diff --git a/packages/cli-common/.eslintrc.js b/packages/cli-common/.eslintrc.js
new file mode 100644
index 0000000000..16a033dbc6
--- /dev/null
+++ b/packages/cli-common/.eslintrc.js
@@ -0,0 +1,3 @@
+module.exports = {
+  extends: [require.resolve('@backstage/cli/config/eslint.backend')],
+};
diff --git a/packages/cli-common/README.md b/packages/cli-common/README.md
new file mode 100644
index 0000000000..3488003a76
--- /dev/null
+++ b/packages/cli-common/README.md
@@ -0,0 +1,12 @@
+# @backstage/cli-common
+
+This package provides config loading functionality used by the backend, and CLI.
+
+## Installation
+
+Do not install this package directly, it is an internal package used by [@backstage/cli](https://www.npmjs.com/package/@backstage/cli), and [@backstage/create-app](https://www.npmjs.com/package/@backstage/create-app). Depend on either of those instead.
+
+## Documentation
+
+- [Backstage Readme](https://github.com/spotify/backstage/blob/master/README.md)
+- [Backstage Documentation](https://github.com/spotify/backstage/blob/master/docs/README.md)
diff --git a/packages/cli-common/package.json b/packages/cli-common/package.json
new file mode 100644
index 0000000000..1d2dc35cd9
--- /dev/null
+++ b/packages/cli-common/package.json
@@ -0,0 +1,39 @@
+{
+  "name": "@backstage/cli-common",
+  "description": "Common functionality used by cli, backend, and create-app",
+  "version": "0.1.1-alpha.16",
+  "private": false,
+  "main": "src/index.ts",
+  "types": "src/index.ts",
+  "publishConfig": {
+    "access": "public",
+    "main": "dist/index.cjs.js",
+    "types": "dist/index.d.ts"
+  },
+  "homepage": "https://backstage.io",
+  "repository": {
+    "type": "git",
+    "url": "https://github.com/spotify/backstage",
+    "directory": "packages/cli-common"
+  },
+  "keywords": [
+    "backstage"
+  ],
+  "license": "Apache-2.0",
+  "scripts": {
+    "build": "backstage-cli build --outputs cjs,types",
+    "lint": "backstage-cli lint",
+    "test": "backstage-cli test",
+    "prepack": "backstage-cli prepack",
+    "postpack": "backstage-cli postpack",
+    "clean": "backstage-cli clean"
+  },
+  "devDependencies": {
+    "@backstage/cli": "^0.1.1-alpha.16",
+    "@types/jest": "^26.0.7",
+    "@types/node": "^12.0.0"
+  },
+  "files": [
+    "dist"
+  ]
+}
diff --git a/packages/cli-common/src/index.ts b/packages/cli-common/src/index.ts
new file mode 100644
index 0000000000..a080f49b6b
--- /dev/null
+++ b/packages/cli-common/src/index.ts
@@ -0,0 +1,18 @@
+/*
+ * Copyright 2020 Spotify AB
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+export { findPaths } from './paths';
+export type { Paths } from './paths';
diff --git a/packages/cli-common/src/paths.test.ts b/packages/cli-common/src/paths.test.ts
new file mode 100644
index 0000000000..087f95af38
--- /dev/null
+++ b/packages/cli-common/src/paths.test.ts
@@ -0,0 +1,92 @@
+/*
+ * Copyright 2020 Spotify AB
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+import { resolve as resolvePath } from 'path';
+import { findPaths, findRootPath, findOwnDir, findOwnRootDir } from './paths';
+
+describe('paths', () => {
+  it('findOwnDir and findOwnRootDir should find owns paths', () => {
+    const dir = findOwnDir(__dirname);
+    const root = findOwnRootDir(dir);
+
+    expect(dir).toBe(resolvePath(__dirname, '..'));
+    expect(root).toBe(resolvePath(__dirname, '../../..'));
+  });
+
+  it('findRootPath should find a root path', () => {
+    expect(findRootPath(__dirname, () => true)).toBe(
+      resolvePath(__dirname, '..'),
+    );
+
+    expect(findRootPath(__dirname, () => false)).toBeUndefined();
+
+    expect(
+      findRootPath(
+        __dirname,
+        path => path !== resolvePath(__dirname, '../package.json'),
+      ),
+    ).toBe(resolvePath(__dirname, '../../..'));
+  });
+
+  it('findPaths should find package paths', () => {
+    const dir = resolvePath(__dirname, '..');
+    const root = resolvePath(__dirname, '../../..');
+
+    const paths = findPaths(__dirname);
+
+    expect(paths.ownDir).toBe(dir);
+    expect(paths.ownRoot).toBe(root);
+    expect(paths.resolveOwn('./derp.txt')).toBe(resolvePath(dir, 'derp.txt'));
+    expect(paths.resolveOwnRoot('./derp.txt')).toBe(
+      resolvePath(root, 'derp.txt'),
+    );
+    expect(paths.targetDir).toBe(dir);
+    expect(paths.targetRoot).toBe(root);
+    expect(paths.resolveTarget('./derp.txt')).toBe(
+      resolvePath(dir, 'derp.txt'),
+    );
+    expect(paths.resolveTargetRoot('./derp.txt')).toBe(
+      resolvePath(root, 'derp.txt'),
+    );
+  });
+
+  it('findPaths should find mocked package paths', () => {
+    const mockCwd = resolvePath(__dirname, '../../core');
+    const mockDir = resolvePath(__dirname, '../../cli');
+    const root = resolvePath(__dirname, '../../..');
+
+    jest.spyOn(process, 'cwd').mockReturnValue(mockCwd);
+
+    const paths = findPaths(resolvePath(mockDir, 'src/lib'));
+
+    expect(paths.ownDir).toBe(mockDir);
+    expect(paths.ownRoot).toBe(root);
+    expect(paths.resolveOwn('./derp.txt')).toBe(
+      resolvePath(mockDir, 'derp.txt'),
+    );
+    expect(paths.resolveOwnRoot('./derp.txt')).toBe(
+      resolvePath(root, 'derp.txt'),
+    );
+    expect(paths.targetDir).toBe(mockCwd);
+    expect(paths.targetRoot).toBe(root);
+    expect(paths.resolveTarget('./derp.txt')).toBe(
+      resolvePath(mockCwd, 'derp.txt'),
+    );
+    expect(paths.resolveTargetRoot('./derp.txt')).toBe(
+      resolvePath(root, 'derp.txt'),
+    );
+  });
+});
diff --git a/packages/cli-common/src/paths.ts b/packages/cli-common/src/paths.ts
new file mode 100644
index 0000000000..70761ad2d7
--- /dev/null
+++ b/packages/cli-common/src/paths.ts
@@ -0,0 +1,155 @@
+/*
+ * Copyright 2020 Spotify AB
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+import fs from 'fs';
+import { dirname, resolve as resolvePath } from 'path';
+
+export type ResolveFunc = (...paths: string[]) => string;
+
+// Common paths and resolve functions used by the cli.
