diff --git a/src/extension.ts b/src/extension.ts
index 0e6304c..0cbe83b 100644
--- a/src/extension.ts
+++ b/src/extension.ts
@@ -6,8 +6,12 @@ import {
   LanguageClientOptions,
   ServerOptions,
   TransportKind,
+  WorkspaceFolder,
 } from "vscode-languageclient/node";
 import { getHelmLsExecutable } from "./util/executable";
+import path from "path";
+import fs from "fs";
+import url from "url";
 
 let client: LanguageClient;
 
@@ -21,10 +25,27 @@ export async function activate(_: vscode.ExtensionContext) {
 
   console.log("Launching " + helmLsExecutable);
 
+  const workSpacePath = vscode.workspace.workspaceFolders?.[0].uri.path;
+  const filePath = vscode.window.activeTextEditor?.document.fileName;
+  var cwd: string
+
+  console.log("Workspace path: " + workSpacePath, "File path: " + filePath);
+  if (workSpacePath && fs.existsSync(path.join(workSpacePath, "Chart.yaml"))) {
+    console.log("Setting cwd to " + workSpacePath);
+    cwd = workSpacePath
+  }
+  else if (filePath) {
+    console.log("Setting cwd to " + traversePathUpToChartYaml(filePath));
+    cwd = traversePathUpToChartYaml(filePath)
+  }
+
   const executable: Executable = {
     command: helmLsExecutable,
     args: ["serve"],
     transport: TransportKind.stdio,
+    options: {
+      cwd: cwd
+    }
   };
 
   const serverOptions: ServerOptions = {
@@ -35,6 +56,10 @@ export async function activate(_: vscode.ExtensionContext) {
   const clientOptions: LanguageClientOptions = {
     documentSelector: [{ scheme: "file", language: "helm" }],
     synchronize: {},
+    workspaceFolder: {
+      uri: url.pathToFileURL(cwd),
+      name: vscode.workspace.workspaceFolders?.[0].name,
+    }
   };
 
   client = new LanguageClient(
@@ -54,3 +79,14 @@ export function deactivate(): Thenable<void> | undefined {
   }
   return client.stop();
 }
+
+function traversePathUpToChartYaml(directory: string): string {
+  if (fs.existsSync(path.join(directory, "Chart.yaml"))) {
+    return directory
+  }
+  const parent = path.dirname(directory)
+  if (parent === "/") {
+    return ""
+  }
+  return traversePathUpToChartYaml(parent)
+}