diff --git a/app/Jobs/ApplicationDeploymentJob.php b/app/Jobs/ApplicationDeploymentJob.php
index 8a79515b5..3c97e5afd 100644
--- a/app/Jobs/ApplicationDeploymentJob.php
+++ b/app/Jobs/ApplicationDeploymentJob.php
@@ -497,13 +497,13 @@ class ApplicationDeploymentJob implements ShouldBeEncrypted, ShouldQueue
             } else {
                 $this->write_deployment_configurations();
                 $server_workdir = $this->application->workdir();
+                $this->docker_compose_location = '/docker-compose.yaml';
 
                 $command = "{$this->coolify_variables} docker compose";
                 if ($this->env_filename) {
-                    $command .= " --env-file {$this->workdir}/{$this->env_filename}";
+                    $command .= " --env-file {$server_workdir}/{$this->env_filename}";
                 }
                 $command .= " --project-directory {$server_workdir} -f {$server_workdir}{$this->docker_compose_location} up -d";
-
                 $this->execute_remote_command(
                     ['command' => $command, 'hidden' => true],
                 );
@@ -636,21 +636,26 @@ class ApplicationDeploymentJob implements ShouldBeEncrypted, ShouldQueue
                 $this->server = $this->original_server;
             }
             $readme = generate_readme_file($this->application->name, $this->application_deployment_queue->updated_at);
+
+            $mainDir = $this->configuration_dir;
+            if ($this->application->settings->is_raw_compose_deployment_enabled) {
+                $mainDir = $this->application->workdir();
+            }
             if ($this->pull_request_id === 0) {
-                $composeFileName = "$this->configuration_dir/docker-compose.yaml";
+                $composeFileName = "$mainDir/docker-compose.yaml";
             } else {
-                $composeFileName = "$this->configuration_dir/docker-compose-pr-{$this->pull_request_id}.yaml";
+                $composeFileName = "$mainDir/docker-compose-pr-{$this->pull_request_id}.yaml";
                 $this->docker_compose_location = "/docker-compose-pr-{$this->pull_request_id}.yaml";
             }
             $this->execute_remote_command(
                 [
-                    "mkdir -p $this->configuration_dir",
+                    "mkdir -p $mainDir",
                 ],
                 [
                     "echo '{$this->docker_compose_base64}' | base64 -d | tee $composeFileName > /dev/null",
                 ],
                 [
-                    "echo '{$readme}' > $this->configuration_dir/README.md",
+                    "echo '{$readme}' > $mainDir/README.md",
                 ]
             );
             if ($this->use_build_server) {