diff --git a/app/app.go b/app/app.go
index 582c846ab..f4b7a8f88 100644
--- a/app/app.go
+++ b/app/app.go
@@ -15,6 +15,7 @@ import (
 	"github.com/abiosoft/colima/environment/container/ubuntu"
 	"github.com/abiosoft/colima/environment/host"
 	"github.com/abiosoft/colima/environment/vm/lima"
+	"github.com/abiosoft/colima/environment/vm/lima/limautil"
 	log "github.com/sirupsen/logrus"
 )
 
@@ -208,7 +209,7 @@ func (c colimaApp) SSH(layer bool, args ...string) error {
 		return c.guest.RunInteractive(args...)
 	}
 
-	conf, err := lima.InstanceConfig()
+	conf, err := limautil.InstanceConfig()
 	if err != nil {
 		return err
 	}
@@ -216,7 +217,7 @@ func (c colimaApp) SSH(layer bool, args ...string) error {
 		return c.guest.RunInteractive(args...)
 	}
 
-	resp, err := lima.ShowSSH(config.CurrentProfile().ID, layer, "args")
+	resp, err := limautil.ShowSSH(config.CurrentProfile().ID, layer, "args")
 	if err != nil {
 		return fmt.Errorf("error getting ssh config: %w", err)
 	}
@@ -256,7 +257,7 @@ func (c colimaApp) Status() error {
 	log.Println(config.CurrentProfile().DisplayName, "is running")
 	log.Println("arch:", c.guest.Arch())
 	log.Println("runtime:", currentRuntime)
-	if conf, err := lima.InstanceConfig(); err == nil {
+	if conf, err := limautil.InstanceConfig(); err == nil {
 		log.Println("mountType:", conf.MountType)
 	}
 	if currentRuntime == docker.Name {
diff --git a/cmd/colima/main.go b/cmd/colima/main.go
index 2c83730e1..d284f3f44 100644
--- a/cmd/colima/main.go
+++ b/cmd/colima/main.go
@@ -10,12 +10,12 @@ import (
 	_ "github.com/abiosoft/colima/cmd"        // for other commands
 	_ "github.com/abiosoft/colima/cmd/daemon" // for vmnet daemon
 	_ "github.com/abiosoft/colima/embedded"   // for embedded assets
-	"github.com/abiosoft/colima/environment/vm/lima/network/daemon/gvproxy"
-	"github.com/abiosoft/colima/util"
-	"github.com/sirupsen/logrus"
 
 	"github.com/abiosoft/colima/cmd/root"
 	"github.com/abiosoft/colima/config"
+	"github.com/abiosoft/colima/daemon/process/gvproxy"
+	"github.com/abiosoft/colima/util"
+	"github.com/sirupsen/logrus"
 )
 
 func main() {
@@ -27,6 +27,7 @@ func main() {
 		root.Execute()
 	}
 }
+
 func qemuWrapper(qemu string) {
 	if profile := os.Getenv(config.SubprocessProfileEnvVar); profile != "" {
 		config.SetProfile(profile)
@@ -79,6 +80,12 @@ func qemuWrapper(qemu string) {
 		cmd.ExtraFiles = append(cmd.ExtraFiles, fd)
 	}
 
-	_ = cmd.Run()
+	err := cmd.Run()
+	if err != nil {
+		if err, ok := err.(*exec.ExitError); ok {
+			os.Exit(err.ExitCode())
+		}
+		os.Exit(1)
+	}
 
 }
diff --git a/cmd/daemon/cmd.go b/cmd/daemon/cmd.go
index f9fa9c9e8..fc7139582 100644
--- a/cmd/daemon/cmd.go
+++ b/cmd/daemon/cmd.go
@@ -4,9 +4,9 @@ import (
 	"context"
 	"time"
 
-	"github.com/abiosoft/colima/environment/vm/lima/network/daemon"
-	"github.com/abiosoft/colima/environment/vm/lima/network/daemon/gvproxy"
-	"github.com/abiosoft/colima/environment/vm/lima/network/daemon/vmnet"
+	"github.com/abiosoft/colima/daemon/process"
+	"github.com/abiosoft/colima/daemon/process/gvproxy"
+	"github.com/abiosoft/colima/daemon/process/vmnet"
 
 	"github.com/abiosoft/colima/cmd/root"
 	"github.com/abiosoft/colima/config"
@@ -18,10 +18,6 @@ var daemonCmd = &cobra.Command{
 	Short:  "daemon",
 	Long:   `runner for background daemons.`,
 	Hidden: true,
-	PersistentPreRun: func(cmd *cobra.Command, args []string) {
-		cmd.SilenceUsage = true
-		cmd.SilenceErrors = true
-	},
 }
 
 var startCmd = &cobra.Command{
@@ -31,8 +27,9 @@ var startCmd = &cobra.Command{
 	Args:  cobra.ExactArgs(1),
 	RunE: func(cmd *cobra.Command, args []string) error {
 		config.SetProfile(args[0])
+		ctx := cmd.Context()
 
-		var processes []daemon.Process
+		var processes []process.Process
 		if daemonArgs.vmnet {
 			processes = append(processes, vmnet.New())
 		}
@@ -40,7 +37,7 @@ var startCmd = &cobra.Command{
 			processes = append(processes, gvproxy.New())
 		}
 
-		return start(cmd.Context(), processes)
+		return start(ctx, processes)
 	},
 }
 
@@ -74,8 +71,11 @@ var statusCmd = &cobra.Command{
 }
 
 var daemonArgs struct {
-	vmnet   bool
-	gvproxy bool
+	vmnet    bool
+	gvproxy  bool
+	fsnotify bool
+
+	verbose bool
 }
 
 func init() {
@@ -87,4 +87,5 @@ func init() {
 
 	startCmd.Flags().BoolVar(&daemonArgs.vmnet, "vmnet", false, "start vmnet")
 	startCmd.Flags().BoolVar(&daemonArgs.gvproxy, "gvproxy", false, "start gvproxy")
+	startCmd.Flags().BoolVar(&daemonArgs.fsnotify, "fsnotify", false, "start fsnotify")
 }
diff --git a/cmd/daemon/daemon.go b/cmd/daemon/daemon.go
index c807c9327..66ad0be25 100644
--- a/cmd/daemon/daemon.go
+++ b/cmd/daemon/daemon.go
@@ -7,16 +7,17 @@ import (
 	"os/signal"
 	"path/filepath"
 	"strconv"
+	"sync"
 	"syscall"
 	"time"
 
 	"github.com/abiosoft/colima/cli"
-	"github.com/abiosoft/colima/environment/vm/lima/network/daemon"
+	"github.com/abiosoft/colima/daemon/process"
 	godaemon "github.com/sevlyar/go-daemon"
 	"github.com/sirupsen/logrus"
 )
 
-var dir = daemon.Dir
+var dir = process.Dir
 
 // daemonize creates the daemon and returns if this is a child process
 func daemonize() (ctx *godaemon.Context, child bool, err error) {
@@ -49,7 +50,7 @@ func daemonize() (ctx *godaemon.Context, child bool, err error) {
 	return ctx, true, nil
 }
 
-func start(ctx context.Context, processes []daemon.Process) error {
+func start(ctx context.Context, processes []process.Process) error {
 	if status() == nil {
 		logrus.Info("daemon already running, startup ignored")
 		return nil
@@ -75,7 +76,7 @@ func start(ctx context.Context, processes []daemon.Process) error {
 	ctx, stop := signal.NotifyContext(ctx, syscall.SIGINT, syscall.SIGTERM)
 	defer stop()
 
