diff --git a/app.go b/app.go
index 1c74e14d..2e72e1de 100644
--- a/app.go
+++ b/app.go
@@ -8,11 +8,9 @@ import (
 	"net/http"
 	"os"
 	"os/signal"
-	"path"
 	"path/filepath"
 	"runtime"
 	"strconv"
-	"strings"
 	"syscall"
 	"time"
 
@@ -26,9 +24,6 @@ import (
 var VersionString = "undefined"
 
 const (
-	// We use it to detect the working dir
-	executableName = "AdGuardHome"
-
 	// Used in config to indicate that syslog or eventlog (win) should be used for logger output
 	configSyslog = "syslog"
 )
@@ -65,7 +60,7 @@ func run(args options) {
 	}
 
 	// configure working dir and config path
-	initWorkingDir()
+	initWorkingDir(args)
 
 	// configure log level and output
 	configureLogger(args)
@@ -160,21 +155,17 @@ func run(args options) {
 }
 
 // initWorkingDir initializes the ourBinaryDir (basically, we use it as a working dir)
-func initWorkingDir() {
+func initWorkingDir(args options) {
 	exec, err := os.Executable()
 	if err != nil {
 		panic(err)
 	}
 
-	currentExecutableName := filepath.Base(exec)
-	currentExecutableName = strings.TrimSuffix(currentExecutableName, path.Ext(currentExecutableName))
-	if currentExecutableName == executableName {
-		// Binary build
-		config.ourBinaryDir = filepath.Dir(exec)
+	if args.configFilename != "" {
+		// If there is a custom config file, use it's directory as our working dir
+		config.ourBinaryDir = filepath.Dir(args.configFilename)
 	} else {
-		// Most likely we're debugging -- using current working directory in this case
-		workDir, _ := os.Getwd()
-		config.ourBinaryDir = workDir
+		config.ourBinaryDir = filepath.Dir(exec)
 	}
 }
 
@@ -356,11 +347,8 @@ func promptAndGetPassword(prompt string) (string, error) {
 }
 
 func askUsernamePasswordIfPossible() error {
-	configfile := config.ourConfigFilename
-	if !filepath.IsAbs(configfile) {
-		configfile = filepath.Join(config.ourBinaryDir, config.ourConfigFilename)
-	}
-	_, err := os.Stat(configfile)
+	configFile := config.getConfigFilename()
+	_, err := os.Stat(configFile)
 	if !os.IsNotExist(err) {
 		// do nothing, file exists
 		return nil
diff --git a/config.go b/config.go
index ca9f52e5..33d717ef 100644
--- a/config.go
+++ b/config.go
@@ -87,6 +87,15 @@ var config = configuration{
 	SchemaVersion: currentSchemaVersion,
 }
 
+// getConfigFilename returns path to the current config file
+func (c *configuration) getConfigFilename() string {
+	configFile := config.ourConfigFilename
+	if !filepath.IsAbs(configFile) {
+		configFile = filepath.Join(config.ourBinaryDir, config.ourConfigFilename)
+	}
+	return configFile
+}
+
 // getLogSettings reads logging settings from the config file.
 // we do it in a separate method in order to configure logger before the actual configuration is parsed and applied.
 func getLogSettings() logSettings {
@@ -104,7 +113,7 @@ func getLogSettings() logSettings {
 
 // parseConfig loads configuration from the YAML file
 func parseConfig() error {
-	configFile := filepath.Join(config.ourBinaryDir, config.ourConfigFilename)
+	configFile := config.getConfigFilename()
 	log.Printf("Reading YAML file: %s", configFile)
 	yamlFile, err := readConfigFile()
 	if err != nil {
@@ -131,7 +140,7 @@ func parseConfig() error {
 
 // readConfigFile reads config file contents if it exists
 func readConfigFile() ([]byte, error) {
-	configFile := filepath.Join(config.ourBinaryDir, config.ourConfigFilename)
+	configFile := config.getConfigFilename()
 	if _, err := os.Stat(configFile); os.IsNotExist(err) {
 		// do nothing, file doesn't exist
 		return nil, nil
@@ -143,7 +152,7 @@ func readConfigFile() ([]byte, error) {
 func (c *configuration) write() error {
 	c.Lock()
 	defer c.Unlock()
-	configFile := filepath.Join(config.ourBinaryDir, config.ourConfigFilename)
+	configFile := config.getConfigFilename()
 	log.Printf("Writing YAML file: %s", configFile)
 	yamlText, err := yaml.Marshal(&config)
 	if err != nil {
diff --git a/upgrade.go b/upgrade.go
index 4b142de6..3d79e744 100644
--- a/upgrade.go
+++ b/upgrade.go
@@ -15,7 +15,7 @@ const currentSchemaVersion = 2 // used for upgrading from old configs to new con
 // Performs necessary upgrade operations if needed
 func upgradeConfig() error {
 	// read a config file into an interface map, so we can manipulate values without losing any
-	configFile := filepath.Join(config.ourBinaryDir, config.ourConfigFilename)
+	configFile := config.getConfigFilename()
 	if _, err := os.Stat(configFile); os.IsNotExist(err) {
 		log.Printf("config file %s does not exist, nothing to upgrade", configFile)
 		return nil
@@ -74,7 +74,7 @@ func upgradeConfigSchema(oldVersion int, diskConfig *map[string]interface{}) err
 		return err
 	}
 
-	configFile := filepath.Join(config.ourBinaryDir, config.ourConfigFilename)
+	configFile := config.getConfigFilename()
 	body, err := yaml.Marshal(diskConfig)
 	if err != nil {
 		log.Printf("Couldn't generate YAML file: %s", err)