diff --git a/.gitignore b/.gitignore
index 96d71f074..a60a4dbce 100644
--- a/.gitignore
+++ b/.gitignore
@@ -1,9 +1,11 @@
 .idea
 node_modules
 jspm_packages
-npm-debug.*
-link-checker-results.txt
-app/**/*.js
+npm-debug.log
+debug.log
+src/**/*.js
+!src/systemjs.config.extras.js
+!src/systemjs.config.js
 *.js.map
 e2e/**/*.js
 e2e/**/*.js.map
diff --git a/.travis.yml b/.travis.yml
index 20ff41e7d..808bc2c4e 100644
--- a/.travis.yml
+++ b/.travis.yml
@@ -16,5 +16,5 @@ install:
   - npm install
 script:
   - npm run lint
-  - npm run test-once
+  - npm run test:once
   - npm run e2e
diff --git a/README.md b/README.md
index d86af6701..a5e4eff0c 100644
--- a/README.md
+++ b/README.md
@@ -12,6 +12,24 @@ It exists primarily to get you started quickly with learning and prototyping in
 We are unlikely to accept suggestions about how to grow this QuickStart into something it is not.
 Please keep that in mind before posting issues and PRs.
 
+## Updating to a newer version of the Quickstart Repo
+
+From time to time the QuickStart will add be enhanced with support for new features or to reflect
+changes to the [official Style Guide](https://angular.io/docs/ts/latest/guide/style-guide.html).
+
+You can update your existing project to an up-to-date QuickStart by following these instructions:
+- Create a new project using the [instructions below](#create-a-new-project-based-on-the-quickstart)
+- Copy the code you have in your project's `main.ts` file onto `src/app/main.ts` in the new project
+- Copy your old `app` folder into `src/app`
+- Delete `src/app/main.ts` if you have one (we now use `src/main.ts` instead)
+- Copy your old `index.html`, `styles.css` and `tsconfig.json` into `src/`
+- Install all your third party dependencies
+- Copy your old `e2e/` folder into `e2e/`
+- Copy over any other files you added to your project
+- Copy your old `.git` folder into your new project's root
+
+Now you can continue working on the new project.
+
 ## Prerequisites
 
 Node.js and npm are essential to Angular development. 
@@ -106,16 +124,16 @@ You're ready to write your application.
 We've captured many of the most useful commands in npm scripts defined in the `package.json`:
 
 * `npm start` - runs the compiler and a server at the same time, both in "watch mode".
-* `npm run tsc` - runs the TypeScript compiler once.
-* `npm run tsc:w` - runs the TypeScript compiler in watch mode; the process keeps running, awaiting changes to TypeScript files and re-compiling when it sees them.
-* `npm run lite` - runs the [lite-server](https://www.npmjs.com/package/lite-server), a light-weight, static file server, written and maintained by
+* `npm run build` - runs the TypeScript compiler once.
+* `npm run build:w` - runs the TypeScript compiler in watch mode; the process keeps running, awaiting changes to TypeScript files and re-compiling when it sees them.
+* `npm run serve` - runs the [lite-server](https://www.npmjs.com/package/lite-server), a light-weight, static file server, written and maintained by
 [John Papa](https://github.com/johnpapa) and
 [Christopher Martin](https://github.com/cgmartin)
 with excellent support for Angular apps that use routing.
 
 Here are the test related scripts:
 * `npm test` - compiles, runs and watches the karma unit tests
-* `npm run e2e` - run protractor e2e tests, written in JavaScript (*e2e-spec.js)
+* `npm run e2e` - compiles and run protractor e2e tests, written in Typescript (*e2e-spec.ts)
 
 ## Testing
 
@@ -128,9 +146,9 @@ These tools are configured for specific conventions described below.
 We recommend that you shut down one before starting another.*
 
 ### Unit Tests
-TypeScript unit-tests are usually in the `app` folder. Their filenames must end in `.spec`.
+TypeScript unit-tests are usually in the `src/app` folder. Their filenames must end in `.spec.ts`.
 
