diff --git a/BannerlordModEditor.Common.Tests/Services/ModProjectServiceTests.cs b/BannerlordModEditor.Common.Tests/Services/ModProjectServiceTests.cs
new file mode 100644
index 00000000..c351cc2b
--- /dev/null
+++ b/BannerlordModEditor.Common.Tests/Services/ModProjectServiceTests.cs
@@ -0,0 +1,154 @@
+using System;
+using System.IO;
+using System.Threading.Tasks;
+using Xunit;
+using BannerlordModEditor.Common.Services;
+using BannerlordModEditor.Common.Models.SubModule;
+
+namespace BannerlordModEditor.Common.Tests.Services
+{
+    public class ModProjectServiceTests
+    {
+        private readonly ModProjectService _service;
+
+        public ModProjectServiceTests()
+        {
+            _service = new ModProjectService(new SubModuleLoader());
+        }
+
+        [Fact]
+        public void ValidateModName_ReturnsTrueForValidName()
+        {
+            Assert.True(_service.ValidateModName("MyMod"));
+            Assert.True(_service.ValidateModName("My_Cool_Mod"));
+            Assert.True(_service.ValidateModName("Mod123"));
+        }
+
+        [Fact]
+        public void ValidateModName_ReturnsFalseForInvalidName()
+        {
+            Assert.False(_service.ValidateModName(""));
+            Assert.False(_service.ValidateModName("A"));
+            Assert.False(_service.ValidateModName("Mod with spaces"));
+            Assert.False(_service.ValidateModName("Mod@Special"));
+        }
+
+        [Fact]
+        public void GenerateModId_ReturnsCorrectId()
+        {
+            Assert.Equal("MyMod", _service.GenerateModId("My Mod"));
+            Assert.Equal("MyCoolMod", _service.GenerateModId("My-Cool-Mod"));
+            Assert.Equal("TestMod123", _service.GenerateModId("Test Mod 123"));
+        }
+
+        [Fact]
+        public async Task CreateModProjectAsync_CreatesProjectStructure()
+        {
+            var tempDir = Path.Combine(Path.GetTempPath(), Guid.NewGuid().ToString());
+            Directory.CreateDirectory(tempDir);
+
+            try
+            {
+                var options = new ModProjectOptions
+                {
+                    ModName = "TestMod",
+                    ModId = "TestMod",
+                    OutputDirectory = tempDir,
+                    UseButrTemplate = true
+                };
+
+                var result = await _service.CreateModProjectAsync(options);
+
+                Assert.True(result.Success);
+                Assert.True(Directory.Exists(result.ProjectPath));
+                Assert.True(File.Exists(Path.Combine(result.ProjectPath, "SubModule.xml")));
+                Assert.True(File.Exists(Path.Combine(result.ProjectPath, "TestMod.csproj")));
+                Assert.True(Directory.Exists(Path.Combine(result.ProjectPath, "ModuleData")));
+                Assert.True(File.Exists(Path.Combine(result.ProjectPath, ".gitignore")));
+                Assert.True(File.Exists(Path.Combine(result.ProjectPath, "README.md")));
+            }
+            finally
+            {
+                if (Directory.Exists(tempDir))
+                    Directory.Delete(tempDir, true);
+            }
+        }
+
+        [Fact]
+        public void CreateModProject_ReturnsErrorForInvalidName()
+        {
+            var options = new ModProjectOptions
+            {
+                ModName = "A",
+                OutputDirectory = "/tmp"
+            };
+
+            var result = _service.CreateModProject(options);
+
+            Assert.False(result.Success);
+            Assert.Contains("Invalid mod name", result.ErrorMessage);
+        }
+
+        [Fact]
+        public void CreateModProject_ReturnsErrorForExistingDirectory()
+        {
+            var tempDir = Path.Combine(Path.GetTempPath(), Guid.NewGuid().ToString());
+            var modDir = Path.Combine(tempDir, "ExistingMod");
+            Directory.CreateDirectory(modDir);
+
+            try
+            {
+                var options = new ModProjectOptions
+                {
+                    ModName = "ExistingMod",
+                    OutputDirectory = tempDir
+                };
+
+                var result = _service.CreateModProject(options);
+
+                Assert.False(result.Success);
+                Assert.Contains("already exists", result.ErrorMessage);
+            }
+            finally
+            {
+                if (Directory.Exists(tempDir))
