diff --git a/src/backend/src/lib.rs b/src/backend/src/lib.rs
index 2202301..246a901 100644
--- a/src/backend/src/lib.rs
+++ b/src/backend/src/lib.rs
@@ -183,25 +183,61 @@
         "--parallel", "1"
     ];
 
-    // Note: Tauri's sidecar() handles the library path (DLLs) if they are in the same folder 
-    // as the sidecar binary in the App bundle.
-    // However, on Windows, setting the current_dir to the resource folder and
-    // adding it to PATH is the most robust way to ensure DLLs are found.
     let res_dir = app_handle.path().resource_dir().unwrap_or_default();
-    let old_path = std::env::var("PATH").unwrap_or_default();
-    let new_path = format!("{};{}", res_dir.display(), old_path);
-    
-    let mut sidecar = sidecar.args(args).env("PATH", new_path);
-    
-    // Set current directory to the resource folder so the sidecar can find DLLs "locally"
-    if res_dir.exists() {
-        sidecar = sidecar.current_dir(res_dir);
+    let exe_dir = std::env::current_exe()
+        .map(|p| p.parent().map(|parent| parent.to_path_buf()).unwrap_or_default())
+        .unwrap_or_default();
+
+    // Diagnostic logging: List files in resource and exe directories
+    log::info!("Diagnostic: Resource Dir: {:?}", res_dir);
+    log::info!("Diagnostic: EXE Dir: {:?}", exe_dir);
+
+    if let Ok(entries) = std::fs::read_dir(&res_dir) {
+        let files: Vec<_> = entries.filter_map(|e| e.ok().map(|entry| entry.file_name())).collect();
+        log::info!("Diagnostic: Files in Resource Dir: {:?}", files);
+    }
+    if let Ok(entries) = std::fs::read_dir(&exe_dir) {
+        let files: Vec<_> = entries.filter_map(|e| e.ok().map(|entry| entry.file_name())).collect();
+        log::info!("Diagnostic: Files in EXE Dir: {:?}", files);
     }
 
-    let (mut rx, _child) = match sidecar.spawn() {
+    // Comprehensive PATH candidates
+    let old_path = std::env::var("PATH").unwrap_or_default();
+    let mut path_candidates = vec![
+        res_dir.display().to_string(),
+        exe_dir.display().to_string(),
+    ];
+    
+    // Also include potential nested bin folders
+    path_candidates.push(res_dir.join("bin").display().to_string());
+    path_candidates.push(exe_dir.join("bin").display().to_string());
+    // Also include parent (one level up from resources/exe dir)
+    if let Some(parent) = res_dir.parent() {
+        path_candidates.push(parent.display().to_string());
+    }
+    if let Some(parent) = exe_dir.parent() {
+        path_candidates.push(parent.display().to_string());
+    }
+
+    let new_path = format!("{};{}", path_candidates.join(";"), old_path);
+    log::info!("Diagnostic: New Sidecar PATH: {}", new_path);
+    
+    let mut sidecar_cmd = sidecar.args(args).env("PATH", new_path);
+    
+    // Set current directory to the resource folder (where DLLs should be)
+    // Preference: res_dir > exe_dir
+    if res_dir.exists() {
+        log::info!("Setting sidecar current_dir to: {:?}", res_dir);
+        sidecar_cmd = sidecar_cmd.current_dir(&res_dir);
+    } else if exe_dir.exists() {
+        log::info!("Setting sidecar current_dir to: {:?}", exe_dir);
+        sidecar_cmd = sidecar_cmd.current_dir(&exe_dir);
+    }
+
+    let (mut rx, _child) = match sidecar_cmd.spawn() {
         Ok(res) => res,
         Err(e) => {
-            eprintln!("CRITICAL: Failed to spawn sidecar: {}", e);
+            log::error!("CRITICAL: Failed to spawn sidecar: {}", e);
             return;
         }
     };