-	return daemon.Run(ctx, processes...)
+	return RunProcesses(ctx, processes...)
 }
 
 func stop(ctx context.Context) error {
@@ -153,3 +154,32 @@ func Info() struct {
 		LogFile: filepath.Join(dir, logFileName),
 	}
 }
+
+// Run runs the daemon with background processes.
+// NOTE: this must be called from the program entrypoint with minimal intermediary logic
+// due to the creation of the daemon.
+func RunProcesses(ctx context.Context, processes ...process.Process) error {
+	ctx, stop := context.WithCancel(ctx)
+	defer stop()
+
+	var wg sync.WaitGroup
+	wg.Add(len(processes))
+
+	for _, bg := range processes {
+		go func(bg process.Process) {
+			err := bg.Start(ctx)
+			if err != nil {
+				logrus.Error(fmt.Errorf("error starting %s: %w", bg.Name(), err))
+				stop()
+			}
+			wg.Done()
+		}(bg)
+	}
+
+	<-ctx.Done()
+	logrus.Info("terminate signal received")
+
+	wg.Wait()
+
+	return ctx.Err()
+}
diff --git a/cmd/daemon/daemon_test.go b/cmd/daemon/daemon_test.go
index 5d707c8b1..1b0934e6e 100644
--- a/cmd/daemon/daemon_test.go
+++ b/cmd/daemon/daemon_test.go
@@ -7,7 +7,7 @@ import (
 	"testing"
 	"time"
 
-	"github.com/abiosoft/colima/environment/vm/lima/network/daemon"
+	"github.com/abiosoft/colima/daemon/process"
 )
 
 var testDir string
@@ -19,22 +19,28 @@ func setDir(t *testing.T) {
 	dir = func() string { return testDir }
 }
 
-func TestStart(t *testing.T) {
-	setDir(t)
-	info := Info()
-
+func getProcesses() []process.Process {
 	var addresses = []string{
 		"localhost",
 		"127.0.0.1",
 	}
 
-	t.Log("pidfile", info.PidFile)
-
-	var processes []daemon.Process
+	var processes []process.Process
 	for _, add := range addresses {
 		processes = append(processes, &pinger{address: add})
 	}
 
+	return processes
+}
+
+func TestStart(t *testing.T) {
+	setDir(t)
+	info := Info()
+
+	processes := getProcesses()
+
+	t.Log("pidfile", info.PidFile)
+
 	timeout := time.Second * 5
 	ctx, cancel := context.WithTimeout(context.Background(), timeout)
 	defer cancel()
@@ -54,6 +60,8 @@ func TestStart(t *testing.T) {
 			default:
 				if p, err := os.ReadFile(info.PidFile); err == nil && len(p) > 0 {
 					break loop
+				} else if err != nil {
+					t.Logf("encountered err: %v", err)
 				}
 				time.Sleep(1 * time.Second)
 			}
@@ -79,7 +87,32 @@ func TestStart(t *testing.T) {
 
 }
 
-var _ daemon.Process = (*pinger)(nil)
+func TestRunProcesses(t *testing.T) {
+	processes := getProcesses()
+
+	timeout := time.Second * 5
+	ctx, cancel := context.WithTimeout(context.Background(), timeout)
+
+	// start the processes
+	done := make(chan error, 1)
+	go func() {
+		done <- RunProcesses(ctx, processes...)
+	}()
+
+	cancel()
+
+	select {
+	case <-ctx.Done():
+		if err := ctx.Err(); err != context.Canceled {
+			t.Error(err)
+		}
+	case err := <-done:
+		t.Error(err)
+	}
+
+}
+
+var _ process.Process = (*pinger)(nil)
 
 type pinger struct {
 	address string
@@ -98,7 +131,7 @@ func (p *pinger) Start(ctx context.Context) error {
 }
 
 // Start implements BgProcess
-func (p *pinger) Dependencies() ([]daemon.Dependency, bool) { return nil, false }
+func (p *pinger) Dependencies() ([]process.Dependency, bool) { return nil, false }
 
 func (p *pinger) run(ctx context.Context, command string, args ...string) error {
 	cmd := exec.CommandContext(ctx, command, args...)
diff --git a/cmd/list.go b/cmd/list.go
index 8d5daf740..bf09f7d4e 100644
--- a/cmd/list.go
+++ b/cmd/list.go
@@ -6,7 +6,7 @@ import (
 	"text/tabwriter"
 
 	"github.com/abiosoft/colima/cmd/root"
-	"github.com/abiosoft/colima/environment/vm/lima"
+	"github.com/abiosoft/colima/environment/vm/lima/limautil"
 	"github.com/docker/go-units"
 	"github.com/sirupsen/logrus"
 	"github.com/spf13/cobra"
@@ -26,7 +26,7 @@ var listCmd = &cobra.Command{
 A new instance can be created during 'colima start' by specifying the '--profile' flag.`,
 	Args: cobra.NoArgs,
 	RunE: func(cmd *cobra.Command, args []string) error {
-		instances, err := lima.Instances()
+		instances, err := limautil.Instances()
 		if err != nil {
 			return err
 		}
diff --git a/cmd/ssh-config.go b/cmd/ssh-config.go
index 9c7bdb808..7afa0444d 100644
--- a/cmd/ssh-config.go
+++ b/cmd/ssh-config.go
@@ -5,7 +5,7 @@ import (
 
 	"github.com/abiosoft/colima/cmd/root"
 	"github.com/abiosoft/colima/config"
-	"github.com/abiosoft/colima/environment/vm/lima"
+	"github.com/abiosoft/colima/environment/vm/lima/limautil"
 	"github.com/spf13/cobra"
 )
 
@@ -16,7 +16,7 @@ var sshConfigCmd = &cobra.Command{
 	Long:  `Show configuration of the SSH connection to the VM.`,
 	Args:  cobra.MaximumNArgs(1),
 	RunE: func(cmd *cobra.Command, args []string) error {
-		resp, err := lima.ShowSSH(config.CurrentProfile().ID, sshConfigCmdArgs.layer, sshConfigCmdArgs.format)
+		resp, err := limautil.ShowSSH(config.CurrentProfile().ID, sshConfigCmdArgs.layer, sshConfigCmdArgs.format)
 		if err == nil {
 			fmt.Println(resp.Output)
 		}
diff --git a/config/config.go b/config/config.go
index c606d4e2f..5ae56da34 100644
--- a/config/config.go
+++ b/config/config.go
@@ -132,6 +132,17 @@ func (m Mount) CleanPath() (string, error) {
 	return strings.TrimSuffix(str, "/") + "/", nil
 }
 
+func (c Config) MountsOrDefault() []Mount {
+	if len(c.Mounts) > 0 {
+		return c.Mounts
+	}
+
+	return []Mount{
+		{Location: util.HomeDir(), Writable: true},
+		{Location: filepath.Join("/tmp", CurrentProfile().ID), Writable: true},
+	}
+}
+
 // Empty checks if the configuration is empty.
 func (c Config) Empty() bool { return c.Runtime == "" } // this may be better but not really needed.
 
diff --git a/environment/vm/lima/network/network.go b/daemon/daemon.go
similarity index 65%
rename from environment/vm/lima/network/network.go
rename to daemon/daemon.go
index 29a462f78..938a66440 100644
--- a/environment/vm/lima/network/network.go
+++ b/daemon/daemon.go
@@ -1,4 +1,4 @@
-package network
+package daemon
 
 import (
 	"context"
@@ -6,18 +6,18 @@ import (
 	"os"
 
 	"github.com/abiosoft/colima/config"
+	"github.com/abiosoft/colima/daemon/process"
+	"github.com/abiosoft/colima/daemon/process/gvproxy"
+	"github.com/abiosoft/colima/daemon/process/vmnet"
 	"github.com/abiosoft/colima/environment"
-	"github.com/abiosoft/colima/environment/vm/lima/network/daemon"
-	"github.com/abiosoft/colima/environment/vm/lima/network/daemon/gvproxy"
-	"github.com/abiosoft/colima/environment/vm/lima/network/daemon/vmnet"
 )
 
-// Manager handles networking between the host and the vm.
+// Manager handles running background processes.
 type Manager interface {
 	Start(context.Context) error
 	Stop(context.Context) error
 	Running(ctx context.Context) (Status, error)
-	Dependencies(ctx context.Context) (deps daemon.Dependency, root bool)
+	Dependencies(ctx context.Context) (deps process.Dependency, root bool)
 }
 
 type Status struct {
@@ -32,35 +32,35 @@ type processStatus struct {
 	Error   error
 }
 