-Look for the example `app/app.component.spec.ts`.
+Look for the example `src/app/app.component.spec.ts`.
 Add more `.spec.ts` files as you wish; we configured karma to find them.
 
 Run it with `npm test`
@@ -147,17 +165,17 @@ restart it. No worries; it's pretty quick.
 
 ### End-to-end (E2E) Tests
 
-E2E tests are in the `e2e` directory, side by side with the `app` folder.
+E2E tests are in the `e2e` directory, side by side with the `src` folder.
 Their filenames must end in `.e2e-spec.ts`.
 
 Look for the example `e2e/app.e2e-spec.ts`.
 Add more `.e2e-spec.js` files as you wish (although one usually suffices for small projects);
-we configured protractor to find them.
+we configured Protractor to find them.
 
 Thereafter, run them with `npm run e2e`.
 
-That command first compiles, then simultaneously starts the Http-Server at `localhost:8080`
-and launches protractor.  
+That command first compiles, then simultaneously starts the `lite-server` at `localhost:8080`
+and launches Protractor.  
 
 The pass/fail test results appear at the bottom of the terminal window.
 A custom reporter (see `protractor.config.js`) generates a  `./_test-output/protractor-results.txt` file
diff --git a/bs-config.e2e.json b/bs-config.e2e.json
new file mode 100644
index 000000000..24570dbcc
--- /dev/null
+++ b/bs-config.e2e.json
@@ -0,0 +1,14 @@
+{
+  "open": false,
+  "logLevel": "silent",
+  "port": 8080,
+  "server": {
+    "baseDir": "src",
+    "routes": {
+      "/node_modules": "node_modules"
+    },
+    "middleware": {
+      "0": null
+    }
+  }
+}
diff --git a/bs-config.json b/bs-config.json
new file mode 100644
index 000000000..4e5859526
--- /dev/null
+++ b/bs-config.json
@@ -0,0 +1,8 @@
+{
+  "server": {
+    "baseDir": "src",
+    "routes": {
+      "/node_modules": "node_modules"
+    }
+  }
+}
diff --git a/tsconfig.json b/e2e/tsconfig.json
similarity index 100%
rename from tsconfig.json
rename to e2e/tsconfig.json
diff --git a/karma-test-shim.js b/karma-test-shim.js
index de5b015fd..fe5aa7761 100644
--- a/karma-test-shim.js
+++ b/karma-test-shim.js
@@ -7,8 +7,8 @@ Error.stackTraceLimit = 0; // "No stacktrace"" is usually best for app testing.
 jasmine.DEFAULT_TIMEOUT_INTERVAL = 1000;
 
 // builtPaths: root paths for output ("built") files
-// get from karma.config.js, then prefix with '/base/' (default is 'app/')
-var builtPaths = (__karma__.config.builtPaths || ['app/'])
+// get from karma.config.js, then prefix with '/base/' (default is 'src/')
+var builtPaths = (__karma__.config.builtPaths || ['src/'])
                  .map(function(p) { return '/base/'+p;});
 
 __karma__.loaded = function () { };
@@ -34,7 +34,8 @@ var allSpecFiles = Object.keys(window.__karma__.files)
   .filter(isBuiltFile);
 
 System.config({
-  baseURL: 'base',
+  // Base URL for System.js calls. 'base/' is where Karma serves files from.
+  baseURL: 'base/src',
   // Extend usual application package list with test folder
   packages: { 'testing': { main: 'index.js', defaultExtension: 'js' } },
 
diff --git a/karma.conf.js b/karma.conf.js
index e765c4eb3..5a51e814f 100644
--- a/karma.conf.js
+++ b/karma.conf.js
@@ -1,8 +1,7 @@
 module.exports = function(config) {
 
-  var appBase    = 'app/';       // transpiled app JS and map files
-  var appSrcBase = 'app/';       // app source TS files
-  var appAssets  = '/base/app/'; // component assets fetched by Angular's compiler
+  var appBase    = 'src/';       // transpiled app JS and map files
+  var appSrcBase = appBase;      // app source TS files
 
