diff --git a/examples/svelte-preprocess/package.json b/examples/svelte-preprocess/package.json
new file mode 100644
index 0000000..8e5cb41
--- /dev/null
+++ b/examples/svelte-preprocess/package.json
@@ -0,0 +1,15 @@
+{
+  "private": true,
+  "scripts": {
+    "test": "uvu tests -r esm -r tests/setup/register -i setup"
+  },
+  "devDependencies": {
+    "cosmiconfig": "^7.0.0",
+    "esm": "3.2.25",
+    "jsdom": "16.3.0",
+    "svelte": "3.24.0",
+    "svelte-preprocess": "^4.2.1",
+    "typescript": "^3.9.7",
+    "uvu": "^0.2.0"
+  }
+}
diff --git a/examples/svelte-preprocess/src/Count.svelte b/examples/svelte-preprocess/src/Count.svelte
new file mode 100644
index 0000000..4dad687
--- /dev/null
+++ b/examples/svelte-preprocess/src/Count.svelte
@@ -0,0 +1,16 @@
+<script>
+    type CountResult = number
+    export let count: CountResult = 5;
+
+    function increment(): void {
+        count++;
+    }
+
+    function decrement(): void {
+        count--;
+    }
+</script>
+
+<button id="decr" on:click={decrement}>--</button>
+<span>{count}</span>
+<button id="incr" on:click={increment}>++</button>
diff --git a/examples/svelte-preprocess/svelte.config.js b/examples/svelte-preprocess/svelte.config.js
new file mode 100644
index 0000000..1958389
--- /dev/null
+++ b/examples/svelte-preprocess/svelte.config.js
@@ -0,0 +1,9 @@
+const sveltePreprocess = require("svelte-preprocess");
+
+const defaults = {
+	script: "typescript",
+};
+
+module.exports = {
+	preprocess: sveltePreprocess({ defaults })
+}
\ No newline at end of file
diff --git a/examples/svelte-preprocess/tests/Count.js b/examples/svelte-preprocess/tests/Count.js
new file mode 100644
index 0000000..c99c558
--- /dev/null
+++ b/examples/svelte-preprocess/tests/Count.js
@@ -0,0 +1,67 @@
+import { test } from 'uvu';
+import * as assert from 'uvu/assert';
+import * as ENV from './setup/env';
+
+// Relies on `setup/register`
+import Count from '../src/Count.svelte';
+
+test.before(ENV.setup);
+test.before.each(ENV.reset);
+
+test('should render with "5" by default', () => {
+	const { container } = ENV.render(Count);
+
+	assert.snapshot(
+		container.innerHTML,
+		`<button id="decr">--</button> <span>5</span> <button id="incr">++</button>`
+	);
+});
+
+test('should accept custom `count` prop', () => {
+	const { container } = ENV.render(Count, { count: 99 });
+
+	assert.snapshot(
+		container.innerHTML,
+		`<button id="decr">--</button> <span>99</span> <button id="incr">++</button>`
+	);
+});
+
+test('should increment count after `button#incr` click', async () => {
+	const { container } = ENV.render(Count);
+
+	assert.snapshot(
+		container.innerHTML,
+		`<button id="decr">--</button> <span>5</span> <button id="incr">++</button>`
+	);
+
+	await ENV.fire(
+		container.querySelector('#incr'),
+		'click'
+	);
+
+	assert.snapshot(
+		container.innerHTML,
+		`<button id="decr">--</button> <span>6</span> <button id="incr">++</button>`
+	);
+});
+
+test('should decrement count after `button#decr` click', async () => {
+	const { container } = ENV.render(Count);
+
+	assert.snapshot(
+		container.innerHTML,
+		`<button id="decr">--</button> <span>5</span> <button id="incr">++</button>`
+	);
+
+	await ENV.fire(
+		container.querySelector('#decr'),
+		'click'
+	);
+
+	assert.snapshot(
+		container.innerHTML,
+		`<button id="decr">--</button> <span>4</span> <button id="incr">++</button>`
+	);
+});
+
+test.run();
diff --git a/examples/svelte-preprocess/tests/setup/env.js b/examples/svelte-preprocess/tests/setup/env.js
new file mode 100644
index 0000000..00fac9c
--- /dev/null
+++ b/examples/svelte-preprocess/tests/setup/env.js
@@ -0,0 +1,47 @@
+import { JSDOM } from 'jsdom';
+import { tick } from 'svelte';
+
+const { window } = new JSDOM('');