-// NewManager creates a new network manager.
+// NewManager creates a new process manager.
 func NewManager(host environment.HostActions) Manager {
-	return &limaNetworkManager{
+	return &processManager{
 		host: host,
 	}
 }
 
 func CtxKey(s string) any { return struct{ key string }{key: s} }
 
-var _ Manager = (*limaNetworkManager)(nil)
+var _ Manager = (*processManager)(nil)
 
-type limaNetworkManager struct {
+type processManager struct {
 	host environment.HostActions
 }
 
-func (l limaNetworkManager) Dependencies(ctx context.Context) (deps daemon.Dependency, root bool) {
+func (l processManager) Dependencies(ctx context.Context) (deps process.Dependency, root bool) {
 	processes := processesFromCtx(ctx)
-	return daemon.Dependencies(processes...)
+	return process.Dependencies(processes...)
 }
 
-func (l limaNetworkManager) init() error {
+func (l processManager) init() error {
 	// dependencies for network
-	if err := os.MkdirAll(daemon.Dir(), 0755); err != nil {
+	if err := os.MkdirAll(process.Dir(), 0755); err != nil {
 		return fmt.Errorf("error preparing vmnet: %w", err)
 	}
 	return nil
 }
 
-func (l limaNetworkManager) Running(ctx context.Context) (s Status, err error) {
+func (l processManager) Running(ctx context.Context) (s Status, err error) {
 	err = l.host.RunQuiet(os.Args[0], "daemon", "status", config.CurrentProfile().ShortName)
 	if err != nil {
 		return
@@ -78,7 +78,7 @@ func (l limaNetworkManager) Running(ctx context.Context) (s Status, err error) {
 	return
 }
 
-func (l limaNetworkManager) Start(ctx context.Context) error {
+func (l processManager) Start(ctx context.Context) error {
 	_ = l.Stop(ctx) // this is safe, nothing is done when not running
 
 	if err := l.init(); err != nil {
@@ -93,10 +93,13 @@ func (l limaNetworkManager) Start(ctx context.Context) error {
 	if opts.GVProxy {
 		args = append(args, "--gvproxy")
 	}
+	if opts.FSNotify {
+		args = append(args, "--fsnotify")
+	}
 
 	return l.host.RunQuiet(args...)
 }
-func (l limaNetworkManager) Stop(ctx context.Context) error {
+func (l processManager) Stop(ctx context.Context) error {
 	if s, err := l.Running(ctx); err != nil || !s.Running {
 		return nil
 	}
@@ -104,12 +107,14 @@ func (l limaNetworkManager) Stop(ctx context.Context) error {
 }
 
 func optsFromCtx(ctx context.Context) struct {
-	Vmnet   bool
-	GVProxy bool
+	Vmnet    bool
+	GVProxy  bool
+	FSNotify bool
 } {
 	var opts = struct {
-		Vmnet   bool
-		GVProxy bool
+		Vmnet    bool
+		GVProxy  bool
+		FSNotify bool
 	}{}
 	opts.Vmnet, _ = ctx.Value(CtxKey(vmnet.Name())).(bool)
 	opts.GVProxy, _ = ctx.Value(CtxKey(gvproxy.Name())).(bool)
@@ -117,8 +122,8 @@ func optsFromCtx(ctx context.Context) struct {
 	return opts
 }
 
-func processesFromCtx(ctx context.Context) []daemon.Process {
-	var processes []daemon.Process
+func processesFromCtx(ctx context.Context) []process.Process {
+	var processes []process.Process
 
 	opts := optsFromCtx(ctx)
 	if opts.Vmnet {
diff --git a/environment/vm/lima/network/daemon/gvproxy/deps.go b/daemon/process/gvproxy/deps.go
similarity index 93%
rename from environment/vm/lima/network/daemon/gvproxy/deps.go
rename to daemon/process/gvproxy/deps.go
index ee70cf745..79de7d528 100644
--- a/environment/vm/lima/network/daemon/gvproxy/deps.go
+++ b/daemon/process/gvproxy/deps.go
@@ -8,11 +8,11 @@ import (
 	"strings"
 
 	"github.com/abiosoft/colima/config"
+	"github.com/abiosoft/colima/daemon/process"
 	"github.com/abiosoft/colima/environment"
-	"github.com/abiosoft/colima/environment/vm/lima/network/daemon"
 )
 
-var _ daemon.Dependency = qemuBinsSymlinks{}
+var _ process.Dependency = qemuBinsSymlinks{}
 
 // only these two are required for Lima
 var qemuBins = []string{"qemu-system-aarch64", "qemu-system-x86_64"}
@@ -52,7 +52,7 @@ func (q qemuBinsSymlinks) Install(host environment.HostActions) error {
 	return nil
 }
 
-var _ daemon.Dependency = qemuShareDirSymlink{}
+var _ process.Dependency = qemuShareDirSymlink{}
 
 type qemuShareDirSymlink struct{}
 
diff --git a/environment/vm/lima/network/daemon/gvproxy/gvproxy.go b/daemon/process/gvproxy/gvproxy.go
similarity index 91%
rename from environment/vm/lima/network/daemon/gvproxy/gvproxy.go
rename to daemon/process/gvproxy/gvproxy.go
index a62518ad6..a35c434d5 100644
--- a/environment/vm/lima/network/daemon/gvproxy/gvproxy.go
+++ b/daemon/process/gvproxy/gvproxy.go
@@ -11,7 +11,7 @@ import (
 	"runtime"
 	"strings"
 
-	"github.com/abiosoft/colima/environment/vm/lima/network/daemon"
+	"github.com/abiosoft/colima/daemon/process"
 	"github.com/abiosoft/colima/util"
 	"github.com/containers/gvisor-tap-vsock/pkg/transport"
 	"github.com/containers/gvisor-tap-vsock/pkg/types"
@@ -20,7 +20,7 @@ import (
 )
 
 // New creates a new Process for gvproxy.
-func New() daemon.Process {
+func New() process.Process {
 	return &gvproxyProcess{}
 }
 
@@ -39,12 +39,12 @@ func Info() struct {
 		Socket     Socket
 		MacAddress string
 	}{
-		Socket:     Socket(filepath.Join(daemon.Dir(), socketFileName)),
+		Socket:     Socket(filepath.Join(process.Dir(), socketFileName)),
 		MacAddress: MacAddress(),
 	}
 }
 
-var _ daemon.Process = (*gvproxyProcess)(nil)
+var _ process.Process = (*gvproxyProcess)(nil)
 
 type gvproxyProcess struct{}
 
@@ -56,10 +56,10 @@ func (*gvproxyProcess) Alive(context.Context) error {
 	return nil
 }
 
-// Name implements daemon.BgProcess
+// Name implements daemon.Process
 func (*gvproxyProcess) Name() string { return Name() }
 
-// Start implements daemon.BgProcess
+// Start implements daemon.Process
 func (*gvproxyProcess) Start(ctx context.Context) error {
 	info := Info()
 	return run(ctx, info.Socket)
@@ -87,7 +87,7 @@ func MacAddress() string {
 	// there is not much concern about the precision of the uniqueness.
 	// this can be revisited
 	if macAddress == nil {
-		sum := util.SHA256Hash(daemon.Dir())
+		sum := util.SHA256Hash(process.Dir())
 		macAddress = append(macAddress, baseHWAddr...)
 		macAddress = append(macAddress, sum[0:3]...)
 	}
@@ -207,8 +207,8 @@ func searchDomains() []string {
 	return nil
 }
 
