diff --git a/README.md b/README.md
index 8ca2e69fa..894722b2d 100644
--- a/README.md
+++ b/README.md
@@ -62,6 +62,7 @@ fn start
 
 This will start Fn in single server mode, using an embedded database and message queue. You can find all the
 configuration options [here](docs/operating/options.md). If you are on Windows, check [here](docs/operating/windows.md).
+ 
 
 ### Your First Function
 
diff --git a/docker-compose.yml b/docker-compose.yml
new file mode 100644
index 000000000..30eaaf83f
--- /dev/null
+++ b/docker-compose.yml
@@ -0,0 +1,66 @@
+version: '3'
+services:
+  db:
+    image: "mysql"
+    restart: always
+    ports:
+      - "3306:3306"
+    environment:
+      - "MYSQL_DATABASE=funcs"
+      - "MYSQL_ROOT_PASSWORD=root"
+  mq:
+    image: "redis"
+    restart: always
+    ports:
+      - "6379:6379"
+  fnserver:
+    depends_on:
+      - mq
+      - db
+    build: .
+    ports:
+      - "8080:8080"
+    links:
+      - "db"
+      - "mq"
+    environment:
+      - DB_URL=mysql://root:root@tcp(db:3306)/funcs
+      - MQ_URL=redis://mq:6379/
+    volumes:
+      - /var/run/docker.sock:/var/run/docker.sock
+    deploy:
+      mode: replicated
+      replicas: 3
+  grafana:
+    image: grafana/grafana
+    restart: always
+    ports:
+      - "3000:3000"
+    links:
+      - fnserver
+      - prometheus
+    depends_on:
+      - fnserver
+      - prometheus
+  prometheus:
+    image: prom/prometheus
+    restart: always
+    depends_on:
+      - fnserver
+    ports:
+      - "9090:9090"
+    links:
+      - fnserver
+    volumes:
+      - ${GOPATH}/src/github.com/fnproject/fn/examples/grafana/prometheus.yml:/etc/prometheus/prometheus.yml
+  fnserver-ui:
+    depends_on:
+      - fnserver
+    image: fnproject/ui
+    restart: always
+    ports:
+      - "4000:4000"
+    links:
+      - "fnserver"
+    environment:
+      - API_URL=http://fnserver:8080
diff --git a/docs/README.md b/docs/README.md
index d9f230420..9c9466ad0 100644
--- a/docs/README.md
+++ b/docs/README.md
@@ -22,6 +22,7 @@ If you are a developer using Fn through the API, this section is for you.
 * [API Reference](http://petstore.swagger.io/?url=https://raw.githubusercontent.com/fnproject/fn/master/docs/swagger.yml)
 * [Object Model](developers/model.md)
 * [FAQ](faq.md)
+* [Setting up development environment with Docker compose](./operating/compose.md)
 
 ## For Operators
 
diff --git a/docs/operating/compose.md b/docs/operating/compose.md
new file mode 100644
index 000000000..f2b3b9f6b
--- /dev/null
+++ b/docs/operating/compose.md
@@ -0,0 +1,14 @@
+# Development environment deployment with Docker compose
+
+### Deployment details
+
+With [Docker Compose file](../../docker-compose.yml) it's easy to bootstrap the full Fn development stack that includes the following components:
+
+ - MySQL server for database
+ - Redis server for message queue
+ - Fn server with scale group (supported only for Docker Swarm)
+ - Fn UI
+ - Grafana
+ - Prometheus
+
+Given compose file was developed specifically for Fn platform development/testing purpose, it's not a production-ready script. In order to get production deployment please review [Kubernetes deployment instruction](./kubernetes/README.md).