      "original": {
+        "owner": "numtide",
+        "repo": "flake-utils",
+        "type": "github"
+      }
+    },
+    "nixpkgs": {
+      "locked": {
+        "lastModified": 1652133925,
+        "narHash": "sha256-kfATGChLe9/fQVZkXN9G71JAVMlhePv1qDbaRKklkQs=",
+        "owner": "NixOS",
+        "repo": "nixpkgs",
+        "rev": "51d859cdab1ef58755bd342d45352fc607f5e59b",
+        "type": "github"
+      },
+      "original": {
+        "owner": "NixOS",
+        "ref": "nixpkgs-unstable",
+        "repo": "nixpkgs",
+        "type": "github"
+      }
+    },
+    "root": {
+      "inputs": {
+        "flake-utils": "flake-utils",
+        "nixpkgs": "nixpkgs"
+      }
+    }
+  },
+  "root": "root",
+  "version": 7
+}
diff --git a/flake.nix b/flake.nix
new file mode 100644
index 0000000..a106b5e
--- /dev/null
+++ b/flake.nix
@@ -0,0 +1,32 @@
+{
+  description = "Flake to setup python virtualenv with direnv";
+
+  inputs = {
+    nixpkgs.url = "github:NixOS/nixpkgs?ref=nixpkgs-unstable";
+    flake-utils.url = "github:numtide/flake-utils";
+  };
+
+  outputs = { self, nixpkgs, flake-utils }:
+    flake-utils.lib.eachDefaultSystem (system: 
+    let
+      pkgs = nixpkgs.legacyPackages.${system};
+    in rec {
+      packages = rec {
+        pythonEnv = pkgs.python3.withPackages(
+          ps: with ps; [
+            virtualenv
+          ]
+        );
+        annexremote = pkgs.python3Packages.buildPythonPackage rec {
+          pname = "annexremote";
+          version = self.rev;
+          format = "pyproject";
+          src = self;
+        };
+        default = annexremote;
+      };
+
+      defaultPackage = packages.default;
+      devShell = packages.pythonEnv.env;
+    });
+}