-func (gvproxyProcess) Dependencies() (deps []daemon.Dependency, root bool) {
-	return []daemon.Dependency{
+func (gvproxyProcess) Dependencies() (deps []process.Dependency, root bool) {
+	return []process.Dependency{
 		qemuBinsSymlinks{},
 		qemuShareDirSymlink{},
 	}, false
diff --git a/environment/vm/lima/network/daemon/daemon.go b/daemon/process/process.go
similarity index 69%
rename from environment/vm/lima/network/daemon/daemon.go
rename to daemon/process/process.go
index 287e38b01..e23ef1eba 100644
--- a/environment/vm/lima/network/daemon/daemon.go
+++ b/daemon/process/process.go
@@ -1,15 +1,13 @@
-package daemon
+package process
 
 import (
 	"context"
 	"fmt"
 	"path/filepath"
-	"sync"
 
 	"github.com/abiosoft/colima/config"
 
 	"github.com/abiosoft/colima/environment"
-	"github.com/sirupsen/logrus"
 )
 
 // Process is a background process managed by the daemon.
@@ -27,8 +25,8 @@ type Process interface {
 	Dependencies() (deps []Dependency, root bool)
 }
 
-// Dir is the directory for network related files.
-func Dir() string { return filepath.Join(config.Dir(), "network") }
+// Dir is the directory for daemon files.
+func Dir() string { return filepath.Join(config.Dir(), "daemon") }
 
 // Dependency is a requirement to be fulfilled before a process can be started.
 type Dependency interface {
@@ -83,32 +81,3 @@ func (p processDeps) Install(host environment.HostActions) error {
 
 	return nil
 }
-
-// Run runs the daemon with background processes.
-// NOTE: this must be called from the program entrypoint with minimal intermediary logic
-// due to the creation of the daemon.
-func Run(ctx context.Context, processes ...Process) error {
-	ctx, stop := context.WithCancel(ctx)
-	defer stop()
-
-	var wg sync.WaitGroup
-	wg.Add(len(processes))
-
-	for _, bg := range processes {
-		go func(bg Process) {
-			err := bg.Start(ctx)
-			if err != nil {
-				logrus.Error(fmt.Errorf("error starting %s: %w", bg.Name(), err))
-				stop()
-			}
-			wg.Done()
-		}(bg)
-	}
-
-	<-ctx.Done()
-	logrus.Info("terminate signal received")
-
-	wg.Wait()
-
-	return ctx.Err()
-}
diff --git a/environment/vm/lima/network/daemon/vmnet/deps.go b/daemon/process/vmnet/deps.go
similarity index 94%
rename from environment/vm/lima/network/daemon/vmnet/deps.go
rename to daemon/process/vmnet/deps.go
index 682b8055f..01290729d 100644
--- a/environment/vm/lima/network/daemon/vmnet/deps.go
+++ b/daemon/process/vmnet/deps.go
@@ -8,12 +8,12 @@ import (
 	"runtime"
 	"strings"
 
+	"github.com/abiosoft/colima/daemon/process"
 	"github.com/abiosoft/colima/embedded"
 	"github.com/abiosoft/colima/environment"
-	"github.com/abiosoft/colima/environment/vm/lima/network/daemon"
 )
 
-var _ daemon.Dependency = sudoerFile{}
+var _ process.Dependency = sudoerFile{}
 
 type sudoerFile struct{}
 
@@ -55,7 +55,7 @@ func (s sudoerFile) Install(host environment.HostActions) error {
 	return nil
 }
 
-var _ daemon.Dependency = vmnetFile{}
+var _ process.Dependency = vmnetFile{}
 
 const BinaryPath = "/opt/colima/bin/vde_vmnet"
 const LibraryPath = "/opt/colima/lib/libvdeplug.3.dylib"
@@ -113,7 +113,7 @@ func (v vmnetFile) Install(host environment.HostActions) error {
 	return nil
 }
 
-var _ daemon.Dependency = vmnetRunDir{}
+var _ process.Dependency = vmnetRunDir{}
 
 type vmnetRunDir struct{}
 
diff --git a/environment/vm/lima/network/daemon/vmnet/vmnet.go b/daemon/process/vmnet/vmnet.go
similarity index 84%
rename from environment/vm/lima/network/daemon/vmnet/vmnet.go
rename to daemon/process/vmnet/vmnet.go
index e82569624..8948eb1d9 100644
--- a/environment/vm/lima/network/daemon/vmnet/vmnet.go
+++ b/daemon/process/vmnet/vmnet.go
@@ -9,7 +9,7 @@ import (
 
 	"github.com/abiosoft/colima/cli"
 	"github.com/abiosoft/colima/config"
-	"github.com/abiosoft/colima/environment/vm/lima/network/daemon"
+	"github.com/abiosoft/colima/daemon/process"
 )
 
 const (
@@ -18,10 +18,10 @@ const (
 	NetInterface = "col0"
 )
 
-var _ daemon.Process = (*vmnetProcess)(nil)
+var _ process.Process = (*vmnetProcess)(nil)
 
-func New() daemon.Process { return &vmnetProcess{} }
-func Name() string        { return "vmnet" }
+func New() process.Process { return &vmnetProcess{} }
+func Name() string         { return "vmnet" }
 
 type vmnetProcess struct{}
 
@@ -44,10 +44,10 @@ func (*vmnetProcess) Alive(ctx context.Context) error {
 	return nil
 }
 
-// Name implements daemon.BgProcess
+// Name implements process.BgProcess
 func (*vmnetProcess) Name() string { return Name() }
 
-// Start implements daemon.BgProcess
+// Start implements process.BgProcess
 func (*vmnetProcess) Start(ctx context.Context) error {
 	info := Info()
 	ptp := info.PTPFile
@@ -88,8 +88,8 @@ func (*vmnetProcess) Start(ctx context.Context) error {
 	return nil
 }
 
-func (vmnetProcess) Dependencies() (deps []daemon.Dependency, root bool) {
-	return []daemon.Dependency{
+func (vmnetProcess) Dependencies() (deps []process.Dependency, root bool) {
+	return []process.Dependency{
 		sudoerFile{},
 		vmnetFile{},
 		vmnetRunDir{},
@@ -124,6 +124,6 @@ func Info() struct {
 		PTPFile string
 	}{
 		PidFile: filepath.Join(runDir(), "vmnet-"+config.CurrentProfile().ShortName+".pid"),
-		PTPFile: filepath.Join(daemon.Dir(), "vmnet.ptp"),
+		PTPFile: filepath.Join(process.Dir(), "vmnet.ptp"),
 	}
 }
diff --git a/environment/container/kubernetes/k3s.go b/environment/container/kubernetes/k3s.go
index c4382eb7d..c89bdf4a8 100644
--- a/environment/container/kubernetes/k3s.go
+++ b/environment/container/kubernetes/k3s.go
@@ -9,7 +9,7 @@ import (
 	"github.com/abiosoft/colima/environment"
 	"github.com/abiosoft/colima/environment/container/containerd"
 	"github.com/abiosoft/colima/environment/container/docker"
-	"github.com/abiosoft/colima/environment/vm/lima"
+	"github.com/abiosoft/colima/environment/vm/lima/limautil"
 	"github.com/abiosoft/colima/util/downloader"
 	"github.com/sirupsen/logrus"
 )
@@ -128,7 +128,7 @@ func installK3sCluster(
 	}
 
 	// replace ip address if networking is enabled
-	ipAddress := lima.IPAddress(config.CurrentProfile().ID)
+	ipAddress := limautil.IPAddress(config.CurrentProfile().ID)
 	if ipAddress == "127.0.0.1" {
 		args = append(args, "--flannel-iface", "eth0")
 	} else {
diff --git a/environment/container/kubernetes/kubeconfig.go b/environment/container/kubernetes/kubeconfig.go
index 6b0400f66..fbb6c371d 100644
--- a/environment/container/kubernetes/kubeconfig.go
+++ b/environment/container/kubernetes/kubeconfig.go
@@ -9,13 +9,13 @@ import (
 