   // Testing helpers (optional) are conventionally in a folder called `testing`
   var testingBase    = 'testing/'; // transpiled test JS and map files
@@ -57,8 +56,8 @@ module.exports = function(config) {
       { pattern: 'node_modules/@angular/**/*.js', included: false, watched: false },
       { pattern: 'node_modules/@angular/**/*.js.map', included: false, watched: false },
 
-      { pattern: 'systemjs.config.js', included: false, watched: false },
-      { pattern: 'systemjs.config.extras.js', included: false, watched: false },
+      { pattern: appBase + '/systemjs.config.js', included: false, watched: false },
+      { pattern: appBase + '/systemjs.config.extras.js', included: false, watched: false },
       'karma-test-shim.js', // optionally extend SystemJS mapping e.g., with barrels
 
       // transpiled application & spec code paths loaded via module imports
@@ -72,7 +71,7 @@ module.exports = function(config) {
       { pattern: appBase + '**/*.css', included: false, watched: true },
 
       // Paths for debugging with source maps in dev tools
-      { pattern: appSrcBase + '**/*.ts', included: false, watched: false },
+      { pattern: appBase + '**/*.ts', included: false, watched: false },
       { pattern: appBase + '**/*.js.map', included: false, watched: false },
       { pattern: testingSrcBase + '**/*.ts', included: false, watched: false },
       { pattern: testingBase + '**/*.js.map', included: false, watched: false}
@@ -80,8 +79,8 @@ module.exports = function(config) {
 
     // Proxied base paths for loading assets
     proxies: {
-      // required for component assets fetched by Angular's compiler
-      "/app/": appAssets
+      // required for modules fetched by SystemJS
+      '/base/src/node_modules/': '/base/node_modules/'
     },
 
     exclude: [],
diff --git a/package.json b/package.json
index b806db2c9..ca4da28fc 100644
--- a/package.json
+++ b/package.json
@@ -3,15 +3,22 @@
   "version": "1.0.0",
   "description": "QuickStart package.json from the documentation, supplemented with testing support",
   "scripts": {
-    "start": "tsc && concurrently \"tsc -w\" \"lite-server\" ",
-    "e2e": "tsc && concurrently \"http-server -s\" \"protractor protractor.config.js\" --kill-others --success first",
-    "lint": "tslint ./app/**/*.ts -t verbose",
-    "lite": "lite-server",
-    "pree2e": "webdriver-manager update",
-    "test": "tsc && concurrently \"tsc -w\" \"karma start karma.conf.js\"",
-    "test-once": "tsc && karma start karma.conf.js --single-run",
-    "tsc": "tsc",
-    "tsc:w": "tsc -w"
+    "build": "tsc -p src/",
+    "build:watch": "tsc -p src/ -w",
+    "build:e2e": "tsc -p e2e/",
+    "serve": "lite-server -c=bs-config.json",
+    "serve:e2e": "lite-server -c=bs-config.e2e.json",
+    "prestart": "npm run build",
+    "start": "concurrently \"npm run build:watch\" \"npm run serve\"",
+    "pree2e": "npm run build:e2e",
+    "e2e": "concurrently \"npm run serve:e2e\" \"npm run protractor\" --kill-others --success first",
+    "preprotractor": "webdriver-manager update",
+    "protractor": "protractor protractor.config.js",
+    "pretest": "npm run build",
+    "test": "concurrently \"npm run build:watch\" \"karma start karma.conf.js\"",
+    "pretest:once": "npm run build",
+    "test:once": "karma start karma.conf.js --single-run",
+    "lint": "tslint ./src/**/*.ts -t verbose"
   },
   "keywords": [],
   "author": "",
@@ -38,7 +45,6 @@
     "typescript": "~2.0.10",
 