+                    Directory.Delete(tempDir, true);
+            }
+        }
+
+        [Fact]
+        public void CreateModProject_CreatesValidSubModuleXml()
+        {
+            var tempDir = Path.Combine(Path.GetTempPath(), Guid.NewGuid().ToString());
+            Directory.CreateDirectory(tempDir);
+
+            try
+            {
+                var options = new ModProjectOptions
+                {
+                    ModName = "XmlTestMod",
+                    ModId = "XmlTestMod",
+                    OutputDirectory = tempDir,
+                    DependedModules = new() { "Native", "Sandbox" }
+                };
+
+                var result = _service.CreateModProject(options);
+
+                Assert.True(result.Success);
+
+                var loader = new SubModuleLoader();
+                var subModule = loader.Load(Path.Combine(result.ProjectPath, "SubModule.xml"));
+
+                Assert.NotNull(subModule);
+                Assert.Equal("XmlTestMod", subModule.Name);
+                Assert.Equal("XmlTestMod", subModule.Id);
+                Assert.Equal(2, subModule.DependedModules.Count);
+            }
+            finally
+            {
+                if (Directory.Exists(tempDir))
+                    Directory.Delete(tempDir, true);
+            }
+        }
+    }
+}
diff --git a/BannerlordModEditor.Common/Services/ModProjectService.cs b/BannerlordModEditor.Common/Services/ModProjectService.cs
new file mode 100644
index 00000000..42a9ad62
--- /dev/null
+++ b/BannerlordModEditor.Common/Services/ModProjectService.cs
@@ -0,0 +1,184 @@
+using System;
+using System.Collections.Generic;
+using System.IO;
+using System.Linq;
+using System.Threading.Tasks;
+using BannerlordModEditor.Common.Models.SubModule;
+
+namespace BannerlordModEditor.Common.Services
+{
+    public class ModProjectOptions
+    {
+        public string ModName { get; set; } = string.Empty;
+        public string ModId { get; set; } = string.Empty;
+        public string OutputDirectory { get; set; } = string.Empty;
+        public bool UseButrTemplate { get; set; } = true;
+        public string GameVersion { get; set; } = "Latest";
+        public bool CreateSubModuleXml { get; set; } = true;
+        public bool CreateCsproj { get; set; } = true;
+        public bool CreateModuleDataFolder { get; set; } = true;
+        public List<string> DependedModules { get; set; } = new() { "Native" };
+    }
+
+    public class ModProjectResult
+    {
+        public bool Success { get; set; }
+        public string ProjectPath { get; set; } = string.Empty;
+        public List<string> CreatedFiles { get; set; } = new();
+        public List<string> Errors { get; set; } = new();
+        public string? ErrorMessage { get; set; }
+    }
+
+    public interface IModProjectService
+    {
+        Task<ModProjectResult> CreateModProjectAsync(ModProjectOptions options);
+        ModProjectResult CreateModProject(ModProjectOptions options);
+        bool ValidateModName(string modName);
+        string GenerateModId(string modName);
+    }
+
+    public class ModProjectService : IModProjectService
+    {
+        private readonly ISubModuleLoader _subModuleLoader;
+
+        public ModProjectService(ISubModuleLoader subModuleLoader)
+        {
+            _subModuleLoader = subModuleLoader;
+        }
+
+        public async Task<ModProjectResult> CreateModProjectAsync(ModProjectOptions options)
+        {
+            return await Task.Run(() => CreateModProject(options));
+        }
+
+        public ModProjectResult CreateModProject(ModProjectOptions options)
+        {
+            var result = new ModProjectResult();
+
+            try
+            {
+                if (!ValidateModName(options.ModName))
+                {
+                    result.Success = false;
+                    result.ErrorMessage = "Invalid mod name. Use only letters, numbers, and underscores.";
+                    result.Errors.Add(result.ErrorMessage);
+                    return result;
+                }
+
+                var modId = string.IsNullOrEmpty(options.ModId) 
+                    ? GenerateModId(options.ModName) 
+                    : options.ModId;
+
+                var projectPath = Path.Combine(options.OutputDirectory, options.ModName);
+                if (Directory.Exists(projectPath))
+                {