 	"github.com/abiosoft/colima/cli"
 	"github.com/abiosoft/colima/config"
-	"github.com/abiosoft/colima/environment/vm/lima"
+	"github.com/abiosoft/colima/environment/vm/lima/limautil"
 )
 
 const masterAddressKey = "master_address"
 
 func (c kubernetesRuntime) provisionKubeconfig(ctx context.Context) error {
-	ip := lima.IPAddress(config.CurrentProfile().ID)
+	ip := limautil.IPAddress(config.CurrentProfile().ID)
 	if ip == c.guest.Get(masterAddressKey) {
 		return nil
 	}
diff --git a/environment/container/ubuntu/provision.go b/environment/container/ubuntu/provision.go
index 5133dcdd5..7bb43f64b 100644
--- a/environment/container/ubuntu/provision.go
+++ b/environment/container/ubuntu/provision.go
@@ -7,7 +7,6 @@ import (
 	"strconv"
 
 	"github.com/abiosoft/colima/config"
-	"github.com/abiosoft/colima/util"
 )
 
 type buildArgs struct {
@@ -158,12 +157,7 @@ func (u ubuntuRuntime) createContainer(conf config.Config) error {
 		"--volume", "/:/host",
 	)
 
-	mounts := conf.Mounts
-	if len(mounts) == 0 {
-		// TODO: should be not be repeated here but rather populated externally
-		mounts = append(mounts, config.Mount{Location: util.HomeDir()})
-		mounts = append(mounts, config.Mount{Location: filepath.Join("/tmp", config.CurrentProfile().ID)})
-	}
+	mounts := conf.MountsOrDefault()
 	for _, m := range mounts {
 		args = append(args, "--volume", m.Location+":"+m.Location)
 	}
diff --git a/environment/vm/lima/lima.go b/environment/vm/lima/lima.go
index 62af85d7c..c2a9090d3 100644
--- a/environment/vm/lima/lima.go
+++ b/environment/vm/lima/lima.go
@@ -11,13 +11,14 @@ import (
 	"path/filepath"
 	"time"
 
-	"github.com/abiosoft/colima/environment/vm/lima/network/daemon/gvproxy"
-	"github.com/abiosoft/colima/environment/vm/lima/network/daemon/vmnet"
+	"github.com/abiosoft/colima/daemon"
+	"github.com/abiosoft/colima/daemon/process/gvproxy"
+	"github.com/abiosoft/colima/daemon/process/vmnet"
+	"github.com/abiosoft/colima/environment/vm/lima/limautil"
 
 	"github.com/abiosoft/colima/cli"
 	"github.com/abiosoft/colima/config"
 	"github.com/abiosoft/colima/environment"
-	"github.com/abiosoft/colima/environment/vm/lima/network"
 	"github.com/abiosoft/colima/util"
 	"github.com/abiosoft/colima/util/yamlutil"
 	"github.com/sirupsen/logrus"
@@ -46,7 +47,7 @@ func New(host environment.HostActions) environment.VM {
 		host:         host.WithEnv(envs...),
 		home:         home,
 		CommandChain: cli.New("vm"),
-		network:      network.NewManager(host),
+		daemon:       daemon.NewManager(host),
 	}
 }
 
@@ -54,7 +55,6 @@ const (
 	limaInstanceEnvVar = "LIMA_INSTANCE"
 	lima               = "lima"
 	limactl            = "limactl"
-	layerEnvVar        = "COLIMA_LAYER_SSH_PORT"
 )
 
 func limaHome() (string, error) {
@@ -96,7 +96,7 @@ type limaVM struct {
 	home string
 
 	// network between host and the vm
-	network network.Manager
+	daemon daemon.Manager
 }
 
 func (l limaVM) Dependencies() []string {
@@ -105,14 +105,14 @@ func (l limaVM) Dependencies() []string {
 	}
 }
 
-func (l *limaVM) prepareNetwork(ctx context.Context, conf config.Network) (context.Context, error) {
+func (l *limaVM) startDaemon(ctx context.Context, conf config.Config) (context.Context, error) {
 	// limited to macOS for now
 	if !util.MacOS() {
 		return ctx, nil
 	}
 
-	ctxKeyVmnet := network.CtxKey(vmnet.Name())
-	ctxKeyGVProxy := network.CtxKey(gvproxy.Name())
+	ctxKeyVmnet := daemon.CtxKey(vmnet.Name())
+	ctxKeyGVProxy := daemon.CtxKey(gvproxy.Name())
 
 	// use a nested chain for convenience
 	a := l.Init(ctx)
@@ -121,10 +121,10 @@ func (l *limaVM) prepareNetwork(ctx context.Context, conf config.Network) (conte
 	a.Stage("preparing network")
 	a.Add(func() error {
 		ctx = context.WithValue(ctx, ctxKeyGVProxy, true)
-		if conf.Address {
+		if conf.Network.Address {
 			ctx = context.WithValue(ctx, ctxKeyVmnet, true)
 		}
-		deps, root := l.network.Dependencies(ctx)
+		deps, root := l.daemon.Dependencies(ctx)
 		if deps.Installed() {
 			return nil
 		}
@@ -139,14 +139,14 @@ func (l *limaVM) prepareNetwork(ctx context.Context, conf config.Network) (conte
 	})
 
 	a.Add(func() error {
-		return l.network.Start(ctx)
+		return l.daemon.Start(ctx)
 	})
 
 	// delay to ensure that the vmnet is running
-	statusKey := "networkStatus"
-	if conf.Address {
+	statusKey := struct{ key string }{key: "networkStatus"}
+	if conf.Network.Address {
 		a.Retry("", time.Second*3, 5, func(i int) error {
-			s, err := l.network.Running(ctx)
+			s, err := l.daemon.Running(ctx)
 			ctx = context.WithValue(ctx, statusKey, s)
 			if err != nil {
 				return err
@@ -166,7 +166,7 @@ func (l *limaVM) prepareNetwork(ctx context.Context, conf config.Network) (conte
 	// network failure is not fatal
 	if err := a.Exec(); err != nil {
 		func() {
-			status, ok := ctx.Value(statusKey).(network.Status)
+			status, ok := ctx.Value(statusKey).(daemon.Status)
 			if !ok {
 				return
 			}
@@ -177,7 +177,7 @@ func (l *limaVM) prepareNetwork(ctx context.Context, conf config.Network) (conte
 
 			for _, p := range status.Processes {
 				if !p.Running {
-					ctx = context.WithValue(ctx, network.CtxKey(p.Name), false)
+					ctx = context.WithValue(ctx, daemon.CtxKey(p.Name), false)
 					log.Warnln(fmt.Errorf("error starting %s: %w", p.Name, err))
 				}
 			}
@@ -185,7 +185,7 @@ func (l *limaVM) prepareNetwork(ctx context.Context, conf config.Network) (conte
 	}
 
 	// preserve gvproxy context
-	if gvproxyEnabled, _ := ctx.Value(network.CtxKey(gvproxy.Name())).(bool); gvproxyEnabled {
+	if gvproxyEnabled, _ := ctx.Value(daemon.CtxKey(gvproxy.Name())).(bool); gvproxyEnabled {
 		l.host = l.host.WithEnv(gvproxy.SubProcessEnvVar + "=1")
 	}
 
@@ -200,7 +200,7 @@ func (l *limaVM) Start(ctx context.Context, conf config.Config) error {
 	}
 
 	a.Add(func() (err error) {
-		ctx, err = l.prepareNetwork(ctx, conf.Network)
+		ctx, err = l.startDaemon(ctx, conf)
 		return err
 	})
 
@@ -255,7 +255,7 @@ func (l limaVM) resume(ctx context.Context, conf config.Config) error {
 	}
 
 	a.Add(func() (err error) {
-		ctx, err = l.prepareNetwork(ctx, conf.Network)
+		ctx, err = l.startDaemon(ctx, conf)
 		return err
 	})
 