+
+export function setup() {
+	// @ts-ignore
+	global.window = window;
+	global.document = window.document;
+	global.navigator = window.navigator;
+	global.getComputedStyle = window.getComputedStyle;
+	global.requestAnimationFrame = null;
+}
+
+export function reset() {
+	window.document.title = '';
+	window.document.head.innerHTML = '';
+	window.document.body.innerHTML = '';
+}
+
+/**
+ * @typedef RenderOutput
+ * @property container {HTMLElement}
+ * @property component {import('svelte').SvelteComponent}
+ */
+
+/**
+ * @return {RenderOutput}
+ */
+export function render(Tag, props = {}) {
+	Tag = Tag.default || Tag;
+	const container = window.document.body;
+	const component = new Tag({ props, target: container  });
+	return { container, component };
+}
+
+/**
+ * @param {HTMLElement} elem
+ * @param {String} event
+ * @param {any} [details]
+ * @returns Promise<void>
+ */
+export function fire(elem, event, details) {
+	let evt = new window.Event(event, details);
+	elem.dispatchEvent(evt);
+	return tick();
+}
diff --git a/examples/svelte-preprocess/tests/setup/register.js b/examples/svelte-preprocess/tests/setup/register.js
new file mode 100644
index 0000000..0c724c5
--- /dev/null
+++ b/examples/svelte-preprocess/tests/setup/register.js
@@ -0,0 +1,47 @@
+const { parse } = require('path');
+const { compile, preprocess_sync } = require('svelte/compiler');
+const { getSvelteConfig } = require('./svelteconfig.js');
+const { cosmiconfigSync } = require('cosmiconfig')
+
+const useTransformer = (options = {}) => (source, filename) => {
+	const { preprocess, rootMode } = options;
+	if (preprocess) {
+		const svelteConfig = getSvelteConfig(rootMode, filename);
+		const config = cosmiconfigSync().load(svelteConfig).config
+		
+		return preprocess_sync(source, config.preprocess || {}, { filename }).code
+	}
+	else {
+		return source;
+	}
+};
+
+function transform(hook, source, filename) {
+	const { name } = parse(filename);
+	
+	const preprocessed = useTransformer({ preprocess: true })(source, filename);
+
+	const {js, warnings} = compile(preprocessed, {
+		name: name[0].toUpperCase() + name.slice(1),
+		format: 'cjs',
+		filename
+	});
+
+	warnings.forEach(warning => {
+		console.warn(`\nSvelte Warning in ${warning.filename}:`);
+		console.warn(warning.message);
+		console.warn(warning.frame);
+	});
+
+	return hook(js.code, filename);
+}
+
+const loadJS = require.extensions['.js'];
+
+// Runtime DOM hook for require("*.svelte") files
+// Note: for SSR/Node.js hook, use `svelte/register`
+require.extensions['.svelte'] = function (mod, filename) {
+	const orig = mod._compile.bind(mod);
+	mod._compile = code => transform(orig, code, filename);
+	loadJS(mod, filename);
+}
diff --git a/examples/svelte-preprocess/tests/setup/svelteconfig.js b/examples/svelte-preprocess/tests/setup/svelteconfig.js
new file mode 100644
index 0000000..5a231e9
--- /dev/null
+++ b/examples/svelte-preprocess/tests/setup/svelteconfig.js
@@ -0,0 +1,28 @@
+const fs = require('fs')
+const path = require('path')
+
+const configFilename = 'svelte.config.js'
+
+exports.getSvelteConfig = (rootMode, filename) => {
+  const configDir = rootMode === 'upward'
+    ? getConfigDir(path.dirname(filename))
+    : process.cwd()
+  const configFile = path.resolve(configDir, configFilename)
+
+  if (!fs.existsSync(configFile)) {
+    throw Error(`Could not find ${configFilename}`)
+  }
+
+  return configFile
+}
+
+const getConfigDir = (searchDir) => {
+  if (fs.existsSync(path.join(searchDir, configFilename))) {
+    return searchDir
+  }
+
+  const parentDir = path.resolve(searchDir, '..')
+  return parentDir !== searchDir
+    ? getConfigDir(parentDir)
+    : searchDir // Stop walking at filesystem root
+}