+                    result.Success = false;
+                    result.ErrorMessage = $"Directory already exists: {projectPath}";
+                    result.Errors.Add(result.ErrorMessage);
+                    return result;
+                }
+
+                Directory.CreateDirectory(projectPath);
+                result.ProjectPath = projectPath;
+
+                if (options.CreateSubModuleXml)
+                {
+                    var subModule = _subModuleLoader.CreateDefault(options.ModName, modId);
+                    subModule.DependedModules = options.DependedModules
+                        .Select(d => new Models.SubModule.DependedModuleDO { Id = d })
+                        .ToList();
+
+                    var subModulePath = Path.Combine(projectPath, "SubModule.xml");
+                    _subModuleLoader.Save(subModule, subModulePath);
+                    result.CreatedFiles.Add(subModulePath);
+                }
+
+                if (options.CreateCsproj)
+                {
+                    var csprojPath = Path.Combine(projectPath, $"{options.ModName}.csproj");
+                    var csprojContent = GenerateCsprojContent(options.ModName, modId, options.UseButrTemplate);
+                    File.WriteAllText(csprojPath, csprojContent);
+                    result.CreatedFiles.Add(csprojPath);
+                }
+
+                if (options.CreateModuleDataFolder)
+                {
+                    var moduleDataPath = Path.Combine(projectPath, "ModuleData");
+                    Directory.CreateDirectory(moduleDataPath);
+                    result.CreatedFiles.Add(moduleDataPath);
+
+                    var emptyXmlPath = Path.Combine(moduleDataPath, "example.xml");
+                    File.WriteAllText(emptyXmlPath, "<?xml version=\"1.0\" encoding=\"utf-8\"?>\n<root>\n</root>");
+                    result.CreatedFiles.Add(emptyXmlPath);
+                }
+
+                var binPath = Path.Combine(projectPath, "bin");
+                Directory.CreateDirectory(binPath);
+
+                var objPath = Path.Combine(projectPath, "obj");
+                Directory.CreateDirectory(objPath);
+
+                var gitignorePath = Path.Combine(projectPath, ".gitignore");
+                File.WriteAllText(gitignorePath, "bin/\nobj/\n*.user\n.vs/");
+                result.CreatedFiles.Add(gitignorePath);
+
+                var readmePath = Path.Combine(projectPath, "README.md");
+                File.WriteAllText(readmePath, $"# {options.ModName}\n\nA Bannerlord Mod created with BannerlordModEditor.");
+                result.CreatedFiles.Add(readmePath);
+
+                result.Success = true;
+            }
+            catch (Exception ex)
+            {
+                result.Success = false;
+                result.ErrorMessage = ex.Message;
+                result.Errors.Add(ex.Message);
+            }
+
+            return result;
+        }
+
+        public bool ValidateModName(string modName)
+        {
+            if (string.IsNullOrWhiteSpace(modName))
+                return false;
+
+            if (modName.Length < 2 || modName.Length > 50)
+                return false;
+
+            return modName.All(c => char.IsLetterOrDigit(c) || c == '_' || c == '-');
+        }
+
+        public string GenerateModId(string modName)
+        {
+            var id = modName.Replace(" ", "").Replace("-", "");
+            return id.Length > 0 ? id : "Mod";
+        }
+
+        private string GenerateCsprojContent(string modName, string modId, bool useButrTemplate)
+        {
+            var targetFramework = "net9.0";
+            var packageReferences = useButrTemplate 
+                ? @"
+    <PackageReference Include=""Bannerlord.ButterLib"" Version=""2.*"" />
+    <PackageReference Include=""Bannerlord.Harmony"" Version=""2.*"" />"
+                : "";
+
+            return $@"<Project Sdk=""Microsoft.NET.Sdk"">
+
+  <PropertyGroup>
+    <TargetFramework>{targetFramework}</TargetFramework>
+    <AssemblyName>{modName}</AssemblyName>
+    <RootNamespace>{modName}</RootNamespace>
+    <Nullable>enable</Nullable>
+    <ImplicitUsings>enable</ImplicitUsings>
+  </PropertyGroup>
+
+  <ItemGroup>
+    <PackageReference Include=""Bannerlord.MountAndBlade"" Version=""1.*"" />{packageReferences}
+  </ItemGroup>
+
+</Project>";
+        }
+    }
+}