diff --git a/README.md b/README.md
index 83111fc..6cc9595 100644
--- a/README.md
+++ b/README.md
@@ -33,18 +33,58 @@ Put the resulting `claude-mailbox.exe` on your `PATH`.
 
 ## Daemon lifecycle
 
-The daemon is a normal console process. Pick whichever level of automation you want:
+Pick whichever level of automation you want:
 
-1. **Manual.** Open a terminal, run `claude-mailbox serve`, leave it open. Stops when you close the window.
-2. **Startup shortcut.** Drop a shortcut to `claude-mailbox serve` in `shell:startup` — starts on login.
-3. **Windows Service.** `sc.exe create ClaudeMailbox binPath= "C:\path\to\claude-mailbox.exe serve" start= auto` — same pattern ClaudeDo uses.
+1. **Manual.** `claude-mailbox serve` in a terminal.
+2. **Startup shortcut.** Shortcut to `claude-mailbox serve` in `shell:startup`.
+3. **Windows Service (recommended).** See below.
 
-Defaults: port `47822`, bind `127.0.0.1`, database at `%USERPROFILE%\.claude-mailbox\mailbox.db`. All overridable:
+### Windows Service
+
+Install (admin shell):
 
 ```
-claude-mailbox serve [--port 47822] [--bind 127.0.0.1] [--db-path <path>]
+claude-mailbox install-service [--port 47822] [--bind 127.0.0.1] [--db-path <path>]
 ```
 
+This:
+- Creates `%ProgramData%\ClaudeMailbox\` with ACLs for `LocalService`
+- Seeds `mailbox.json` with the defaults (or your flag overrides) — only on first install
+- Registers the service via `sc.exe create`, running as `NT AUTHORITY\LocalService` with `start= auto`
+
+Control:
+
+```
+claude-mailbox start
+claude-mailbox stop
+claude-mailbox status        # prints Running | Stopped | NotInstalled
+claude-mailbox uninstall-service [--purge]
+```
+
+`--purge` additionally removes `%ProgramData%\ClaudeMailbox\` (config + database).
+
+### Config precedence
+
+```
+CLI flag   >   mailbox.json   >   built-in defaults
+```
+
+The service is invoked with `serve --config C:\ProgramData\ClaudeMailbox\mailbox.json`, so editing that file and restarting the service is enough to change port/bind/db-path.
+
+Interactive (console) runs without `--config` use `%USERPROFILE%\.claude-mailbox\mailbox.db` (unchanged from v0).
+
+### Manual smoke test
+
+```
+claude-mailbox install-service
+sc query ClaudeMailbox
+claude-mailbox start
+Invoke-WebRequest http://127.0.0.1:47822/health
+claude-mailbox uninstall-service --purge
+```
+
+Defaults: port `47822`, bind `127.0.0.1`, database at `%ProgramData%\ClaudeMailbox\mailbox.db` (service) or `%USERPROFILE%\.claude-mailbox\mailbox.db` (console).
+
 ## Use from a Claude session
 
 Drop this into your project's `.mcp.json` (one per session, different `X-Mailbox` values):