@@ -281,7 +281,7 @@ func (l limaVM) resume(ctx context.Context, conf config.Config) error {
 }
 
 func (l limaVM) Running(ctx context.Context) bool {
-	i, err := Instance()
+	i, err := limautil.Instance()
 	if err != nil {
 		logrus.Trace(fmt.Errorf("error retrieving running instance: %w", err))
 		return false
@@ -301,7 +301,7 @@ func (l limaVM) Stop(ctx context.Context, force bool) error {
 
 	if util.MacOS() {
 		a.Retry("", time.Second*1, 10, func(retryCount int) error {
-			return l.network.Stop(ctx)
+			return l.daemon.Stop(ctx)
 		})
 	}
 
@@ -320,7 +320,7 @@ func (l limaVM) Teardown(ctx context.Context) error {
 
 	if util.MacOS() {
 		a.Retry("", time.Second*1, 10, func(retryCount int) error {
-			return l.network.Stop(ctx)
+			return l.daemon.Stop(ctx)
 		})
 	}
 
diff --git a/environment/vm/lima/cmds.go b/environment/vm/lima/limautil/limautil.go
similarity index 98%
rename from environment/vm/lima/cmds.go
rename to environment/vm/lima/limautil/limautil.go
index 556f83627..c33b48247 100644
--- a/environment/vm/lima/cmds.go
+++ b/environment/vm/lima/limautil/limautil.go
@@ -1,4 +1,4 @@
-package lima
+package limautil
 
 import (
 	"bufio"
@@ -16,6 +16,44 @@ import (
 	"gopkg.in/yaml.v3"
 )
 
+const (
+	LayerEnvVar = "COLIMA_LAYER_SSH_PORT"
+)
+
+// Instance returns current instance.
+func Instance() (InstanceInfo, error) {
+	return getInstance(config.CurrentProfile().ID)
+}
+
+// InstanceConfig returns the current instance config.
+func InstanceConfig() (config.Config, error) {
+	i, err := Instance()
+	if err != nil {
+		return config.Config{}, err
+	}
+	return i.Config()
+}
+
+// IPAddress returns the ip address for profile.
+// It returns the PTP address if networking is enabled or falls back to 127.0.0.1.
+// It is guaranteed to return a value.
+// TODO: unnecessary round-trip is done to get instance details from Lima.
+func IPAddress(profileID string) string {
+	// profile = toUserFriendlyName(profile)
+
+	const fallback = "127.0.0.1"
+	instance, err := getInstance(profileID)
+	if err != nil {
+		return fallback
+	}
+
+	if len(instance.Network) > 0 {
+		return getIPAddress(profileID, instance.Network[0].Interface)
+	}
+
+	return fallback
+}
+
 // InstanceInfo is the information about a Lima instance
 type InstanceInfo struct {
 	Name    string `json:"name,omitempty"`
@@ -61,25 +99,117 @@ func (i InstanceInfo) Config() (config.Config, error) {
 	return c, nil
 }
 
-// Lima statuses
-const (
-	limaStatusRunning = "Running"
-)
+// ShowSSH runs the show-ssh command in Lima.
+// returns the ssh output, if in layer, and an error if any
+func ShowSSH(profileID string, layer bool, format string) (resp struct {
+	Output    string
+	IPAddress string
+	Layer     bool
+}, err error) {
+	var buf bytes.Buffer
+	cmd := cli.Command("limactl", "show-ssh", "--format", format, profileID)
+	cmd.Stdout = &buf
+	cmd.Stderr = os.Stderr
 
-// Instance returns current instance.
-func Instance() (InstanceInfo, error) {
-	return getInstance(config.CurrentProfile().ID)
+	if err := cmd.Run(); err != nil {
+		return resp, fmt.Errorf("error retrieving ssh config: %w", err)
+	}
+
+	ip := IPAddress(profileID)
+	var port int
+	if layer {
+		port, _ = ubuntuSSHPort(profileID)
+		// if layer is active and public IP is available, use the fixed port
+		if port > 0 && ip != "127.0.0.1" {
+			port = 23
+		}
+	} else {
+		ip = "127.0.0.1"
+	}
+
+	out := buf.String()
+	switch format {
+	case "config":
+		out = replaceSSHConfig(out, profileID, ip, port)
+	case "cmd", "args":
+		out = replaceSSHCmd(out, profileID, ip, port)
+	default:
+		return resp, fmt.Errorf("unsupported format '%v'", format)
+	}
+
+	resp.Output = out
+	resp.IPAddress = ip
+	resp.Layer = port > 0
+	return resp, nil
 }
 
-// InstanceConfig returns the current instance config.
-func InstanceConfig() (config.Config, error) {
-	i, err := Instance()
-	if err != nil {
-		return config.Config{}, err
+func replaceSSHCmd(cmd string, name string, ip string, port int) string {
+	var out []string
+
+	for _, s := range strings.Fields(cmd) {
+		if port > 0 {
+			if strings.HasPrefix(s, "ControlPath=") {
+				s = "ControlPath=" + strconv.Quote(filepath.Join(config.Dir(), "ssh.sock"))
+			}
+			if strings.HasPrefix(s, "Port=") {
+				s = "Port=" + strconv.Itoa(port)
+			}
+			if strings.HasPrefix(s, "Hostname=") {
+				s = "Hostname=" + ip
+			}
+		}
+
+		out = append(out, s)
 	}
-	return i.Config()
+
+	if out[len(out)-1] == "lima-"+name {
+		out[len(out)-1] = ip
+	}
+
+	return strings.Join(out, " ")
+}
+func replaceSSHConfig(conf string, name string, ip string, port int) string {
+	var out bytes.Buffer
+	scanner := bufio.NewScanner(strings.NewReader(conf))
+
+	hasPrefix := func(line, s string) (pad string, ok bool) {
+		if s != "" && strings.HasPrefix(strings.TrimSpace(line), s) {
+			return line[:strings.Index(line, s[:1])], true
+		}
+		return "", false
+	}
+
+	for scanner.Scan() {
+		line := scanner.Text()
+
+		if strings.HasPrefix(line, "Host ") {
+			line = "Host " + name
+		}
+
+		if port > 0 {
+			if pad, ok := hasPrefix(line, "ControlPath "); ok {
+				line = pad + "ControlPath " + strconv.Quote(filepath.Join(config.Dir(), "ssh.sock"))
+			}
+
+			if pad, ok := hasPrefix(line, "Hostname "); ok {
+				line = pad + "Hostname " + ip
+			}
+
+			if pad, ok := hasPrefix(line, "Port"); ok {
+				line = pad + "Port " + strconv.Itoa(port)
+			}
+		}
+
+		_, _ = fmt.Fprintln(&out, line)
+	}
+	return out.String()
 }
 
+// Lima statuses
+const (
+	limaStatusRunning = "Running"
+)
+
 func getInstance(profileID string) (InstanceInfo, error) {
 	var i InstanceInfo
 	var buf bytes.Buffer
@@ -141,7 +271,6 @@ func Instances() ([]InstanceInfo, error) {
 
 	return instances, nil
 }
-
 func getIPAddress(profileID, interfaceName string) string {
 	var buf bytes.Buffer
 	// TODO: this should be less hacky
@@ -156,7 +285,7 @@ func getIPAddress(profileID, interfaceName string) string {
 
 func ubuntuSSHPort(profileID string) (int, error) {
 	var buf bytes.Buffer
-	cmd := cli.Command("limactl", "shell", profileID, "--", "sh", "-c", "echo $"+layerEnvVar)
+	cmd := cli.Command("limactl", "shell", profileID, "--", "sh", "-c", "echo $"+LayerEnvVar)
 	cmd.Stdout = &buf
 
 	if err := cmd.Run(); err != nil {
@@ -175,10 +304,8 @@ func getRuntime(conf config.Config) string {
 	var runtime string
 