     "canonical-path": "0.0.2",
-    "http-server": "^0.9.0",
     "tslint": "^3.15.1",
     "lodash": "^4.16.4",
     "jasmine-core": "~2.4.1",
diff --git a/protractor.config.js b/protractor.config.js
index 8314510c5..8d4e0416a 100644
--- a/protractor.config.js
+++ b/protractor.config.js
@@ -5,7 +5,7 @@
 //
 // AND THEN EVERYTIME ...
 //   1. Compile with `tsc`
-//   2. Make sure the test server (e.g., http-server: localhost:8080) is running.
+//   2. Make sure the test server (e.g., lite-server: localhost:8080) is running.
 //   3. ./node_modules/.bin/protractor protractor.config.js
 //
 //   To do all steps, try:  `npm run e2e`
diff --git a/app/app.component.spec.ts b/src/app/app.component.spec.ts
similarity index 100%
rename from app/app.component.spec.ts
rename to src/app/app.component.spec.ts
diff --git a/app/app.component.ts b/src/app/app.component.ts
similarity index 100%
rename from app/app.component.ts
rename to src/app/app.component.ts
diff --git a/app/app.module.ts b/src/app/app.module.ts
similarity index 100%
rename from app/app.module.ts
rename to src/app/app.module.ts
diff --git a/favicon.ico b/src/favicon.ico
similarity index 100%
rename from favicon.ico
rename to src/favicon.ico
diff --git a/index.html b/src/index.html
similarity index 86%
rename from index.html
rename to src/index.html
index 17df408e4..6d6e22326 100644
--- a/index.html
+++ b/src/index.html
@@ -4,6 +4,7 @@
     <title>Angular QuickStart</title>
     <meta charset="UTF-8">
     <meta name="viewport" content="width=device-width, initial-scale=1">
+    <base href="/">
     <link rel="stylesheet" href="styles.css">
 
     <!-- Polyfill(s) for older browsers -->
@@ -14,7 +15,7 @@
 
     <script src="systemjs.config.js"></script>
     <script>
-      System.import('app').catch(function(err){ console.error(err); });
+      System.import('main.js').catch(function(err){ console.error(err); });
     </script>
   </head>
 
diff --git a/app/main.ts b/src/main.ts
similarity index 74%
rename from app/main.ts
rename to src/main.ts
index 6af7a5b2a..311c44b76 100644
--- a/app/main.ts
+++ b/src/main.ts
@@ -1,5 +1,5 @@
 import { platformBrowserDynamic } from '@angular/platform-browser-dynamic';
 
-import { AppModule } from './app.module';
+import { AppModule } from './app/app.module';
 
 platformBrowserDynamic().bootstrapModule(AppModule);
diff --git a/styles.css b/src/styles.css
similarity index 94%
rename from styles.css
rename to src/styles.css
index c30a0620d..58e1a7d9a 100644
--- a/styles.css
+++ b/src/styles.css
@@ -1,5 +1,5 @@
-h1 {
-  color: #369;
-  font-family: Arial, Helvetica, sans-serif;
-  font-size: 250%;
-}
+h1 {
+  color: #369;
+  font-family: Arial, Helvetica, sans-serif;
+  font-size: 250%;
+}
diff --git a/systemjs.config.extras.js b/src/systemjs.config.extras.js
similarity index 100%
rename from systemjs.config.extras.js
rename to src/systemjs.config.extras.js
diff --git a/systemjs.config.js b/src/systemjs.config.js
similarity index 98%
rename from systemjs.config.js
rename to src/systemjs.config.js
index 68caa9f4c..e91ba9b3c 100644
--- a/systemjs.config.js
+++ b/src/systemjs.config.js
@@ -30,7 +30,6 @@
     // packages tells the System loader how to load when no filename and/or no extension
     packages: {
       app: {
-        main: './main.js',
         defaultExtension: 'js'
       },
       rxjs: {
diff --git a/src/tsconfig.json b/src/tsconfig.json
new file mode 100644
index 000000000..2c7260d1b
--- /dev/null
+++ b/src/tsconfig.json
@@ -0,0 +1,13 @@
+{
+  "compilerOptions": {
+    "target": "es5",
+    "module": "commonjs",
+    "moduleResolution": "node",
+    "sourceMap": true,
+    "emitDecoratorMetadata": true,
+    "experimentalDecorators": true,
+    "lib": [ "es2015", "dom" ],
+    "noImplicitAny": true,
+    "suppressImplicitAnyIndexErrors": true
+  }
+}