+// Currently assumes it is being executed within a monorepo.
+export type Paths = {
+  // Root dir of the cli itself, containing package.json
+  ownDir: string;
+
+  // Monorepo root dir of the cli itself. Only accessible when running inside Backstage repo.
+  ownRoot: string;
+
+  // The location of the app that the cli is being executed in
+  targetDir: string;
+
+  // The monorepo root package of the app that the cli is being executed in.
+  targetRoot: string;
+
+  // Resolve a path relative to own repo
+  resolveOwn: ResolveFunc;
+
+  // Resolve a path relative to own monorepo root. Only accessible when running inside Backstage repo.
+  resolveOwnRoot: ResolveFunc;
+
+  // Resolve a path relative to the app
+  resolveTarget: ResolveFunc;
+
+  // Resolve a path relative to the app repo root
+  resolveTargetRoot: ResolveFunc;
+};
+
+// Looks for a package.json with a workspace config to identify the root of the monorepo
+export function findRootPath(
+  searchDir: string,
+  filterFunc: (pkgJsonPath: string) => boolean,
+): string | undefined {
+  let path = searchDir;
+
+  // Some sanity check to avoid infinite loop
+  for (let i = 0; i < 1000; i++) {
+    const packagePath = resolvePath(path, 'package.json');
+    const exists = fs.existsSync(packagePath);
+    if (exists && filterFunc(packagePath)) {
+      return path;
+    }
+
+    const newPath = dirname(path);
+    if (newPath === path) {
+      return undefined;
+    }
+    path = newPath;
+  }
+
+  throw new Error(
+    `Iteration limit reached when searching for root package.json at ${searchDir}`,
+  );
+}
+
+// Finds the root of a given package
+export function findOwnDir(searchDir: string) {
+  const path = findRootPath(searchDir, () => true);
+  if (!path) {
+    throw new Error(
+      `No package.json found while searching for package root of ${searchDir}`,
+    );
+  }
+  return path;
+}
+
+// Finds the root of the monorepo that the package exists in. Only accessible when running inside Backstage repo.
+export function findOwnRootDir(ownDir: string) {
+  const isLocal = fs.existsSync(resolvePath(ownDir, 'src'));
+  if (!isLocal) {
+    throw new Error(
+      'Tried to access monorepo package root dir outside of Backstage repository',
+    );
+  }
+
+  return resolvePath(ownDir, '../..');
+}
+
+/**
+ * Find paths related to a package and its execution context.
+ *
+ * @example
+ *
+ * const paths = findPaths(__dirname)
+ */
+export function findPaths(searchDir: string): Paths {
+  const ownDir = findOwnDir(searchDir);
+  const targetDir = fs.realpathSync(process.cwd());
+
+  // Lazy load this as it will throw an error if we're not inside the Backstage repo.
+  let ownRoot = '';
+  const getOwnRoot = () => {
+    if (!ownRoot) {
+      ownRoot = findOwnRootDir(ownDir);
+    }
+    return ownRoot;
+  };
+
+  // We're not always running in a monorepo, so we lazy init this to only crash commands
+  // that require a monorepo when we're not in one.
+  let targetRoot = '';
+  const getTargetRoot = () => {
+    if (!targetRoot) {
+      targetRoot =
+        findRootPath(targetDir, path => {
+          try {
+            const content = fs.readFileSync(path, 'utf8');
+            const data = JSON.parse(content);
+            return Boolean(data.workspaces?.packages);
+          } catch (error) {
+            throw new Error(
+              `Failed to parse package.json file while searching for root, ${error}`,
+            );
+          }
+        }) ?? targetDir; // We didn't find any root package.json, assume we're not in a monorepo
+    }
+    return targetRoot;
+  };
+
+  return {
+    ownDir,
+    get ownRoot() {
+      return getOwnRoot();
+    },
+    targetDir,
+    get targetRoot() {
+      return getTargetRoot();
+    },
+    resolveOwn: (...paths) => resolvePath(ownDir, ...paths),
+    resolveOwnRoot: (...paths) => resolvePath(getOwnRoot(), ...paths),
+    resolveTarget: (...paths) => resolvePath(targetDir, ...paths),
+    resolveTargetRoot: (...paths) => resolvePath(getTargetRoot(), ...paths),
+  };
+}