diff --git a/.github/workflows/build.yml b/.github/workflows/build.yml
index b81c1943..682dd740 100644
--- a/.github/workflows/build.yml
+++ b/.github/workflows/build.yml
@@ -65,4 +65,4 @@ jobs:
       run: cargo build
 
     - name: Run tests
-      run: cargo test --verbose
\ No newline at end of file
+      run: cargo test --all-features
\ No newline at end of file
diff --git a/Cargo.toml b/Cargo.toml
index 0344ae21..80ea5018 100644
--- a/Cargo.toml
+++ b/Cargo.toml
@@ -64,6 +64,8 @@ contract = [
     "dep:sp-weights",
     "dep:url",
 ]
+e2e_contract = []
+unit_contract = []
 parachain = [
     "dep:dirs",
     "dep:indexmap",
@@ -76,3 +78,5 @@ parachain = [
     "dep:zombienet-sdk",
     "dep:zombienet-support"
 ]
+e2e_parachain = []
+
diff --git a/README.md b/README.md
index 5bea5a2f..1151783e 100644
--- a/README.md
+++ b/README.md
@@ -206,9 +206,43 @@ pop up parachain -f ./tests/zombienet.toml -p https://github.com/r0gue-io/pop-no
 > :information_source: Pop CLI will automatically source the necessary polkadot binaries. Currently, these will be built
 > if on a non-linux system.
 
+
+## Testing Pop CLI 
+
+To test the tool locally.
+
+Run the unit tests:
+
+```sh
+cargo test
+```
+
+Run only contracts unit tests:
+
+```sh
+cargo test --features unit_contract
+```
+
+Run the contracts e2e tests:
+
+```sh
+cargo test --features e2e_contract
+```
+
+Run the parachain e2e tests:
+
+```sh
+cargo test --features e2e_parachain
+```
+
+Run all tests:
+
+```sh
+cargo test --all-features
+```
 ## Acknowledgements
 
 Pop CLI would not be possible without these awesome crates!
 
 - Local network deployment powered by [zombienet-sdk](https://github.com/paritytech/zombienet-sdk)
-- [cargo contract](https://github.com/paritytech/cargo-contract) a setup and deployment tool for developing Wasm based smart contracts via ink!
\ No newline at end of file
+- [cargo contract](https://github.com/paritytech/cargo-contract) a setup and deployment tool for developing Wasm based smart contracts via ink!
diff --git a/src/engines/contract_engine.rs b/src/engines/contract_engine.rs
index d524aa43..6d657c6d 100644
--- a/src/engines/contract_engine.rs
+++ b/src/engines/contract_engine.rs
@@ -204,6 +204,7 @@ mod tests {
 		Ok(())
 	}
 
+	#[cfg(feature = "unit_contract")]
 	#[test]
 	fn test_contract_build() -> Result<(), Error> {
 		let temp_contract_dir = setup_test_environment()?;
@@ -230,6 +231,7 @@ mod tests {
 		Ok(())
 	}
 
+	#[cfg(feature = "unit_contract")]
 	#[test]
 	fn test_contract_test() -> Result<(), Error> {
 		let temp_contract_dir = setup_test_environment()?;
diff --git a/src/engines/parachain_engine.rs b/src/engines/parachain_engine.rs
index e00c2b5e..f3329093 100644
--- a/src/engines/parachain_engine.rs
+++ b/src/engines/parachain_engine.rs
@@ -127,13 +127,4 @@ mod tests {
 
 		Ok(())
 	}
-
-	#[test]
-	fn test_parachain_build_after_instantiating_template() -> Result<()> {
-		let temp_dir =
-			setup_template_and_instantiate().expect("Failed to setup template and instantiate");
-		let build = build_parachain(&Some(temp_dir.path().to_path_buf()));
-		assert!(build.is_ok(), "Result should be Ok");
-		Ok(())
-	}
 }
diff --git a/tests/build_contract.rs b/tests/build_contract.rs
index 65a0bfe8..972192bc 100644
--- a/tests/build_contract.rs
+++ b/tests/build_contract.rs
@@ -1,3 +1,4 @@
+#![cfg(feature = "e2e_contract")]
 use anyhow::{Error, Result};
 use assert_cmd::Command;
 use predicates::prelude::*;
@@ -16,7 +17,7 @@ fn setup_test_environment() -> Result<tempfile::TempDir, Error> {
 }
 
 #[test]
-fn test_contract_build() -> Result<(), Error> {
+fn test_contract_build_success() -> Result<(), Error> {
 	let temp_contract_dir = setup_test_environment()?;
 
 	// pop build contract
diff --git a/tests/build_parachain.rs b/tests/build_parachain.rs
new file mode 100644
index 00000000..06b0824a
--- /dev/null
+++ b/tests/build_parachain.rs
@@ -0,0 +1,32 @@
+#![cfg(feature = "e2e_parachain")]
+use anyhow::{Error, Result};
+use assert_cmd::Command;
+
+fn setup_test_environment() -> Result<tempfile::TempDir, Error> {
+	let temp_dir = tempfile::tempdir().unwrap();
+	// pop new parachain test_parachain
+	Command::cargo_bin("pop")
+		.unwrap()
+		.current_dir(&temp_dir)
+		.args(&["new", "parachain", "test_parachain"])
+		.assert()
+		.success();
+
+	Ok(temp_dir)
+}
+
+#[test]
+fn test_parachain_build_after_instantiating_template() -> Result<()> {
+	let temp_dir = setup_test_environment()?;
+
+	// pop build contract -p "./test_parachain"
+	Command::cargo_bin("pop")
+		.unwrap()
+		.current_dir(&temp_dir)
+		.args(&["build", "parachain", "-p", "./test_parachain"])
+		.assert()
+		.success();
+
+	assert!(temp_dir.path().join("test_parachain/target").exists());
+	Ok(())
+}