diff --git a/lib/commands/generate.js b/lib/commands/generate.js
index f2d5e514b..349cf557c 100644
--- a/lib/commands/generate.js
+++ b/lib/commands/generate.js
@@ -26,6 +26,7 @@ var skeletonData = {
   isLambda: false,
   isApi: false,
   handlerPath: false,
+  isNew: false
 };
 
 /**
@@ -45,7 +46,7 @@ function _getAnswers(resourceName, functionName, isLambda, isApi, lambdaRuntime)
     prompts.push({
       type: 'confirm',
       name: 'isLambda',
-      message: 'Create lambda function:',
+      message: 'Create a new lambda function:',
       default: true,
     });
   } else {
@@ -56,7 +57,7 @@ function _getAnswers(resourceName, functionName, isLambda, isApi, lambdaRuntime)
     prompts.push({
       type: 'confirm',
       name: 'isApi',
-      message: 'Create api gateway config:',
+      message: 'Create a new api gateway endpoint:',
       default: true,
     });
   } else {
@@ -67,7 +68,7 @@ function _getAnswers(resourceName, functionName, isLambda, isApi, lambdaRuntime)
     prompts.push({
       type: 'input',
       name: 'resourceName',
-      message: 'What is the name of the resource this action is for (lambda folder will be put in this dir):',
+      message: 'Name the resource this is for (e.g., users, images, data):',
       default: 'users',
     });
   } else {
@@ -78,7 +79,7 @@ function _getAnswers(resourceName, functionName, isLambda, isApi, lambdaRuntime)
     prompts.push({
       type: 'input',
       name: 'functionName',
-      message: 'What is the name of the action (if lambda, this will be the function name)',
+      message: 'Name the action for this resource (create, update, delete):',
       default: 'create',
     });
   } else {
@@ -190,11 +191,15 @@ function _createSkeleton() {
             utils.writeFile(path.join(fullLambdaDir, 'event.json'), '{}')
         );
 
-        if (!fs.existsSync(targetPackageJsonPath)) {  //Don't make package json if one already exists
-          utils.logIfVerbose('creating package.json as it does not exist');
+        // Make package.json, if it doesn't exist already
+        if (!fs.existsSync(targetPackageJsonPath)) {
+          utils.logIfVerbose('creating package.json since it does not exist');
           writeFilesDeferred.push(
               utils.writeFile(targetPackageJsonPath, JSON.stringify(packageJson, null, 2))
           );
+
+          // Remind user to npm install
+          skeletonData.isNew = true;
         }
 
         break;
@@ -214,5 +219,14 @@ function _createSkeleton() {
 module.exports.generate = function(isLambda, isApi, functionName, resourceName, lambdaRuntime) {
   return _getAnswers(resourceName, functionName, isLambda, isApi, lambdaRuntime)
       .then(_prepareData)
-      .then(_createSkeleton);
+      .then(_createSkeleton)
+      .then(function() {
+        // Success message
+        console.log('Successfully created new folders and files in your "back/lambdas" folder.');
+
+        // npm install reminder
+        if (skeletonData.isNew) {
+          console.log('Remember to run \'npm install\' in your "back" directory.');
+        }
+      });
 };
diff --git a/lib/commands/new.js b/lib/commands/new.js
index 8005935d9..94626e828 100644
--- a/lib/commands/new.js
+++ b/lib/commands/new.js
@@ -7,7 +7,6 @@
  */
 
 // TODO: Add region into jaws-cf template using pseudo params via CF
-// TODO:
 
 // Defaults
 var JawsError = require('../jaws-error'),
@@ -266,6 +265,9 @@ function _createProjectDirectory() {
         return Promise.all([
           fs.mkdirAsync(path.join(project.rootPath, 'front')),
           fs.mkdirAsync(path.join(project.rootPath, 'tests')),
+          fs.mkdirAsync(path.join(project.rootPath, 'back/lambdas')),
+          fs.mkdirAsync(path.join(project.rootPath, 'back/lib')),
+          fs.mkdirAsync(path.join(project.rootPath, 'back/node_modules')),
           utils.writeFile(path.join(project.rootPath, 'admin.env'), adminEnv),
           utils.writeFile(path.join(project.rootPath, 'jaws-cf.json'), JSON.stringify(cfTemplate, null, 2)),
         ]);
diff --git a/tests/all.js b/tests/all.js
index 9a11d9474..2ec03cd6c 100644
--- a/tests/all.js
+++ b/tests/all.js
@@ -22,7 +22,7 @@ describe('AllTests', function() {
   /**
    * Tests below create AWS Resources
    */
-  require('./cli/deploy_lambda');
+  //require('./cli/deploy_lambda');
   //require('./cli/deploy_api');
   //require('./cli/new');           //Must be run last
 });