 	switch conf.Runtime {
-	case "docker":
-		runtime = "docker"
-	case "containerd":
-		runtime = "containerd"
+	case "docker", "containerd":
+		runtime = conf.Runtime
 	default:
 		return ""
 	}
@@ -188,129 +315,3 @@ func getRuntime(conf config.Config) string {
 	}
 	return runtime
 }
-
-// IPAddress returns the ip address for profile.
-// It returns the PTP address if networking is enabled or falls back to 127.0.0.1.
-// It is guaranteed to return a value.
-// TODO: unnecessary round-trip is done to get instance details from Lima.
-func IPAddress(profileID string) string {
-	// profile = toUserFriendlyName(profile)
-
-	const fallback = "127.0.0.1"
-	instance, err := getInstance(profileID)
-	if err != nil {
-		return fallback
-	}
-
-	if len(instance.Network) > 0 {
-		return getIPAddress(profileID, instance.Network[0].Interface)
-	}
-
-	return fallback
-}
-
-// ShowSSH runs the show-ssh command in Lima.
-// returns the ssh output, if in layer, and an error if any
-func ShowSSH(profileID string, layer bool, format string) (resp struct {
-	Output    string
-	IPAddress string
-	Layer     bool
-}, err error) {
-	var buf bytes.Buffer
-	cmd := cli.Command("limactl", "show-ssh", "--format", format, profileID)
-	cmd.Stdout = &buf
-	cmd.Stderr = os.Stderr
-
-	if err := cmd.Run(); err != nil {
-		return resp, fmt.Errorf("error retrieving ssh config: %w", err)
-	}
-
-	ip := IPAddress(profileID)
-	var port int
-	if layer {
-		port, _ = ubuntuSSHPort(profileID)
-		// if layer is active and public IP is available, use the fixed port
-		if port > 0 && ip != "127.0.0.1" {
-			port = 23
-		}
-	} else {
-		ip = "127.0.0.1"
-	}
-
-	out := buf.String()
-	switch format {
-	case "config":
-		out = replaceSSHConfig(out, profileID, ip, port)
-	case "cmd", "args":
-		out = replaceSSHCmd(out, profileID, ip, port)
-	default:
-		return resp, fmt.Errorf("unsupported format '%v'", format)
-	}
-
-	resp.Output = out
-	resp.IPAddress = ip
-	resp.Layer = port > 0
-	return resp, nil
-}
-
-func replaceSSHCmd(cmd string, name string, ip string, port int) string {
-	var out []string
-
-	for _, s := range strings.Fields(cmd) {
-		if port > 0 {
-			if strings.HasPrefix(s, "ControlPath=") {
-				s = "ControlPath=" + strconv.Quote(filepath.Join(config.Dir(), "ssh.sock"))
-			}
-			if strings.HasPrefix(s, "Port=") {
-				s = "Port=" + strconv.Itoa(port)
-			}
-			if strings.HasPrefix(s, "Hostname=") {
-				s = "Hostname=" + ip
-			}
-		}
-
-		out = append(out, s)
-	}
-
-	if out[len(out)-1] == "lima-"+name {
-		out[len(out)-1] = ip
-	}
-
-	return strings.Join(out, " ")
-}
-func replaceSSHConfig(conf string, name string, ip string, port int) string {
-	var out bytes.Buffer
-	scanner := bufio.NewScanner(strings.NewReader(conf))
-
-	hasPrefix := func(line, s string) (pad string, ok bool) {
-		if s != "" && strings.HasPrefix(strings.TrimSpace(line), s) {
-			return line[:strings.Index(line, s[:1])], true
-		}
-		return "", false
-	}
-
-	for scanner.Scan() {
-		line := scanner.Text()
-
-		if strings.HasPrefix(line, "Host ") {
-			line = "Host " + name
-		}
-
-		if port > 0 {
-			if pad, ok := hasPrefix(line, "ControlPath "); ok {
-				line = pad + "ControlPath " + strconv.Quote(filepath.Join(config.Dir(), "ssh.sock"))
-			}
-
-			if pad, ok := hasPrefix(line, "Hostname "); ok {
-				line = pad + "Hostname " + ip
-			}
-
-			if pad, ok := hasPrefix(line, "Port"); ok {
-				line = pad + "Port " + strconv.Itoa(port)
-			}
-		}
-
-		_, _ = fmt.Fprintln(&out, line)
-	}
-	return out.String()
-}
diff --git a/environment/vm/lima/network/daemon/daemon_test.go b/environment/vm/lima/network/daemon/daemon_test.go
deleted file mode 100644
index 2d57a22fa..000000000
--- a/environment/vm/lima/network/daemon/daemon_test.go
+++ /dev/null
@@ -1,70 +0,0 @@
-package daemon
-
-import (
-	"context"
-	"os"
-	"os/exec"
-	"testing"
-	"time"
-)
-
-func TestStart(t *testing.T) {
-	var addresses = []string{
-		"localhost",
-		"127.0.0.1",
-	}
-
-	var processes []Process
-	for _, add := range addresses {
-		processes = append(processes, &pinger{address: add})
-	}
-
-	timeout := time.Second * 30
-	ctx, cancel := context.WithTimeout(context.Background(), timeout)
-
-	// start the processes
-	done := make(chan error, 1)
-	go func() {
-		done <- Run(ctx, processes...)
-	}()
-
-	cancel()
-
-	select {
-	case <-ctx.Done():
-		if err := ctx.Err(); err != context.Canceled {
-			t.Error(err)
-		}
-	case err := <-done:
-		t.Error(err)
-	}
-
-}
-
-var _ Process = (*pinger)(nil)
-
-type pinger struct {
-	address string
-}
-
-func (p pinger) Alive(ctx context.Context) error {
-	return nil
-}
-
-// Name implements BgProcess
-func (pinger) Name() string { return "pinger" }
-
-// Start implements BgProcess
-func (p *pinger) Start(ctx context.Context) error {
-	return p.run(ctx, "ping", "-c10", p.address)
-}
-
-// Start implements BgProcess
-func (p *pinger) Dependencies() ([]Dependency, bool) { return nil, false }
-
-func (p *pinger) run(ctx context.Context, command string, args ...string) error {
-	cmd := exec.CommandContext(ctx, command, args...)
-	cmd.Stdout = os.Stderr
-	cmd.Stderr = os.Stderr
-	return cmd.Run()
-}
diff --git a/environment/vm/lima/yaml.go b/environment/vm/lima/yaml.go
index dfba2e658..3abd2805a 100644
--- a/environment/vm/lima/yaml.go
+++ b/environment/vm/lima/yaml.go
@@ -10,15 +10,16 @@ import (
 	"strconv"
 	"strings"
 
-	"github.com/abiosoft/colima/environment/vm/lima/network"
-	"github.com/abiosoft/colima/environment/vm/lima/network/daemon/gvproxy"
-	"github.com/abiosoft/colima/environment/vm/lima/network/daemon/vmnet"
+	"github.com/abiosoft/colima/daemon"
+	"github.com/abiosoft/colima/daemon/process/gvproxy"
+	"github.com/abiosoft/colima/daemon/process/vmnet"
 	"gopkg.in/yaml.v3"
 
 	"github.com/abiosoft/colima/config"
 	"github.com/abiosoft/colima/embedded"
 	"github.com/abiosoft/colima/environment"
 	"github.com/abiosoft/colima/environment/container/docker"
+	"github.com/abiosoft/colima/environment/vm/lima/limautil"
 	"github.com/abiosoft/colima/util"
 	"github.com/sirupsen/logrus"
 )
@@ -60,11 +61,11 @@ func newConf(ctx context.Context, conf config.Config) (l Config, err error) {
 
 	l.DNS = conf.Network.DNS
 	if len(l.DNS) == 0 {
-		gvProxyEnabled, _ := ctx.Value(network.CtxKey(gvproxy.Name())).(bool)
+		gvProxyEnabled, _ := ctx.Value(daemon.CtxKey(gvproxy.Name())).(bool)
 		if gvProxyEnabled {
 			l.DNS = append(l.DNS, net.ParseIP(gvproxy.GatewayIP))
 		}
-		reachableIPAddress, _ := ctx.Value(network.CtxKey(vmnet.Name())).(bool)
+		reachableIPAddress, _ := ctx.Value(daemon.CtxKey(vmnet.Name())).(bool)
 		if reachableIPAddress {
 			l.DNS = append(l.DNS, net.ParseIP(vmnet.NetGateway))
 		}
@@ -84,7 +85,7 @@ func newConf(ctx context.Context, conf config.Config) (l Config, err error) {
 
