diff --git a/README.md b/README.md
index 989452870f..4b3a9a434b 100644
--- a/README.md
+++ b/README.md
@@ -48,6 +48,12 @@ Upload documents to a vector store and let agents answer questions grounded in y
 
 <a href="https://sim.ai" target="_blank" rel="noopener noreferrer"><img src="https://img.shields.io/badge/sim.ai-33c482?logo=data:image/svg%2bxml;base64,PHN2ZyB3aWR0aD0iNjE2IiBoZWlnaHQ9IjYxNiIgdmlld0JveD0iMCAwIDYxNiA2MTYiIGZpbGw9Im5vbmUiIHhtbG5zPSJodHRwOi8vd3d3LnczLm9yZy8yMDAwL3N2ZyI+CjxnIGNsaXAtcGF0aD0idXJsKCNjbGlwMF8xMTU5XzMxMykiPgo8cGF0aCBkPSJNNjE2IDBIMFY2MTZINjE2VjBaIiBmaWxsPSIjMzNjNDgyIi8+CjxwYXRoIGQ9Ik04MyAzNjUuNTY3SDExM0MxMTMgMzczLjgwNSAxMTYgMzgwLjM3MyAxMjIgMzg1LjI3MkMxMjggMzg5Ljk0OCAxMzYuMTExIDM5Mi4yODUgMTQ2LjMzMyAzOTIuMjg1QzE1Ny40NDQgMzkyLjI4NSAxNjYgMzkwLjE3MSAxNzIgMzg1LjkzOUMxNzcuOTk5IDM4MS40ODcgMTgxIDM3NS41ODYgMTgxIDM2OC4yMzlDMTgxIDM2Mi44OTUgMTc5LjMzMyAzNTguNDQyIDE3NiAzNTQuODhDMTcyLjg4OSAzNTEuMzE4IDE2Ny4xMTEgMzQ4LjQyMiAxNTguNjY3IDM0Ni4xOTZMMTMwIDMzOS41MTdDMTE1LjU1NSAzMzUuOTU1IDEwNC43NzggMzMwLjQ5OSA5Ny42NjY1IDMyMy4xNTFDOTAuNzc3NSAzMTUuODA0IDg3LjMzMzQgMzA2LjExOSA4Ny4zMzM0IDI5NC4wOTZDODcuMzMzNCAyODQuMDc2IDg5Ljg4OSAyNzUuMzkyIDk0Ljk5OTYgMjY4LjA0NUMxMDAuMzMzIDI2MC42OTcgMTA3LjU1NSAyNTUuMDIgMTE2LjY2NiAyNTEuMDEyQzEyNiAyNDcuMDA0IDEzNi42NjcgMjQ1IDE0OC42NjYgMjQ1QzE2MC42NjcgMjQ1IDE3MSAyNDcuMTE2IDE3OS42NjcgMjUxLjM0NkMxODguNTU1IDI1NS41NzYgMTk1LjQ0NCAyNjEuNDc3IDIwMC4zMzMgMjY5LjA0N0MyMDUuNDQ0IDI3Ni42MTcgMjA4LjExMSAyODUuNjM0IDIwOC4zMzMgMjk2LjA5OUgxNzguMzMzQzE3OC4xMTEgMjg3LjYzOCAxNzUuMzMzIDI4MS4wNyAxNjkuOTk5IDI3Ni4zOTRDMTY0LjY2NiAyNzEuNzE5IDE1Ny4yMjIgMjY5LjM4MSAxNDcuNjY3IDI2OS4zODFDMTM3Ljg4OSAyNjkuMzgxIDEzMC4zMzMgMjcxLjQ5NiAxMjUgMjc1LjcyNkMxMTkuNjY2IDI3OS45NTcgMTE3IDI4NS43NDYgMTE3IDI5My4wOTNDMTE3IDMwNC4wMDMgMTI1IDMxMS40NjIgMTQxIDMxNS40N0wxNjkuNjY3IDMyMi40ODNDMTgzLjQ0NSAzMjUuNiAxOTMuNzc4IDMzMC43MjIgMjAwLjY2NyAzMzcuODQ3QzIwNy41NTUgMzQ0Ljc0OSAyMTEgMzU0LjIxMiAyMTEgMzY2LjIzNUMyMTEgMzc2LjQ3NyAyMDguMjIyIDM4NS40OTQgMjAyLjY2NiAzOTMuMjg3QzE5Ny4xMTEgNDAwLjg1NyAxODkuNDQ0IDQwNi43NTggMTc5LjY2NyA0MTAuOTg5QzE3MC4xMTEgNDE0Ljk5NiAxNTguNzc4IDQxNyAxNDUuNjY3IDQxN0MxMjYuNTU1IDQxNyAxMTEuMzMzIDQxMi4zMjUgOTkuOTk5NyA0MDIuOTczQzg4LjY2NjggMzkzLjYyMSA4MyAzODEuMTUzIDgzIDM2NS41NjdaIiBmaWxsPSJ3aGl0ZSIvPgo8cGF0aCBkPSJNMjMyLjI5MSA0MTNWMjUwLjA4MkMyNDQuNjg0IDI1NC42MTQgMjUwLjE0OCAyNTQuNjE0IDI2My4zNzEgMjUwLjA4MlY0MTNIMjMyLjI5MVpNMjQ3LjUgMjM5LjMxM0MyNDEuOTkgMjM5LjMxMyAyMzcuMTQgMjM3LjMxMyAyMzIuOTUyIDIzMy4zMTZDMjI4Ljk4NCAyMjkuMDk1IDIyNyAyMjQuMjA5IDIyNyAyMTguNjU2QzIyNyAyMTIuODgyIDIyOC45ODQgMjA3Ljk5NSAyMzIuOTUyIDIwMy45OTdDMjM3LjE0IDE5OS45OTkgMjQxLjk5IDE5OCAyNDcuNSAxOThDMjUzLjIzMSAxOTggMjU4LjA4IDE5OS45OTkgMjYyLjA0OSAyMDMuOTk3QzI2Ni4wMTYgMjA3Ljk5NSAyNjggMjEyLjg4MiAyNjggMjE4LjY1NkMyNjggMjI0LjIwOSAyNjYuMDE2IDIyOS4wOTUgMjYyLjA0OSAyMzMuMzE2QzI1OC4wOCAyMzcuMzEzIDI1My4yMzEgMjM5LjMxMyAyNDcuNSAyMzkuMzEzWiIgZmlsbD0id2hpdGUiLz4KPHBhdGggZD0iTTMxOS4zMzMgNDEzSDI4OFYyNDkuNjc2SDMxNlYyNzcuMjMzQzMxOS4zMzMgMjY4LjEwNCAzMjUuNzc4IDI2MC4zNjQgMzM0LjY2NyAyNTQuMzUyQzM0My43NzggMjQ4LjExNyAzNTQuNzc4IDI0NSAzNjcuNjY3IDI0NUMzODIuMTExIDI0NSAzOTQuMTEyIDI0OC44OTcgNDAzLjY2NyAyNTYuNjlDNDEzLjIyMiAyNjQuNDg0IDQxOS40NDQgMjc0LjgzNyA0MjIuMzM0IDI4Ny43NTJINDE2LjY2N0M0MTguODg5IDI3NC44MzcgNDI1IDI2NC40ODQgNDM1IDI1Ni42OUM0NDUgMjQ4Ljg5NyA0NTcuMzM0IDI0NSA0NzIgMjQ1QzQ5MC42NjYgMjQ1IDUwNS4zMzQgMjUwLjQ1NSA1MTYgMjYxLjM2NkM1MjYuNjY3IDI3Mi4yNzYgNTMyIDI4Ny4xOTUgNTMyIDMwNi4xMjFWNDEzSDUwMS4zMzNWMzEzLjgwNEM1MDEuMzMzIDMwMC44ODkgNDk4IDI5MC45ODEgNDkxLjMzMyAyODQuMDc4QzQ4NC44ODkgMjc2Ljk1MiA0NzYuMTExIDI3My4zOSA0NjUgMjczLjM5QzQ1Ny4yMjIgMjczLjM5IDQ1MC4zMzMgMjc1LjE3MSA0NDQuMzM0IDI3OC43MzRDNDM4LjU1NiAyODIuMDc0IDQzNCAyODYuOTcyIDQzMC42NjcgMjkzLjQzQzQyNy4zMzMgMjk5Ljg4NyA0MjUuNjY3IDMwNy40NTcgNDI1LjY2NyAzMTYuMTQxVjQxM0gzOTQuNjY3VjMxMy40NjlDMzk0LjY2NyAzMDAuNTU1IDM5MS40NDUgMjkwLjc1OCAzODUgMjg0LjA3OEMzNzguNTU2IDI3Ny4xNzUgMzY5Ljc3OCAyNzMuNzI0IDM1OC42NjcgMjczLjcyNEMzNTAuODg5IDI3My43MjQgMzQ0IDI3NS41MDUgMzM4IDI3OS4wNjhDMzMyLjIyMiAyODIuNDA4IDMyNy42NjcgMjg3LjMwNyAzMjQuMzMzIDI5My43NjNDMzIxIDI5OS45OTggMzE5LjMzMyAzMDcuNDU3IDMxOS4zMzMgMzE2LjE0MVY0MTNaIiBmaWxsPSJ3aGl0ZSIvPgo8L2c+CjxkZWZzPgo8Y2xpcFBhdGggaWQ9ImNsaXAwXzExNTlfMzEzIj4KPHJlY3Qgd2lkdGg9IjYxNiIgaGVpZ2h0PSI2MTYiIGZpbGw9IndoaXRlIi8+CjwvY2xpcFBhdGg+CjwvZGVmcz4KPC9zdmc+&logoColor=white" alt="Sim.ai"></a>
 
+#### Docker prerequisites
+
+Both self-hosted options require Docker to be installed and running with the Compose v2 plugin available (`docker compose version`). The legacy standalone `docker-compose` binary is not enough for the commands below.
+
+The default container stack reserves up to 8 GB for the app and 1 GB for realtime, plus PostgreSQL and Docker overhead. On Docker Desktop, allocate at least 10 GB of memory before starting the stack.
+
 ### Self-hosted: NPM Package
 
 ```bash
@@ -56,7 +62,8 @@ npx simstudio
 → http://localhost:3000
 
 #### Note
-Docker must be installed and running on your machine.
+
+Docker must be installed, running, and configured with Compose v2.
 
 #### Options