diff --git a/.gitignore b/.gitignore
index 8a190b0..b654794 100644
--- a/.gitignore
+++ b/.gitignore
@@ -35,4 +35,6 @@ vault-credentials.json
 
 # SSH keys
 id_rsa
-id_rsa.pub
\ No newline at end of file
+id_rsa.pub
+
+backend.hcl
\ No newline at end of file
diff --git a/README.md b/README.md
index 2323f1c..71f39d8 100644
--- a/README.md
+++ b/README.md
@@ -107,8 +107,11 @@ cd cluster
 # Create SSH key to access droplets
 ssh-keygen -q -t rsa -N '' -f ./id_rsa
 
+# Create a space to hold your terraform state remotely
+./create-backend.sh
+
 # Init terraform
-terraform init
+terraform init -backend-config=./backend.hcl
 
 # Deploy droplets
 terraform apply
diff --git a/cluster/create-backend.sh b/cluster/create-backend.sh
new file mode 100644
index 0000000..487cf29
--- /dev/null
+++ b/cluster/create-backend.sh
@@ -0,0 +1,54 @@
+#!/bin/bash
+
+echo ""
+echo "Open https://cloud.digitalocean.com/spaces"
+echo "Click on 'Create a Space'"
+echo -n "Configure this space in the same region you want to deploy to and "
+echo -n "write down the name you used. You will need it in the next step"
+echo ""
+echo ""
+
+# https://<bucket-name>.<region>.digitaloceanspaces.com
+read -p 'Endpoint URL: ' ENDPOINT_URL
+echo 
+
+IFS='//'
+read -ra ADDR <<< "$ENDPOINT_URL"
+BUCKET_URL="${ADDR[2]}"
+
+# https://www.tutorialkart.com/bash-shell-scripting/bash-split-string/
+IFS='.'
+read -ra ADDR <<< "$BUCKET_URL"
+BUCKET_NAME="${ADDR[0]}"
+REGION="${ADDR[1]}"
+IFS=' '
+
+echo "Bucket Name: ${BUCKET_NAME}"
+echo "Bucket Region: ${REGION}"
+
+echo ""
+echo "Next you'll need to generate some credentials. Head to this URL:"
+echo ""
+echo "https://cloud.digitalocean.com/settings/api/tokens"
+echo ""
+echo "Under 'Spaces access keys' click 'Generate New Key'"
+echo ""
+
+
+read -sp "Access Key: " ACCESS_KEY
+echo ""
+read -sp "Secret Key: " SECRET_KEY
+echo ""
+
+
+echo "skip_credentials_validation = true" >> ./backend.hcl
+echo "skip_metadata_api_check     = true" >> ./backend.hcl
+echo "" >> ./backend.hcl
+echo "bucket                 = \"${BUCKET_NAME}\"" >> ./backend.hcl
+echo "region                 = \"${REGION}\"" >> ./backend.hcl
+echo "skip_region_validation = true" >> ./backend.hcl
+echo "endpoint               = \"https://$REGION.digitaloceanspaces.com\"" >> ./backend.hcl
+echo "" >> ./backend.hcl
+echo "access_key = \"$ACCESS_KEY\"" >> ./backend.hcl
+echo "secret_key = \"$SECRET_KEY\"" >> ./backend.hcl
+
diff --git a/cluster/main.tf b/cluster/main.tf
index 7474395..f221bd0 100644
--- a/cluster/main.tf
+++ b/cluster/main.tf
@@ -5,6 +5,9 @@ terraform {
       version = "~> 2.0"
     }
   }
+  backend "s3" {
+    key = "production/terraform.tfstate"
+  }
 }
 
 
diff --git a/cluster/setup-tunnels.sh b/cluster/setup-tunnels.sh
index 2eba64d..f152fd7 100755
--- a/cluster/setup-tunnels.sh
+++ b/cluster/setup-tunnels.sh
@@ -23,4 +23,4 @@ echo "Nomad can be accessed at http://localhost:4646"
 
 # Traefik tunnel
 ssh -4 -f -N -g -o StrictHostKeyChecking=no -o IdentitiesOnly=yes -i ./id_rsa -L 8081:$INGRESS_IP:8081 root@$INGRESS_IP
-echo "Traefik can be accessed at http://localhost:0881 (When it is enabled)"
\ No newline at end of file
+echo "Traefik can be accessed at http://localhost:8081 (When it is enabled)"
\ No newline at end of file