diff --git a/.github/CONTRIBUTING.md b/.github/CONTRIBUTING.md
index 7f003bd..e451fa8 100755
--- a/.github/CONTRIBUTING.md
+++ b/.github/CONTRIBUTING.md
@@ -1 +1,75 @@
-> 💡 TODO: Add contributing guide
+# Contributing to Water.css
+
+Water.css becomes better for everyone when people like you help make it better!
+
+Have any questions or concerns? Did I forget an element or selector? Does something look ugly? Feel free to submit an issue or pull request.
+
+Before contributing, please read the [code of conduct](CODE_OF_CONDUCT.md). Also you agree that your contributions will be licensed under its [MIT License](./LICENSE.md).
+
+## How to get started
+
+1. Get a copy of repository. It is recommended to fork it first and clone to your machine using `git`.
+
+2. Make sure that you have [yarn](https://yarnpkg.com) and install dependencies listed in `package.json` using it.
+
+```
+yarn
+```
+
+3. Then you can run development server with live reloading out of the box and play around with the framework.
+
+```
+yarn dev
+```
+
+So you can access the `index.html` in browser by visiting http://localhost:3000/index.html
+
+More details will be provided in command line interface.
+
+*Note.* A script that builds distribution ready files is also available but it is not the part of development workflow, it is designed to be triggered automatically while publishing a new version of a package. The script itself could be run manually:
+
+```
+yarn build
+```
+
+## How to find issues to work on
+
+If you are new to contributing open-source software, you can starty by picking any relevant issue that is tagged with `good first issue` [there](
+https://github.com/kognise/water.css/contribute).
+
+Also everyone is welcome to contribute on issues tagged with `help wanted`, you can find it filtered [here](https://github.com/kognise/water.css/issues?q=is%3Aopen+is%3Aissue+label%3A%22help+wanted%22).
+
+
+## How to make a pull request
+
+It is a few general rules of thumb about making pull requests:
+
+* Make sure that your pull request covers a small and well defined scope
+
+* Make small commits with clear and explainful messages
+
+* You need to provide a clear description about your contribution on GitHub
+
+## Directory structure
+
+```
+.
+├── dist
+├── icons
+└── src
+    ├── assets
+    ├── builds
+    └── parts
+```
+
+`dist` directory is ignored by git and it contains built assets for distribution
+
+`icons` directory contains water.css favicons used in `index.html` demo/docs file
+
+`src` directory contains all the source stylesheets groupped into folders and variables
+
+`src/assets` directory contains images used for UI elements styling
+
+`src/builds` directory contains base style files prepared for different kind of builds (i.e. light and dark themes, supporting legacy browsers, etc)
+
+`src/parts` directory contains the whole source organized in separate files by its kind like forms, links, typography
\ No newline at end of file
diff --git a/README.md b/README.md
index f0b6e38..6fffefb 100644
--- a/README.md
+++ b/README.md
@@ -65,20 +65,6 @@ Simply remove the `.min` from the file name.
 
 Don't like how it looks? Feel free to submit an issue or PR with suggestions.
 
-## Contributing
-
-Water.css becomes better for everyone when people like you help make it better!
-
-Have any questions or concerns? Did I forget an element or selector? Does something look ugly? Feel free to submit an issue or pull request.
-
-If you decide to contribute, after downloading a copy of the repository make sure to run `yarn` to install dependencies useful for development. Then, you can just run the following to start a server of the demo with live reloading on change.
-
-```
-$ yarn dev
-```
-
-And make sure to run `yarn build` before pushing any changes! Thanks for taking the time to contribute :)
-
 ## Theming
 
 > ⚠ The theming guide is out of date and will be updated shortly! In the mean time, check src/variables-\*.css to see your customization options.
@@ -144,6 +130,10 @@ $form-text: #ffffff !default;
 
 You can also only import parts you want, but this is not recommended. See the `src/parts/` folder for a list of parts.
 
+## Contributing
+
+Please see [CONTRIBUTING](.github/CONTRIBUTING.md) for details.
+
 ## Todos
 
 - Add screenshots