 	// network setup
 	{
-		reachableIPAddress, _ := ctx.Value(network.CtxKey(vmnet.Name())).(bool)
+		reachableIPAddress, _ := ctx.Value(daemon.CtxKey(vmnet.Name())).(bool)
 
 		// network is currently limited to macOS.
 		// gvproxy is cross platform but not needed on Linux as slirp is only erratic on macOS.
@@ -128,7 +129,7 @@ func newConf(ctx context.Context, conf config.Config) (l Config, err error) {
 				values.Vmnet.Interface = vmnet.NetInterface
 			}
 
-			gvProxyEnabled, _ := ctx.Value(network.CtxKey(gvproxy.Name())).(bool)
+			gvProxyEnabled, _ := ctx.Value(daemon.CtxKey(gvproxy.Name())).(bool)
 			if gvProxyEnabled {
 				values.GVProxy.Enabled = true
 				values.GVProxy.MacAddress = strings.ToUpper(gvproxy.MacAddress())
@@ -185,7 +186,7 @@ func newConf(ctx context.Context, conf config.Config) (l Config, err error) {
 	if conf.Layer {
 		port := util.RandomAvailablePort()
 		// set port for future retrieval
-		l.Env[layerEnvVar] = strconv.Itoa(port)
+		l.Env[limautil.LayerEnvVar] = strconv.Itoa(port)
 		// forward port
 		l.PortForwards = append(l.PortForwards,
 			PortForward{
diff --git a/go.mod b/go.mod
index 2fb25ddc1..802a7e561 100644
--- a/go.mod
+++ b/go.mod
@@ -35,9 +35,10 @@ require (
 require (
 	github.com/containers/gvisor-tap-vsock v0.3.0
 	github.com/docker/go-units v0.4.0
+	github.com/fsnotify/fsnotify v1.5.4
 	github.com/inconshreveable/mousetrap v1.0.0 // indirect
 	github.com/mattn/go-colorable v0.1.8 // indirect
 	github.com/mattn/go-isatty v0.0.12 // indirect
 	github.com/spf13/pflag v1.0.5 // indirect
-	golang.org/x/sys v0.0.0-20210809222454-d867a43fc93e // indirect
+	golang.org/x/sys v0.0.0-20220412211240-33da011f77ad // indirect
 )
diff --git a/go.sum b/go.sum
index f12972383..a37edf340 100644
--- a/go.sum
+++ b/go.sum
@@ -219,6 +219,8 @@ github.com/form3tech-oss/jwt-go v3.2.2+incompatible/go.mod h1:pbq4aXjuKjdthFRnoD
 github.com/frankban/quicktest v1.11.3/go.mod h1:wRf/ReqHper53s+kmmSZizM8NamnL3IM0I9ntUbOk+k=
 github.com/fsnotify/fsnotify v1.4.7/go.mod h1:jwhsz4b93w/PPRr/qN1Yymfu8t87LnFCMoQvtojpjFo=
 github.com/fsnotify/fsnotify v1.4.9/go.mod h1:znqG4EE+3YCdAaPaxE2ZRY/06pZUdp0tY4IgpuI1SZQ=
+github.com/fsnotify/fsnotify v1.5.4 h1:jRbGcIw6P2Meqdwuo0H1p6JVLbL5DHKAKlYndzMwVZI=
+github.com/fsnotify/fsnotify v1.5.4/go.mod h1:OVB6XrOHzAwXMpEM7uPOzcehqUV2UqJxmVXmkdnm1bU=
 github.com/fullsailor/pkcs7 v0.0.0-20190404230743-d7302db945fa/go.mod h1:KnogPXtdwXqoenmZCw6S+25EAm2MkxbG0deNDu4cbSA=
 github.com/garyburd/redigo v0.0.0-20150301180006-535138d7bcd7/go.mod h1:NR3MbYisc3/PwhQ00EMzDiPmrwpPxAn5GI05/YaO1SY=
 github.com/ghodss/yaml v0.0.0-20150909031657-73d445a93680/go.mod h1:4dBDuWmgqj2HViK6kFavaiC9ZROes6MMH2rRYeMEF04=
@@ -890,8 +892,9 @@ golang.org/x/sys v0.0.0-20210423082822-04245dca01da/go.mod h1:h1NjWce9XRLGQEsW7w
 golang.org/x/sys v0.0.0-20210510120138-977fb7262007/go.mod h1:oPkhp1MJrh7nUepCBck5+mAzfO9JrbApNNgaTdGDITg=
 golang.org/x/sys v0.0.0-20210525143221-35b2ab0089ea/go.mod h1:oPkhp1MJrh7nUepCBck5+mAzfO9JrbApNNgaTdGDITg=
 golang.org/x/sys v0.0.0-20210615035016-665e8c7367d1/go.mod h1:oPkhp1MJrh7nUepCBck5+mAzfO9JrbApNNgaTdGDITg=
-golang.org/x/sys v0.0.0-20210809222454-d867a43fc93e h1:WUoyKPm6nCo1BnNUvPGnFG3T5DUVem42yDJZZ4CNxMA=
 golang.org/x/sys v0.0.0-20210809222454-d867a43fc93e/go.mod h1:oPkhp1MJrh7nUepCBck5+mAzfO9JrbApNNgaTdGDITg=
+golang.org/x/sys v0.0.0-20220412211240-33da011f77ad h1:ntjMns5wyP/fN65tdBD4g8J5w8n015+iIIs9rtjXkY0=
+golang.org/x/sys v0.0.0-20220412211240-33da011f77ad/go.mod h1:oPkhp1MJrh7nUepCBck5+mAzfO9JrbApNNgaTdGDITg=
 golang.org/x/term v0.0.0-20201117132131-f5c789dd3221/go.mod h1:Nr5EML6q2oocZ2LXRh80K7BxOlk5/8JxuGnuhpl+muw=
 golang.org/x/term v0.0.0-20201126162022-7de9c90e9dd1 h1:v+OssWQX+hTHEmOBgwxdZxK4zHq3yOs8F9J7mk0PY8E=
 golang.org/x/term v0.0.0-20201126162022-7de9c90e9dd1/go.mod h1:bj7SfCRtBDWHUb9snDiAeCFNEtKQo2Wmx5Cou7ajbmo=
diff --git a/scripts/build.sh b/scripts/build.sh
index c64a9e7f3..e7267ec9d 100644
--- a/scripts/build.sh
+++ b/scripts/build.sh
@@ -16,10 +16,12 @@ go build \
     -o "$OUTPUT_DIR/$OUTPUT_BIN" \
     ./cmd/colima
 
-# sha256sum is not on macOS by default, use shasum
+# sha256sum is not on macOS by default, use shasum if missing
 SHA256SUM=sha256sum
 if [[ "$OSTYPE" == "darwin"* ]]; then
-    SHA256SUM="shasum -a 256"
+    if ! command -v "${SHA256SUM}" &>/dev/null; then
+        SHA256SUM="shasum -a 256"
+    fi
 fi
 
 cd "${OUTPUT_DIR}" && ${SHA256SUM} "${OUTPUT_BIN}" >"${OUTPUT_BIN}.sha256sum"
diff --git a/shell.nix b/shell.nix
new file mode 100644
index 000000000..dbd40bc2d
--- /dev/null
+++ b/shell.nix
@@ -0,0 +1,13 @@
+{ pkgs ? import <nixpkgs> { } }:
+
+pkgs.mkShell {
+  # nativeBuildInputs is usually what you want -- tools you need to run
+  nativeBuildInputs = with pkgs.buildPackages; [
+    go_1_18
+    git
+    coreutils
+  ];
+  shellHook = ''
+    export CGO_ENABLED=0
+  '';
+}